On the other hand, states including Gujarat with 44.07%, Jharkhand with 46.69% and West Bengal with 46.19% show the least number of MSMEs calling GST a positive move for MSMEs.
Issues facing MSMEs were collected from various feedback mechanisms by the India SME Forum and then redesigned, which was inturn shared with respondents, as a part of the questionnaire in October 2018.
MSMEs have given various suggestions and we have ranked these based on the states which they belong. These suggestions have been ranked according to their importance, which should serve as a roadmap for the government and policymakers.
MSMEs surveyed from all over India ranked from 1 to 8 with 1 as the highest priority issue.
1. Improved access to credit from financial institutions and interest subvention on finance from banks and NBFCs
2. Plug and play industrial estates, special manufacturing services and export zones with infrastructure and power for MSMEs
3. GST rate subvention for MSMEs across sectors as well as inclusion of all MSMEs in GST for better opportunities and competitiveness
4. Tax rebate for capital investment in technological, production automation and infrastructure upgradation
5. Skill training and employment incentives, tax rebates to train as well as employ inexperienced and fresh trainees
6. Ease of keeping, maintaining and reporting records or filings through one stop accounting, invoicing, compliance portal with the Ministry of Company Affairs, Income Tax and GST–all on a single platform for MSMEs and a single source government platform, instead of private companies, offering software for accounting or filing returns.
7. Restructuring of banking and export facilities in case of impugned cash flows and market distortions
8. Support for testing, improvements and certification for international standards, registrations and market certification to enable international market access.
The entire survey is like a white paper that has been published on behalf of the MSMEs which chose to answer the questionnaire, in the hope of witnessing systemic and policy changes, which could help create a more vibrant entrepreneurial ecosystem in India.