SC/ST quota in govt tenders on the cards
By PTI May 16 2011 , New Delhi
Within the proposed policy being considered for reservation of
government purchase orders for micro and small enterprises (MSEs),
there will be a sub-quota for businesses owned by SCs/STs.
While there is not much resistance to the idea of a 4 per cent
sub-quota for entrepreneurs belonging to SC/ST communities, a
consensus on the overall proposal for 20 per cent reservation for MSEs
is yet to emerge.
"SCs/STs issue has been resolved. There will be sub- reservation," a
senior official in the MSME ministry said, adding that if there is not
enough capacity with these entrepreneurs, the orders can be passed on
to general category sourcing channels.
The Ministry of Social Justice and Empowerment has been pushing for
sub-quota for SC/STs in government tenders, which are worth about Rs
1,70,000 crore annually. The share of all MSEs in these tenders is
about 4-5 per cent.
The Ministry of Micro, Small and Medium Enterprises (MSME) is trying
to forge an inter-ministerial consensus on reservation for MSEs in
state purchases, an official said.
The proposal is being followed on the recommendation of the Prime
Minister's Task Force on the issue.
There are concerns from some ministries like petroleum and natural
has, home, commerce and the railways over the quality and capability
of MSEs to deliver the orders.
Micro, small and medium enterprises (MSMEs) employ around six crore
people and contribute 8 per cent to the country's gross domestic
product. They account for 40 per cent of India's total exports and
over 45 per cent of total manufacturing output.
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