Sme Connect April July 2012

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Initiated by SME Chamber of India Volume 2 | Issue 2 | July 2012 | Pages 64 | `50
MoU Exchange Ceremony in the presence of Prime Minister of Malaysia
MALAYSIA VISIT
MAHARASHTRA SME SUMMIT
GUJARAT SME MANUFACTURING SUMMIT
ACTIVITY REPORT OF SME CHAMBER OF INDIA
SMALL & MEDIUM BUSINESS DEVELOPMENT CHAMBER OF INDIA

Empowering SMEs for Global Competitiveness
OBJECTIVES FOR THE GROWTH OF SMEs
Identify emerging business opportunities Entrepreneurship Development Connectivity with Global Market Empowerment for Competitiveness Imparting knowledge and Education Interface with the policy makers
ACTIVITIES FOR THE GROWTH OF SMEs

Export & Trade Promotion Bank Finance, PE/VC and Investments Technology Upgradation Joint ventures and technology transfers Contract manufacturing tie-ups International collaborations and alliance Marketing, Branding and Promotion Connectivity with potential business partners Survey and Research
Mergers and Acquisitions Set up new Enterprises in India and abroad Conference, Seminars, Workshops and training programs Exhibition, Trade Fairs, Display Centres Delegation and Trade Missions Redressal of issues and problems with concerned authorities Rehabilitation / Revival of Sick Units Recognition and Appreciation Awards
OUR INITIATIVES
Europe - India SME Business Council (EISBC) SME Export Promotion Council SME Business Management Institute Indian Young Entrepreneurs Forum Indian SME Knowledge Forum Industrial and SME Research Centre of India (ISRCI) SME Technology Development Council SME Connect - Magazine and Portal SME Business Club SME Grievance Forum
BI-LATERAL TRADE PROMOTION DIVISIONS

India USA SME Business Council India China SME Business Council India Canada SME Business Council India UK SME Business Council India GCC SME Promotion Council India Korea SME Business Council India Turkey SME Business Council India Zambia SME Business Council India South Africa SME Business Council India ASEAN SME Business Council
FOUNDER & PRESIDENT MR. CHANDRAKANT SALUNKHE

Tel: +91 - 22 - 6150 9800 / 6667 4444 | Fax: +91 - 22 - 2825 0414 / 2927 1750 Email: smechamberofindia@vsnl.net | smechamber@vsnl.net | Website: www.smechamberofindia.com Registered & Head Office 3, Upper Ground Floor, Samruddhi Venture Park, Marol MIDC, Industrial Estate, Andheri (E), Mumbai:- 400 093.
Regional Offices: Delhi, Bangalore, Ahmedabad, Pune, Chandigarh, Hyderabad, Chennai, Jaipur Representative Office: USA, UK, France, Bulgaria, Turkey, China, Malaysia, South Korea, South Africa, UAE, Zambia, Singapore The Chamber is a Private Organisation and Registered Under Section 25 of The Indian Companies Act, 1956.
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Volume 2 | Issue 2 | July 2012 | 64 Pages
Foreword
Dear Patrons,
Editor Mahesh Balasaheb Salunkhe Panel of Advisors Chandrakant Salunkhe A. Rameshkumar Girish Bhagat Sai Madhavan V. K. Venkatachalam
t gives me immense pleasure to present you the SME Connect Magazine along with activity report of the Chamber from April to July, 2012.
Publicity and Marketing Hemant Salunkhe (Director) Bricks Marketing & Promotion Pvt. Ltd. Team Saakshi Kulkarni Neera Inamdar Madhuri Khanwalkar Omesh Kandalkar Layout & Graphics Gandhi Gajelli
As all of you are well aware, Indian economy, over years has become increasingly integrated with the global economy and developed trade relations with number of countries. However, the prolonged financial crisis in the EU countries, Indian SME sector is facing several challenges. The SMEs are also facing acute problems of global competition, lack of connectivity, marketing facilities, un-availability of adequate and timely finance, skilled manpower, decrease in export orders, increase in raw material cost, quality infrastructure and many others. Despite various initiatives taken by the Government towards the development of the SME sector, the sector still finds it difficult to compete in the local and international markets. It is evident that new path of economic reforms and policies are required in order to enable these small units to become competitive, integrate them successfully and operate fully in the globalised industry. Recently I have attended two programs in Malaysia and found that the policy makers and government agencies there are highly proactive to understand the needs of SME Sector and putting continuous efforts to connect Malaysian SMEs with worldwide business community. Our Chamber has also decided to organise many activities to connect Indian SMEs with global enterprises for better business growth and expansion. I express my sincere thanks to the supporters and associates for organising activities of the Chamber for the growth of SMEs.

