Adityapur Small Industries Association (ASIA), which represents small and medium-sized enterprises (SMEs) in the state’s largest industrial hub in adjoining Sera-ikela-Kharsawan district, welcomed the interim budget on Friday.

“All SMEs in Adityapur and elsewhere registered with the Goods and Services Tax (GST) will get a 2 per cent subsidy on interest for loans up to Rs 1 crore. Last year, the Centre had announced a facility for Micro, Small and Medium Enterprises (MSMEs) whereby they could avail a loan of Rs 1 crore within 59 minutes,” ASIA president Inder Agarwal said.

He also appreciated the government for raising the gratuity limit from Rs 10 lakh to Rs 30 lakh. “The move will benefit workers of large units based in Adityapur and elsewhere,” he added.

An official of Singhbhum Industries Association, while refusing to be named, hailed the government’s decision to raise the Employees Provident Fund (EPF) contribution from Rs 2.5 lakh to Rs 6 lakh in case of employee’s accidental death.

Owner of a small unit R.K. Sinha said the budget was on expected lines. “We were not expecting much sops in the interim budget as Prime Minister Narendra Modi had already made several announcements for MSMEs in November last. The relaxation in environment clearances for such units has been recently implemented in Jharkhand,” he said.

Sinha added that now MSMEs needed a single air and water clearance and just one auto-renewal consent from Jharkhand State Pollution Control Board for establishing a new factory.