Hyderabad, October 23, 2024: The Office Bearers and Association Members of the OFICCI ASSOCIATION – the ‘OBC FEDERATION FOR INDIAN CHAMBERS OF COMMERCE AND INDUSTRY’; led by Rama Mohan Manamasa, CMD, MRM Group Founder and Chairman, OFICCI; called on the OBC Parliamentary Committee Chairman Ganesh Singh Ji along with Ambica G Lakshminarayana Valmiki, MP, Anantapur; at Hotel Taj Krishna today and gave a representation on behalf of OFICCI. Mr Manikam Tagore, MP appreciated the efforts of OFICCI. Rama Mohan Manamasa, Founder and Chairman, OFICCI along with OFICCI Executive members Prabhakar Yadav, G. Sreedhar and other members of OFICCI; explained the need for promoting OBC Entrepreneurship in India. The representation is as below.
Representation to the OBC Parliamentary Committee
Subject: Request for Support and Preferential Treatment for OBC Entrepreneurs in Public Procurement, Financial Access, and Industrial Allotment
Respected Members of the OBC Parliamentary Committee,
On behalf of the OBC Federation of Indian Chambers of Commerce and Industry (OFICCI), I submit this representation to bring to your kind attention certain critical issues faced by OBC entrepreneurs in India. These challenges hinder their ability to compete on equal footing, grow their businesses, and contribute to the national economy. We seek the Committee’s support in addressing the following areas:
1. Preferential Treatment in Public Procurement via GeM (Government e-Marketplace):
Despite the establishment of GeM as a transparent portal for government procurement, OBC-owned enterprises often struggle to secure government tenders due to limited resources and access.
We request the Committee to recommend measures for preferential treatment or quotas for OBC-owned MSMEs on GeM, similar to the provisions for SC/ST entrepreneurs, to ensure fair competition and equitable access to government contracts.
2. Instructing Banks to Support OBC Entrepreneurs under CGTMSE (Credit Guarantee Fund Trust for Micro and Small Enterprises):
While CGTMSE provides much-needed financial support to MSMEs, there is a lack of targeted support and awareness among OBC entrepreneurs.
We request the Committee to direct banks to prioritize OBC entrepreneurs for CGTMSE loans, ensuring ease of access to credit without the burden of collateral. Additionally, banks should conduct outreach programs specifically aimed at increasing awareness of CGTMSE among OBCs.
3. Priority Lending for OBC MSMEs:
Access to affordable credit remains a critical issue for OBC-owned businesses. Despite being a significant contributor to the MSME sector, OBC entrepreneurs face higher interest rates and bureaucratic delays in loan approvals.
We propose that the Committee recommend guidelines to banks for prioritizing lending to OBC-owned MSMEs, along with lower interest rates to facilitate their growth and reduce financial stress.
4. Reservation in Allotment of Plots in Industrial Parks Across India:
Industrial plots in state and central industrial parks are vital for the establishment and expansion of MSMEs. However, OBC entrepreneurs often face challenges in acquiring such plots due to stiff competition and lack of reservation policies.
We request the Committee to recommend a reservation of at least 15% of industrial plots in all central and state industrial parks for OBC entrepreneurs. This would provide a level playing field and support the establishment of OBC-owned enterprises in these parks.