Unisame submits budget proposals

Union Of Small & Medium Enterprises (Unisame) has demanded the government to provide various incentives to small & medium enterprises (SMEs) in next budget to provide level playing field of economy to this sector. A set of budget proposals, submitted with government covers various issues related to SMEs sector varying from land, finance, leasing, raw material, education to marketing, environment etc. On industrial land, Unisame demanded the government to develop industrial zones & industrial estates with complete infrastructure and for this purpose the government must enlist architects, consultants, engineers & contractors.
"There is ample land lying all over Pakistan which is unutilised and the same can be put to good use for putting up industries and also for farming on modern lines and agro based industries, it added.
It also demanded that finance at affordable mark-up should be provided to SMEs with setting up of SMEs fund.
With regard to uninterrupted supply of raw material, it maintains that being the important component of manufacturing and processing, it should be ensured on regular basis with continuity whether it is of indigenous material or imported.
In this regard, it emphasised the need for import houses, which could import for several SMEs on a collective basis and for indigenous raw material an indent house can serve several SMEs collectively.
Identifying poor marketing as major reason for losses in SMEs it suggested export houses to perform the job of exporting goods manufactured by SMEs. For domestic marketing the system can be developed and distributors and selling agents can perform the task with skill.
Unisame recommended for education of SMEs about new laws, accounting, Information Technology, standardisation, etc, besides this sector needs peace of mind and no disturbance because intimidation by different agencies obstructs their progress.
To enhance its production, SMEs need motivation, it said adding that promotion & development organisations must visit SMEs and motivate them by explaining the benefits and advantages of setting up units.
Pointing out technological help as an important requirement of SME, it proposed the development of a system technological help industry wise on operator, supervisory & managerial levels.
It demanded zero import duty on machinery and very low import duty on packing materials and tax holiday for new entrants to encourage them and provide them incentives.
On leasing facilities, it proposed that these should be provided for commercial property leasing, on low mark-up and easy instalment payment schemes over a long period of time and likewise leasing of machinery & plants for manufacturing must be provided on easy terms with no equity.
Some other recommendations sought by Unisame include export credit guarantee scheme for exports under favourable terms, setting up of SME chamber of commerce & industry, co-ordination between the various institutions, exemption of SMEs from labour laws and factories act and few others.