Bhubaneswar, April 14: The micro, small and medium enterprises (MSME) are yet to reap the benefits announced by the state government in 2009 because of the absence of an official circular.

The government announced incentives for the MSME sector in the Industrial Policy Resolution (IPR), 2007, and again brought out a specific MSME Development Policy in 2009. However, of the 8,000-odd MSMEs registered in the state barely 3,000 are surviving.

On February 27, the government promised a circular on the implementation of the IPR and the MSME Development Policy. On March 11, chief secretary Bijay Kumar Patnaik announced that the circular would be issued within a week. But till date, no such circular has been issued.

The major benefits announced by the MSME Development Policy, 2009, include reservation of 20 per cent of the land in all industrial estates, parks and corridors and land banks for the MSMEs.

Pawan Kumar Jhunjhunwala, owner of a textile unit at Ogalapada near Janla, received the licence to get coal for his boiler after running from pillar to post. But every year, he has to spend at least three months to renew his licence.

“There was a time when the Khurda textile was famous for its quality. But now, youths from the region consisting of Khurda, Nayagarh and Ganjam are working either in Surat, Bhiwandi or in the suburbs of Mumbai. Because of the lack of incentives for the textile related MSMEs, no one is interested to start a unit here,” he said.

Jhunjhunwala, though hails from the Marwari community, considers himself from the traditional weaving class of Odisha and thinks that easing of the MSME norms for textiles can work wonders for the state and the 15 lakh youth working outside can return to revive the small textile units here.

President of the Utkal Chamber of Commerce and Industry Ramesh Mohapatra said: “The contractors and sub-contractors of bigger turnkey projects are purchasing the same items manufactured by the MSMEs here from other states as the value-added tax is less outside. If the state government can ask the agencies to consider our plea, we can supply products to the contractors.”

“The state government should also ask the public sector undertakings to strictly adhere to the Public Procure ment Policy and procure at least 20 per cent of their total requirements from the local MSMEs,” he said.

Chairman-cum-managing director of the Odisha Infrastructure Development Corporation Vishal Kumar Dev said: “The state government has decided to open an MSME cell to deal with the units’ problems, and it will hear grievances twice a week.”