PUDUCHERRY: Lieutenant Governor K Kailashnathan on Thursday said India has the strength and capacity to overcome global taxation challenges and is on course to emerge as the world’s third-largest economy in the near future.
He was speaking after inaugurating the Puducherry Gateway Seminar for Small and Medium Enterprises (SMEs), organised jointly by the Ministry of External Affairs and the Puducherry Government.
Highlighting the contribution of SMEs to India’s growth, Kailashnathan said Prime Minister Narendra Modi’s initiatives had significantly boosted the country’s economic prospects. “Although the imposition of high tariffs by the US has impacted us, India will soon overcome these challenges,” he added.
The L-G noted that SMEs form the backbone of the Indian economy, contributing 30% to the GDP and 48% to exports, besides generating 11 million jobs. He urged entrepreneurs to make use of Central schemes such as MUDRA, Start-Up India and Stand-Up India to expand their businesses.
Announcing a pro-industry reform, Kailashnathan said the Puducherry Assembly, which meets on September 18, would introduce a Bill aimed at easing business operations.
“If passed, the legislation will bring reforms in several areas, including exempting new entrepreneurs from obtaining a no-objection certificate for the first three years of their business. The Bill will change the ecosystem needed for industrial development in Puducherry,” he said.
Emphasising Puducherry’s strengths in infrastructure and connectivity, he pointed out that the Union Territory has strong road, rail and air links, along with Karaikal Port, making it a favourable destination for industries. Efforts are also under way to link Puducherry with Karaikal by rail and with other destinations in southern India.
The L-G also welcomed the launch of the MSME Excellence Hub in Puducherry, describing it as a vital platform for innovation, collaboration and sustainable growth in the sector.
Industries Minister A Namassivayam said land in Sedarapet would soon be allotted to investors, with priority given to non-polluting and employment-intensive units. Industries Secretary Vikrant Raja and S Vijayakumar, Senior Officer of the Ministry of External Affairs’ regional office in Chennai, also addressed the gathering.