SMALL & MEDIUM BUSINESS DEVELOPMENT CHAMBER OF INDIA (SME CHAMBER OF INDIA). The concepts, activities and events have been designed by us and are exclusively the property of SMALL & MEDIUM BUSINESS DEVELOPMENT CHAMBER OF INDIA (SME CHAMBER OF INDIA). No part of the titles and contents or images should be used, reproduced, stored in a retrieval system or transmitted, in any form or by any means or discussed with any third party without prior written consent of SME CHAMBER OF INDIA. Views and opinions expressed in this magazine are not necessarily those of SME CONNECT, its publisher, printer, owner and / or editors. We (SME CONNECT) do our best to verify the information published but do not take any responsibility for the absolute accuracy of the information. SME Connect does not accept responsibility for any investment or other decision taken by readers on the basis of information provided herein.
Chandrakant Salunkhe
Founder & President Small & Medium Business Development Chamber of India Email: smechamberofindia@vsnl.net
SME CONNECT is Printed, Published & Owned by Mahesh Balasaheb Salunkhe. Printed at Hindustan Packaging, Unit No1, Kembros Industrial Estate, Sonapur Lane, Off L.B.S Marg, Bhandup (W), Mumbai - 400 078. Published from 101, Murlidhar Baldev Estate, Near Vikas Estate, Off Aarey Road, Goregaon (E), Mumbai 400 063. Maharashtra. Editor - Mahesh Balasaheb Salunkhe f 03 h
Volume 2 | Issue 2 | July 2012
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Content
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07
Signing of MoU Between SME Chamber of India and Incheon Technopark, Korea
14

Redefining the Growth of SMEs
15 | Address by Shri Sachin Ahir Hon,ble Minister of State for Industries, Government of Maharashtra 16 | Benefits of Anti-dumping measures for Indian SMEs J. K. Dadoo 17 | SMEs, Industrial and Economic Scenario of Maharashtra & New Industrial State Policy - Impacts and Benefits for SMEs Sanjay Sethi 18 | Emerging Business Opportunities for SMEs Dr. Rashid Al Leem PANEL DISCUSSIONS 20 | Driving Growth of SMEs 24 | Enhancing The Capabilities of SMEs 24 | GST (Goods & Service Tax) Impact and Advantages for SMEs Sanjay Bhatia 28 | Empowering SMEs For Better Growth
10
Felicitation by former Prime Minister of Malaysia (1981 - 2003) and MoU With Malaysian Franchise Association
12
Exchange of MoU Between SME Chamber of India and GMB Malaysia
34
Signing of MoU Between SME Chamber of India and Gyeonggi Small & Medium Business Center
44
46 | Address by Saurabhbhai Patel Hon'ble Minister of State for Industries, Government of Gujarat 47 | Address by Ishwarsinh Patel Hon'ble Minister of State for Cooperation, Sports, Youth Services and Cultural Affairs, Government of Gujarat
PANEL DISCUSSIONS 52 | Transforming SMEs to create sustainable value 56 | Support Services for better growth of SMEs 58 | Technology & Innovation for sustainable growth & International Trade & Investment Opportunities
36
VADODARA SME AND ENTREPRENEURSHIP MEET
PANEL DISCUSSION 40 | ROLE OF BANKERS | FINANCE INVESTMENT | INCENTIVES | FACTORING PROMOTION | MARKETING & BRANDING
61
f 04 h
State Level GUJARAT ENTREPRENEURSHIP & SME EXCELLENCE AWARDS
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Annual Flagship Event
NRI BUSINESS SUMMIT

