TRADERS REGISTRATION AS MSME’S – POSSIBLE SOON ??

TRADERS REGISTRATION AS MSME’S  – POSSIBLE SOON ??

During a meeting of Shri Nitin Gadkari, Union Minister for MSME and Road Transport and Highways with the representatives of Council of Leather Export, FICCI-‘NBFC Program’ and IMC Chamber of Commerce and Industry on impact of COVID-19 on MSMEs, Some of the questions asked and the suggestions given included

Major Points discussed :

•          Including traders as MSMEs,

•          Inclusion of Medium enterprises in the M/o MSME order dated 02.11.2018 related to timeline of 45 days for payment to MSMEs,

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List of questions asked and the suggestions given included:

Suggestion 1	Including traders as MSMEs,
Suggestion 2	Inclusion of Medium enterprises in the M/o MSME order dated 02.11.2018 related to timeline of 45 days for payment to MSMEs,
Suggestion 3	incorporating digital KYCs in case of NBFCs,
Suggestion 4	push required from RBI to change master KYC notification encouraging use of contact list KYC
Suggestion 5	including cotton spinning in the eligibility list of Interest Subvention Scheme,
Suggestion 6	permission for cargo flight in Kanpur,
Suggestion 7	reducing imports and utilizing domestic capacity,
Suggestion 8	need of labour reforms to bring change in MSME sector, etc.

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Kindly note that:

Shri Gadkari responded to the questions from representatives and requested for sending suggestions and assured all the help from the government:

AUTHOR VIEWS:

1. As per above suggestions, Traders may be allowed to get registered as MSME under the MSMED Act, 2006 via udyogaadhaar Registration.

2. This will help a big group of Traders to get benefits under MSME.

3. Soon Medium Enterprises will also get benefit of Protection against Payments (Delayed Payments).

In any case, a payment due to a micro or small or Medium enterprise (only suggestion) cannot exceed 45 days from the day of acceptance or the day of deemed acceptance.

And if payment got delayed:

Interest is to be paid at three times the bank rate notified by the RBI.

Source of Information:

https://www.pib.gov.in/PressReleseDetail.aspx?PRID=1629405

Disclaimer:

IN NO EVENT THE AUTHOR SHALL BE LIABLE FOR ANY DIRECT, INDIRECT, SPECIAL OR INCIDENTAL DAMAGE RESULTING FROM OR ARISING OUT OF OR IN CONNECTION WITH THE USE OF THIS INFORMATION.