JEYPORE: At least 13 MSME industries functioning in the tribal-dominated Koraput district are on the verge of closure due to lack of Government support and subsides. The beleaguered industries are running from pillar to post to get the subsidy to repay loans.
Sources said the Ministry of Micro, Small and Medium Enterprises had declared 35 per cent subsidy for each food processing units in 2012. Accordingly, 12 rice mills and one ice cream factory were set up in different industrial areas of the district. The bankers had also given loans to these units to promote industrial growth in the tribal areas. The industries started manufacturing their products in the last phase of 2014. But later, the State Government declined to grant the subsidies citing that the Centre’s food processing subsidy scheme has been stopped. However, the Government had assured to provide subsidy under its new State Food Processing scheme launched on April 15. Industries have to apply afresh for the subsidies.
Though the industries had made fresh applications to the Industries department, subsidy amount is yet to be released. For the last three years, they have been appealing at different forums, but in vain. About `3 crore subsidy amount is to be distributed among the beleaguered industries. Plagued by issues of money, men and material, these industries, meanwhile, received closure notices from the banks concerned. On Tuesday, they sought the intervention of Chief Minister Naveen Patnaik over the issue.