4 - 6 January 2013 | Mumbai, India
th th
Connecting Global Indians for Better Business Partnerships
TOPICS TO BE COVERED
Overview of Indian Economy & Impact of Global Financial Crisis India's New Manufacturing Policy Opportunities in Manufacturing Sector Delhi-Mumbai Industrial Corridor New arena for investments Special Economic Zones & Industrial Parks Opportunities and Advantages Double Tax Avoidance Agreements Impacts and Benefits Investments Opportunities, Profitability and Viability of Destinations for NRIs Role of Reserve Bank of India, Foreign Investment Promotion Board (FIPB) Role of Department of Industrial Planning & Promotion (DIPP) Investment Routes for NRIs Foreign Direct Investments (FDIs) Rules and Procedures Foreign Exchange Management Act (FEMA) Relevance, Applicability & Implications NRI Taxation Rules and Regulations Qualified Foreign Investors New Route for NRI Investments Opportunities for Public Private Partnerships (PPP) Joint Ventures Opportunities in Manufacturing Sector Investment opportunities in Infrastructure, Health Care, Tourism, Agro and Food Processing Industry, SMEs, Education
Jointly Organised by
Supported by
IITC-INDIA
INDIA INTERNATIONAL TRADE CENTRE (IITC-INDIA)

Supported by
MAHARASHTRA INDUSTRIAL AND ECONOMIC DEVELOPMENT ASSOCIATION

Event Managed by
GOVERNMENT OF MAHARASHTRA
IT Partner
Supported by
EISBC
Knowledge Partner
PACKAGING INDUSTRY ASSOCIATION OF INDIA
EUROPE - INDIA SME BUSINESS COUNCIL
Industrial and SME Research Centre of India
Macro Events and Exhibitions Pvt. Ltd.
Solutions Private Limited
www.nribusinesssummit.com
Contact For Participation Mr. Omesh Kandalkar Tel: +91 - 22 - 6150 9800 / 6667 4444 Contact For Sponsorship, Speaking Opportunity Ms. Saakshi Kulkarni - Director (Business Development) Mobile: +91 - 98201 79494 | Email: piai@vsnl.net
ADVISORY BOARD OF SME CHAMBER OF INDIA (2011 - 2014)
MR. CHANDRAKANT SALUNKHE

Founder and President Small & Medium Business Development Chamber of India (SME Chamber of India)
MEMBERS
Mr. A. Rameshkumar MD & CEO, Asia Pragati Capfin Pvt. Ltd. Mr. Sanjay B. Chordiya Founder President and Chairman Suryadatta Group of Institutes Mr. Matej Merljak Chairman Europe India SME Business Council (EISBC) Mr. Pankaj Bhandula Senior Vice President, Lavasa Corporation Ltd. Mr. Prashant Nagre Chief Operating Officer, Fermenta Biotech Ltd. Ms. Sangeeta Modi Founder, Access Asset Managers Mr. Ashok Sangolli Project Consultant Mr. Maheshkumar Director, Macro Corporate Services Pvt. Ltd. and General Secretary (Coordination) SME Chamber of India Mr. S. Hemant Kumar Director, Geoptech Solutions Pvt. Ltd. Mr. Omesh Kandalkar Deputy CEO Industrial and SME Research Centre of India (ISRCI) Mr. Girish Bhagat Director, India Nivesh Ltd Mr. Sai Madhavan Director Nishtha Technologies Pvt. Ltd. Mr. Ravindra Kumar Senior Banker and Regional Adviser Standard Bank PLC Mr. V. P. Singh Partner, Mavenvest Capital Partners LLP Ms. Aslesha A Gowariker Partner, Desai & Diwanji Mr. Ajit Shah Executive Consultant, K-Connections Mr. H. P. Shah CEO, Value Plus - The Family Office Ms. Saakshi Kulkarni Director (International Relations & Business Development) SME Chamber of India Mr. V. K. Venkatachalam Advisor, SME Chamber of India Ms. Neera Inamdar Deputy Secretary General SME Chamber of India
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Activity of the Chamber
Signing Ceremony of Memorandum of Understanding

