SRINAGAR: The Federation of Chambers of Industries Kashmir (FCIK) has expressed concern over the exclusion of Micro, Small, and Medium Enterprises (MSMEs) from developmental projects and called for an end to manipulated tenders.
FCIK criticised the exclusion of MSMEs from major projects like the Revamped Distribution Sector Scheme (RDSS) and the Smart City project, and voiced concern that a similar trend is being followed in smaller projects. The federation urged authorities to restrict departments from issuing tenders that are designed to exclude local MSMEs, which have traditionally contributed significantly to these projects.
FCIK highlighted a recent example involving a tender issued by the Executive Engineer, Flood Spill Channel Division Narbal, for constructing chain-link fencing along Mamath Khul Budgam. The federation noted that chain-link fencing is an industrial product typically manufactured by MSMEs, and its installation falls under the category of service provision, which MSMEs are also capable of handling.
FCIK expressed surprise that the tender was categorised as a “works contract,” which is generally reserved for large-scale infrastructure projects, thereby unfairly excluding local MSMEs from participating.
The President of FCIK, Shahid Kamili, pointed out that the Ministry of MSME has already clarified that MSMEs can register for both manufacturing and service activities under the Udyam Registration Portal. He regretted that departments continue to overlook this and instead classify such projects under “works contracts,” which exclude MSMEs. FCIK intends to raise the issue with the Chief Secretary, advocating for the protection of local manufacturers and increased competition to ensure fairer pricing and quality standards.
