Reaching out: Union urges minister to facilitate SME sector

Lack of education, finance major impediments.

KARACHI:


The Union of Small and Medium Enterprises (UNISAME) has urged the Federal Minister for Planning and Development, Ahsan Iqbal to facilitate the sector in the revised SME policy being prepared by his ministry.


Unisame President Zulfikar Thaver said the impediments to SME growth include lack of education, finance, proper environment, infrastructure, and logistics.

“These days along with the energy crisis, the law and order failure is the real issue,” said Thaver.


In order to promote, encourage, facilitate, motivate and upgrade the sector, the Unisame has suggested educating the SMEs about advanced technology in production, management, marketing, accounting and inventory control through the Small and Medium Enterprises Development Authority (Smeda).

He asked to encourage the SMEs to make plans for balancing and replacement of their units and arrange transfer of technology through the SME associations and chamber of commerce. “It is necessary to facilitate the SMEs through banking, leasing and insurance as these are the pillars for growth,” he said.

The SMEs in order to progress need stricter laws and the infrastructure also needs to be improved. The SME sector is dependent on logistics which encompasses transportation, warehousing and collateral management. There is an immediate need for alternate energy due to the current energy crisis. There is an urgent need for industrial estates in all the provinces.

Published in The Express Tribune, August 16th, 2014.

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