Karnataka is mulling a separate ministry to exclusively deal with the small-scale sector. On Chief Minister S Siddaramaiah’s directions, a new ministry for small-scale sector will be created.
Declaring the creation of a ministry for the small-scale sector after inaugurating an exhibition organised by KASSIA at Dobbarpet, some 50 km from Bengaluru, Deputy Chief Minister DK Shivakumar said the government was encouraging this sector, which generated employment for the masses. Already, he said there is a rule in place mandating 20 percent of KIADB grants were to the small-scale industries.
Addressing a gathering at the exhibition, Shivakumar said, “I will take this up with Industries Minister M B Patil and raise it during the Cabinet meeting. It’s time we put more focus on the small-scale sector.” Understanding these problems from the perspective of job creation, he also voiced concerns about how SSIs function. “KASSIA needs to put more pressure on the government to do more for them. The Centre has announced that banks will lend more to small-scale industries, but in reality, the banks are not lending any money to small-scale industries. Banks are biased towards more established businesses,” he said.
Responding to concerns raised about the lack of human resources in the small-scale industries, DK Shivakumar said that he had spoken with the Chief Minister and given the necessary directions to the Labour Minister. “You do have to meet ministers and explain your issues clearly, else they won’t understand. Some of them think only IT/BT is an industry,” he told the industrialists gathered at the meeting.
He further highlighted Karnataka’s policies concerning SSI’s over other states. “Many other states have very attractive policies for small-scale industries, but they don’t have quality talent. We are starting a new training centre for small-scale industries. I have come here to tell you that the government is with you and KASSIA,” he added.
Responding to a question on an unrelated matter, the deputy Chief Minister denied suggestions that his meeting with the Home Minister was in connection with the speculations over power sharing in the state.
