Aid for MSMEs as credit guarantee scheme launched

TIRUPPUR: Giving a thrust to MSMEs, Chief Minister MK Stalin on Thursday unveiled the Tamil Nadu Credit Guarantee Scheme (TNCGS) to address financing woes of MSMEs and reduce the need for collateral for loans, launched a new public sector enterprise the Tamil Nadu Coir Business Development Corporation and unveiled four coir clusters in Tiruppur. Further, he announced that home textiles would be brought under the thrust sector to further the growth and development of the sector.

Addressing delegates at the regional MSME meet, Stalin said, “I received petitions and representations from various home textile units seeking financial assistance and subsidies. The sector produces goods worth Rs 10,000 crore and exports account for more than Rs 4,000 crore.

After considering their representation, the government has decided to bring home textiles under thrust sector, which will help the units avail of special capital subsidy. Apart from this, the government is taking steps to facilitate growth of MSME sectors. Under the single window system, we received more than 10,555 applications, of which 9,212 applications have been cleared. Further, export facilitation centres will be set up in every district.”

The chief minister also announced the launch of Tamil Nadu Trade Receivables Discounting System (TNTReDS) — an ERP platform enabling all State-owned enterprises, statutory boards, corporations. MSME trade and Investment Promotion Bureau (M-TIPB). Called ‘FaMe TN’, it started functioning on Thursday.

Highlighting his government’s focus on industrial growth, Stalin said over 221 MOUs have been signed in the last 15 months which attracted investment of over Rs 2.2 lakh crore and would generate employment for more than 3 lakh people. Of this, 49 are MSMEs that have made investment of Rs 1,300 crore and generate 1,909 jobs, he added.