If we have to achieve GDP growth of around 8 to 8.5%, we have to focus on SME Sector and provide necessary support, emphasised Shri Montek Singh Ahluwalia, while addressing a gathering as Chief Guest at the Conclave on “Empowering Indian SME Sector for 2020 - Opportunities and Challenges” jointly organised by Small and Medium Business Development Chamber of India (SME Chamber of India) and India International Trade Centre (IITC-India) at Mumbai.

The three important factors - Infrastructure, Access to Capital and Skill Development - need attention if the Small and Medium Enterprises which are the backbone of the Indian economy have to succeed in 2020. SMEs play an important role as a growth engine of the Indian economy by putting efforts to achieve 9% growth, contribute 40% of the total industrial output, 34% of the export and employ 30 million people and adding 1 million jobs in year.

The demand for the energy would increase manifold during the coming years when the SME Sector are on the growth path. The Government has a target of additional capacity in power generation of 78,000 MW. Today the capacity that has already been ordered and is on the stream is over 60,000 MW.

Commenting on Access to capital, he has informed that the Financial Schemes and products are getting sophisticated and there are a number of venture capital funds and private equity operations available including investors from abroad. A regulated capital market also shows that the Indian fundamentals are on a strong footing.

Emphasising the importance of education and skill development of the Small and Medium Entrepreneurs, Mr. Ahluwalia has observed that the Government has taken initiatives to set up “Skill Development Council” headed by the Prime Minister with contribution from both Government and Private Sector. This will run like a private organisation under a CEO. The Council will involve representatives of the associations representing 10 manufacturing sectors and 10 service sectors which will create tremendous scope for employment generation.

Dr. Raghunath Mashelkar, President, Global Research Alliance, who presided over the Conclave said that SMEs should take adequate precaution in intellectual property rights and also emphasised that the SMEs should utilise latest technologies and innovations to produce quality products to enter into International markets.

The other eminent personalities include Shri Anil Deshmukh, Hon’ble Minister for Public Works (Public Undertaking), Maharashtra, Smt. Malini Shankar, Development Commissioner, Government of Maharashtra, Shri Rajinder Singh, Chairman and CEO, Global Absolute Group and Shri Chandrakant Salunkhe, President, Small and Medium Business Development Chamber of India besides others.

Mr. Iliya Dekov, Trade Commissioner of Bulgarian Embassy in India announced that Bulgarian Embassy and Department of Economy, Government of Bulgaria has given responsibility to SME Chamber of India and India International Trade Centre to set up “Indo –Bulgarian SME Development Council” for the development of SMEs in both the countries.

Shri Ahluwalia presented “Annual Entrepreneurship Excellence Awards-2007” to those successful entrepreneurs who are supporting SMEs – namely, Shri Rajinder Singh, Chairman & CEO, Global Absolute Group, Shri Rasesh Kanakia, Chairman, Kanakia Group, Shri Ashok Pathare, Chairman & Managing Director Paxchem Ltd., Shri Sunil Mantri, Chairman & MD, Sunil Mantri Realty Ltd, Shri Sunil Pathare, Vice Chairman & Managing Director, Maxwell Industries and Shri Narayana B. Shetty, Director, Triveni Management Consultancy Services Ltd. during this Conclave.