Between

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&
17 July 2012 | Hotel Hyatt Regency, Mumbai
Mr. Kim, Ho Kyoung Project Group Head, Director General, Incheon Technopark, South Korea and Mr. Chandrakant Sakunkhe President, Small & Medium Business Development Chamber of India signing the Memorandum of Understanding on 17th July 2012 at mumbai
Mr. Kim, Ho Kyoung Project Group Head, Director General, Incheon Technopark, South Korea and Mr. Chandrakant Sakunkhe President, Small & Medium Business Development Chamber of India exchanging the Memorandum of Understanding
f 07 h
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KOREA BUSINESS DELEGATION IN INDIA

17th - 22nd July 2012 | Hotel Hyatt Regency, Mumbai
ADDRESS BY DIGNITARIES
Mr. Kim, Ho Kyoung Project Group Head, Director General, Incheon Technopark, South Korea addressing the delegates
Mr. Chandrakant Sakunkhe President, SME Chamber of India addressing the delegates
Mr. Chandrakant Sakunkhe President, SME Chamber of India with Korea Business Delegation in India
ONE - TO - ONE BUSINESS MEETING BETWEEN KOREAN & INDIAN DELEGATES
f 08 h
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FRANCHISE INTERNATIONAL MALAYSIA 2012

19th International Franchise Conference Saturday, 7th July 2012 | Putra World Trade Centre, Kuala Lumpur, Malaysia
YABhg. Tun Dr. Mahathir bin Mohamad - Former Prime Minister of Malaysia (1981-2003) felicitating Mr. Chandrakant Salunkhe President, SME Chamber of India by presenting the token of Appreciation
Mr. Chandrakant Salunkhe - President, Small & Medium Business Development Chamber of India addressing the delegates
EXCHANGE OF MoU
Between
&
MALAYSIAN FRANCHISE ASSOCIATION
Friday, 6th July 2012 | Putra World Trade Centre, Kuala Lumpur, Malaysia
Mr. Chandrakant Salunkhe - President, SME Chamber of India and Mr. Malik Abdullah - Chairman, Malaysian Franchise Association (MFA) exchanging the MoU in the presence of YB Dato' Sri Ismail Sabri Bin Yaakko - Hon'ble Minister of Domestic Trade, Co-operatives & Consumerism, Malaysia, YB Dato' Tan Lian Hoe and YB Datuk Rohani Binti Abdul Karim - Hon'ble Deputy Ministers of Domestic Trade, Cooperatives & Consumerism, Malaysia on 6th July 2012 at Kuala Lumpur, Malaysia
f 10 h
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GLIMPSES OF
FRANCHISE INTERNATIONAL MALAYSIA 2012

19th International Franchise Conference 6th - 8th July 2012 | Putra World Trade Centre, Kuala Lumpur, Malaysia
Mr. Chandrakant Salunkhe - President, SME Chamber of India with YB Dato' Sri Ismail Sabri Bin Yaakko - Hon'ble Minister of Domestic Trade, Co-operatives & Consumerism, Malaysia
Mr. Chandrakant Salunkhe - President, SME Chamber of India is being felicitated by the Malaysian Franchise Association (MFA)
YABhg. Tun Dr. Mahathir bin Mohamad - Former Prime Minister of Malaysia (1981-2003) and Mr. Chandrakant Salunkhe - President, SME Chamber of India with organising Committee of Franchise International Malaysia 2012
Mr. Chandrakant Salunkhe - President, SME Chamber of India with delegation of 2012 Taiwan Franchise and China Store Trade Mission to Malaysia
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EXCHANGE OF MoU
Between
&
YOUNG ENTREPRENEUR ORGANIZATION MALAYSIA
Thursday , 21st June 2012 | Kuala Lumpur Convention Centre, Malaysia
Mr. Chandrakant Salunkhe - President, SME Chamber of India and Mr. Agil Faisal Ahmad Fadzi - President, Young Entrepreneur Organization (GMB Malaysia) exchanging the MoU in the presence of YAB Dato' Sri Haji Mohd Najib bin Tun Haji Abdul Razak - Hon'ble Prime Minster of Malaysia, Dato Sri Mustapa bin Mohamed - Hon'ble Minister of International Trade & Industry, Malaysia and Datuk Ir. Mohamed Al Amin Hj Abdul Majid - Chairman, SME Corp Malaysia.
ASEAN - INDIA SME CONFERENCE

