Public procurement policy not followed by states: Federation

Manav Mander

Tribune News Service

Ludhiana, December 3

Although thet government has made it mandatory to give 20 per cent share to the Micro, Small and Medium Enterprises (MSME) in the public procurement, the cycle industry is not able to draw benefits from the public procurement policy due to strict criteria set for filling tenders.

Every year various state governments float tenders for procuring bicycles to be given under various schemes, but the criteria fixed for taking part in the tender procedure is so strict that small industries are unable to fill the tenders and what to talk about getting tenders.

“The conditions laid down are very strict and only big corporate houses are able to fulfill the same. The small companies are unable to fulfil the same and participate in tender procedure,” said Badish Jindal, President of Federation of Punjab Small Industries Association (FOPSIA).

Another small scale cycle manufacturer, Ashok Kumar, further added that the policies made by the Central government should be followed by every state, but sadly nothing was being in this regard.

“The loss is incurred by the industry due to state governments not following the policies of the Central government. Conditions pertaining to turnover, and supply in the government sector for three years, etc, laid by the government are such that the MSMEs are unable to comply with them,” he said.