How does National Small Industries Corporation help Micro, Small, and Medium Enterprises

 

National Small Industries Corporation (NSIC), is an ISO 9001-2008 certified Indian government venture under the Ministry of Micro, Small and Medium Enterprises (MSME). NSIC has worked to promote aid and foster the growth of micro, small and medium-sized enterprises in the country. NSIC operates through a national network of offices and technical centers in the country. To administer operations in African countries, NSIC operates from its office in Johannesburg, South Africa. In addition, NSIC has established a training and incubation center run by professional manpower.

 

·         NSIC schemes: NSIC facilitates micro, small and medium-sized enterprises with a series of tailor-made schemes to improve their competitiveness. NSIC provides integrated support services in Marketing, Technology, Finance and other support services.

 

·         Marketing support: Marketing has been recognized as one of the most vital tools for business development. It is critical to the growth and survival of MSMEs in today's highly competitive market. NSIC acts as a facilitator and has devised a number of schemes to support businesses in their marketing efforts, both domestically and abroad. These schemes are briefly described as below:

 

·         Consortia and Tender Marketing: Small firms in their individual capacity face large order procurement and execution problems, which deny them a level playing field compared to large firms. NSIC forms consortia of micro and small units that manufacture the same product, thus combining their capabilities.

 

·         NSIC applies tenders on behalf of individual MSEs / MSE Consortia to secure orders for them. These orders are then distributed among the MSEs in line with their production capacity.

 

·         Single point registration for government purchase: Units which are registered under NSIC's Single Point Registration Scheme are entitled for remuneration under "Public Procurement Policy for Micro & Small Enterprises (MSEs) Order 2012", as notified by the Government of India, Ministry of Micro Small & Medium Enterprises, New Delhi saw Gazette Notification of 23.03.2012.Free issue of Tender Sets; Earnest Money, Deposit (EMD) payment exemption, Participating MSE offers quoting the price within the price range of L1 + 15% will also be allowed to supply a portion of up to 20% of the requirement by lowering their price to Price L1 where L1 is not MSE.

 

·         All Ministries / Departments / Central PSUs will set an annual target of at least 20% of the total annual purchases of products or services produced or rendered by MSEs. Of the 20% annual supply requirement from MSE, 4% is allocated to the units owned by Schedule Caste / Schedule Tribes (as per PPP Ordinance of 23.03.2012 the general procurement target will be mandatory, e.g. 01/04 / 2015)

·         With increasing competition and the melting of international borders, the demand for information is reaching new heights. NSIC, realizing the needs of MSMEs, offers Info media

 

·         Marketing Intelligence: Collect and disseminate both national and international marketing information for the benefit of MSMEs. This cell, in addition to spreading awareness on the various programs / schemes for MSMEs, will in particular maintain the database and disseminate information.

 

·         Exhibitions and technology fairs: To showcase the expertise of Indian SSIs and seize market opportunities, NSIC participates annually in selected international and national trade shows and fairs. NSIC facilitates small business participation by providing rental concessions, etc. Participation in these events exposes SSI units to international practices and enhances their business capabilities.

·         Meeting between buyer and seller: Wholesale and departmental buyers such as Railways, Defense, Communications and large corporations are invited to attend buyer-seller meetings to enrich small business knowledge of terms and conditions, quality standards, etc. Requested by the buyer. These programs are aimed at developing suppliers from MSME for wholesale manufacturers.

 

·         Credit support: NSIC facilitates small business credit requirements in the following areas: Financing for the procurement of raw materials (short term)
The NCI's Commodity Assistance Program aims to help small businesses by financing the purchase of raw materials (both native and imported). The salient features are: Financial assistance for the procurement of raw materials up to 90 days, Wholesale purchase of basic raw materials at competitive prices, NSIC facilitates the import of scary commodities, NSIC handles all procedures, documentation and issuance of letters of credit in case of imports.

·         Financing for marketing activities (short term) NSIC facilitates the financing of marketing activities such as internal marketing, exports and invoice discounting.

 

·         Finance through syndication with banks: In order to ensure a smooth flow of credit to small businesses, NSIC is forging strategic alliances with commercial banks to facilitate long-term financing / working capital of small businesses across the country. The agreement provides for the forwarding of loan requests from the small businesses concerned by the NSIC to the banks and sharing the processing fee.

 

·         Performance and credit rating scheme for small industries: The need for a yield and credit rating mechanism for micro and small enterprises) was highlighted in the Union budget "04-05. A framework for micro and small enterprises was formulated in consultation with the Indian Banks' Association (IBA) and Rating Agencies NSIC has been appointed nodal agency for the implementation of this scheme through empanelled agencies.

 

Benefits of performance and credit rating: An independent and reliable third-party opinion on the capabilities and creditworthiness of micro and small businesses, Availability of interest-bearing credit, Recognition in global trade, Timely credit sanctions by banks and financial institutions, Subsidized rating fee structure for micro and small enterprises.

 

CONTACT: Unit No.450, Mastermind One - IT Park, Royal Palms, Aarey Colony, Goregaon(E), Mumbai, Maharashtra 400065Ph:+91 8097027355, +91 9137256150, +91 9222086563 or visit http://franchisebirbal.com/

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