The wait of the industrialists in Punjab and elsewhere in country to get the subsidy amount under credit linked capital subsidy scheme (CLCSS) pending with the Centre for more than two years just got longer. In the Interim Union Budget 2019-2020 that he presented on February 1, Union finance minister Piyush Goyal did not mention anything about reviving the scheme meant exclusively for the micro, small and medium enterprises (MSMEs). Put on hold two years ago, under the CLCSS, industrialists got 15 per cent capital subsidy (maximum of Rs 15 lakh) for purchasing new machinery to upgrade their units. These machines could be imported too. A number of industrialists applied for the subsidy but there being no budgetary allocation for last two years, Rs 1800 crore subsidy to be given to industrialists across the country is still pending. In the absence of any fresh budget, the department stopped accepting new applications beginning second quarter of 2016. Upkar Singh, president, Chamber of Industrial and Commercial Undertakings (CICU), said, “In the Interim Budget, the finance minister announced that All MSME units registered with the Goods and Services Tax (GST) will now have 2 per cent interest subvention for loans up to Rs 1 crore. It is a welcome step. But what about the old schemes such as CLCSS. The scheme was meant for small entrepreneurs but we are not getting any benefit of this subsidy for last two years,” said Badish Jindal, president of Federation of Punjab Small Industries Association (FOPSIA). Inderjit Singh Navyug, president of United Cycles Parts and Manufacturers Association said, “The MSME sector is devoid of proper budget due to which no new applications are being accepted and this shows the seriousness of the NDA government in promoting the sector”.
