January 17, 2021
Small entrepreneurs have been hit hard by rising raw material prices. Entrepreneurs have demanded that the central and state governments take action to set up a committee to determine the prices of raw materials.
Tamil Nadu Handicrafts and Micro Entrepreneurs Association District President James said:
Coimbatore is rich in micro-entrepreneurs. There are about 20,000 small businesses in Coimbatore, who employ about two lakh workers. Entrepreneurs are facing various hardships such as the impact of the Coronavirus curfew, rising raw material prices and difficulty in getting job orders.
Entrepreneurs are facing severe economic crisis despite not being able to avail of the federal government’s Corona loan scheme. Just as the central government has announced a private loan scheme for road traders as a minimum loan, the scheme should also be announced for small entrepreneurs. To protect micro-enterprises, the central government should announce a personal loan scheme through banks with a current account balance of at least Rs 1 lakh to Rs 5 lakh. The loan is to be provided at 5 per cent interest without any conditions. GST of 5 per cent is levied on all industrial raw materials and manufactured goods.
A committee should be set up to determine the price of raw materials to control the rise in prices of raw materials. A business hub for small business should be set up in the center of Coimbatore.