Tiruchirapall

‘Difficulty in dispatching finished goods’

Ancillary units in Tiruchi seek Centre’s intervention

The Economic Cell of BJP’s Tiruchi Unit has made a representation to the Union Ministries of Finance and Heavy Industries and Small and Medium Enterprises seeking their intervention in preventing closure of more ancillary units of BHEL, Tiruchi, due to difficulty in dispatch of finished goods.

While the Centre has taken measures such as extending additional credit on their existing working capital limit, enforcing 45-day payment commitments to MSMEs from clients and bolstering MSME participation in public procurement contracts for revival of the units, they have not been able to dispatch the finished goods, it said.

On the Centre’s instruction to PSUs to clear dues to MSMEs within 45 days, V. Kannan, president of the economic cell, says the units have been unable to unload the vehicles across the country.

The request of the ancillaries for tweaking the policy pertaining to tender system for price viability has not been addressed resulting in closure of several units. Even the existing units are struggling for survival due to which the State government has lost GST revenue of over ₹100 crore, he adds.

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