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This is an archive article published on August 31, 2004

Single law needed for SSIs: PM

Prime Minister Manmohan Singh has called for speeding up of the single comprehensive law for small scale industries SSIs. He also announce...

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Prime Minister Manmohan Singh has called for speeding up of the single comprehensive law for small scale industries SSIs. He also announced the setting up of a national commission for the unorganised and informal sector.

Singh was speaking at the convention of SSIs here on Monday. If policies of the past have not worked well, we should be prepared to discard them, he said.

The PM expressed dissatisfaction over the policy of reservations for SSIs, saying that it would not be enough to protect the small sector from global competition. It needs to be seen whether protection in the form of reservation of items for production in SSIs is an adequate mechanism to enable the sector to thrive, he said.

8216;8216;While reservation can protect from domestic competition, it will not protect them from international competition,8217;8217; he said.

On the proposed commission, Singh said it would examine the problems facing enterprises in the unorganised sector. The commission would have a comprehensive mandate to examine and review existing institutional mechanisms for supporting small enterprises.

 

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