Various trade outfits on Friday welcomed the decision of the Union government for the inclusion of retail and wholesale trades in Micro Small and Medium Enterprise (MSME).
Nitin Gadkari, the minister of MSME and road transport, on Friday announced revised guidelines for MSMEs with inclusion of retail and wholesale trades as MSMEs.
The retail and wholesale trade were left out of the ambit of MSME.
Now under the revised guidelines, retail and wholesale trade will also get the benefit of priority sector lending as per RBI guidelines.
With the revised guidelines the retail and wholesale trades will also be allowed to register on Udyam Registration Portal, which enables any person who intends to establish a micro, small or medium enterprise to file online, based on self-declaration with no requirement to upload documents, papers, certificates or proof.
"The trader community across the country is jubilant because of their inclusion under the definition of MSME. We thank the Union government for taking such a big decision for the business community of the country," said Praveen Khandelwal, secretary general of the Confederation of All India Traders (CAIT), the apex body of small traders talking to The Telegraph Online.
Suresh Sonthalia, the national secretary of CAIT and former vice- president of Federation of Jharkhand Chamber of Commerce and Industry ( FJCCI ) said around 1crore traders in Jharkhand will benefit with the Centre's decision of including retail and wholesale trades in MSME.
"We have been raising this issue and have been following it up with the Union commerce and MSME ministry for more than a year. The decision will benefit more than eight crore small businesses of the country. In Jharkhand alone around one crore traders who have GST registration would be benefitted. The inclusion in MSME will help them in getting loans and bill payments besides other benefits," he explained.
According to Sonthalia, with this decision, the traders will fall under the MSME category and will be able to avail requisite finances from the banks and financial institutions under priority sector lending.
Besides, now the traders will also be enjoying several other benefits of various other government schemes which are being enjoyed by the MSME sector.
"Today is a big day for us. It's a victory for the business community of the country which is providing employment to about 40 crore people and generating an annual turnover of Rs 115 lakh crore, " added Sonthalia.
Leading trade outfit of Kolkan region - Singhbhum Chamber of Commerce and Industry (SCCI ) too was upbeat with the decision.
SCCI's general Secretary Bharat Vasani said , "The Covid pandemic affected traders will now be able to restore their businesses by obtaining necessary finances from the banks which were earlier denied to them. This step of the government will prove to be a milestone step in reviving not only the economy but even the most vibrant retail trade of India."
