Confederation of Indian Industry - Andhra Pradesh chairman D. Ramakrishna and vice-chairman D. Tirupathi Raju have welcomed the financial assistance announced by the State government for the Micro, Small and Medium Enterprises (MSME).

In a release, they stated that clearance of pending incentives and other measures announced would help the MSMEs meet their working capital requirement, and, thereby, mitigate the impact of the lockdown.

The CII had, in fact, recommended to the government to waive minimum power demand charges for the industries and pay incentives outstanding for a long time, they said, and thanked Chief Minister Y.S. Jagan Mohan Reddy and Industries Minister Mekapati Goutham Reddy for addressing the concerns raised by the MSMEs.

The Federation of Andhra Pradesh Small & Medium Industries Associations (FAPSIA) too thanked Mr. Jagan Mohan Reddy for extending relief to sector.

Power charges

FAPSIA president Murali Krishna Vasireddy said the FAPSIA appreciates the release of long-standing incentives to support the entrepreneurs in these times of great need. Also, the decision to waive off the minimum power charges was a huge relief, he said.

“The lockdown has impacted sales turnover, inventory management, cash flow and supply chain management. This may lead to NPA and bankruptcy in the days to come. As the MSME is a dynamic sector that supports growth in the GDP and exports, it expects certain reforms and support from the State and Central governments,” he said.

Thanking the Chief Minister for the recommendations made to the Central government, he said the recommendations made would give a boost to sector in the State.