Chandigarh, September 17: The Micro, Small and Medium Enterprises (MSMEs) in Punjab have got a major impetus with the state cabinet approving rules to provide a well-formulated legal framework for their operations, with an effective mechanism to mitigate the problem of delayed payments to such enterprises.

The Cabinet, led by Chief Minister Captain Amarinder Singh, on Friday okayed the Punjab Micro and Small Enterprises Facilitation Councils Rules, 2021 under the Micro Small and Medium Enterprises Development (MSMED) Act, 2006, to facilitate the promotion, development and competitiveness of MSMEs.

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According to a spokesperson of the Chief Minister’s Office, these rules provide the first-ever legal framework for recognition of the concept of “enterprise” (comprising both manufacturing and services) and integrating the three tiers of these enterprises, namely Micro, Small and Medium. Apart from a clearer and more progressive classification of each category of enterprises, particularly the small ones, the Act provides for a statutory consultative mechanism at the national level, with a wide representation of all sections of stakeholders and with a wide range of advisory functions. One of the silent features of the Act is that it provides an effective mechanism for mitigating the problems of delayed payments of micro and small enterprises.

All district-level Micro and Small Enterprises Facilitation Councils established under the chairmanship of respective Deputy Commissioners across the State would ensure proper implementation of the aforesaid rules to ensure the development of MSMEs in the State, and to resolve the issues of delayed payments effectively for the betterment of Micro & Small Entrepreneurs under the Micro, Small and Medium Enterprises Development Act, 2006.

Notably, the respective Deputy Commissioner of these districts shall exercise the powers of the Director, Industries and Commerce, and shall be the Chairperson of the Council with Lead District Bank Manager of the concerned District as Members, besides two members from the association of micro or small Industry or enterprises in the state MSMEs as non-official members. The General Manager of District Industries Centre would be the Member Secretary.

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Carrying forward the state government’s thrust on augmenting efficiencies through rationalization, the Cabinet also approved the restructuring of the Tourism and Cultural Affairs, Archaeology, Museums and Archives department for the creation and filling up of additional 9 new posts on a regular scale, besides additional 35 new posts on outsourcing basis at minimum wages prescribed by the State Government.

The Cabinet also approved the restructuring of the Food Civil Supplies & Consumer Affairs department related to its various wings i.e. Food & Supplies, Legal Metrology Wing and Consumer Protection Act Branch. It gave the nod to sanction 109 new posts against 159 posts surrendered in the Food & Supplies, 20 against 35 posts in Legal Metrology Wing, besides creation of 130 new posts in Consumer Redressal Commissions. Thus, a total of 259 posts have been created against 194 surrendered posts to ensure better efficacy and transparency in the functioning of the department, which ensures the food security of the country while safeguarding the interests of farmers and consumers.


To ensure administrative efficiency in the functioning of the Water Resources Department, the Cabinet also approved the Punjab Department of Water Resources, Junior Engineer ‘Group-B’ Service Rules, 2021 and the Punjab Department of Water Resources, Junior Draftsman & Surveyor ‘Group-C’ Service Rules, 2021.

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