21st - 22nd June 2012 | Kuala Lumpur, Malaysia
(Left) Mr. Chandrakant Salunkhe - President, SME Chamber of India addressing the delegates. (Right) Panelists from (L to R) Mr. Chandrakant Salunkhe - President, SME Chamber of India, Tan Sri Dato' Ajit Singh - Advisor to Malaysian Indian Business Council (MIBC), Dato' Pradip Kukreja - Malaysia Representative to the ASEAN India Business Council, Dato Hafsah Hashim - Chief Executive Officer, SME Corporation Malaysia and Datuk Supperamaniam a/l Manickam - Adjunct Professor at the Department of Economics, Kulliyyah of Economics and Management Sciences, International Islamic University Malaysia during the plenary session 2 : ASEAN in India : Blood, Sweat and Glory
f 12 h
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Organised by
2 - 3 November, 2012 Hotel Sofitel BKC Mumbai, India
nd
rd
WORLD SME PARTNERSHIP SUMMIT

9th International Event
TOPICS TO BE COVERED
Overview of Global SME Sector Strengthening SMEs in Economic Slowdown for Better Growth Indian SMEs Challenges and Opportunities The outlook of innovative India - Manufacturing and Services Sector Enhancing Technology Adoption in manufacturing industries Driving Profitability through ICT adoption Benchmarking Good Production Practices Build competitiveness through R&D & Innovations India's Industry vision in 2020 Enhancing Knowledge based Services Intellectual Property Rights Implications on SMEs looking beyond Boundaries Devising Innovative Industrial policies - Need of the hour Next generation SMEs - Strategies for Competitiveness Outsourcing opportunities for SMEs Understanding Free Trade Agreements (FTA) - Benefits for SMEs Joint Ventures and Technology Transfers Building Progressive Enterprises Building Effective Supply Chain through forward and backward linkages Accessing Private Equity and Venture Capital Funds for Expansion
HIGHLIGHTS OF THE SUMMIT

Connectivity and Networking Presentation and Deliberations Mentoring Keynote speeches Identify business partners Identify investment opportunities Information on new technology JV and Collaboration Opportunities B2B Meets Global SME Excellence Awards Gala Dinner
www.worldsmesummit.net
Co - Organiser
Partner
Partner
Supported by
EISBC
IITC-INDIA

Partner

Partner Knowledge Partner Supported by
Event Managed by
SME BUSINESS MANAGEMENT INSTITUTE
Contact For Participation Ms. Neera Inamdar - Deputy Secretary General Tel: +91 - 22 - 6150 9800 / 6667 4444
Contact For Sponsorship, Speaking Opportunity Ms. Saakshi Kulkarni - Director (Business Development) Mobile: +91 - 98201 79494 | Email: smechamberofindia@vsnl.net
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Redefining the Growth of SMEs
Friday, 15 June 2012 | Hotel Sofitel, Bandra - Kurla Complex, Mumbai
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INAUGURATION
Shri Sachin Ahir Hon'ble Minister of State for Industry inaugurating the Summit
(From L to R) Shri Sanjay Sethi Development Commissioner (Industries) & Secretary, MSME, Govt. of Maharashtra, Shri Chandrakant Salunkhe President, SME Chamber of India & MIEDA, Shri Sachin Ahir Hon'ble Minister of State for Industry, Shri J. K. Dadoo Joint Secretary, Department of Commerce, Ministry of Commerce and Industry, Government of India, Dr. J. N. Misra Chief General Manager, State Bank of India, Maharashtra, Dr. Rashid Al Leem Director General, Sharjah Sea Ports, Customs & Sharjah Free Zones Authority and Shri Vijay Mansukhani Managing Director, ONIDA
Volume 2 | Issue 2 | July 2012 f 14 h www.smeconnect.in
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Shri Sachin Ahir - Honble Minister of State for Industries, Housing, Slum Improvement, Repairs & ReConstructions, Urban Land Ceiling, Mines, Social Justice, De-Addiction Activities & Environment, Government of Maharashtra
Shri Sachin Ahir Hon'ble Minister of State for Industry delivering the inaugural address. Other dignitaries (from R to L) on the dais Dr. Rashid Al Leem DG, Sharjah Sea Ports, Customs & Sharjah Free Zones Authority, Shri Sanjay Sethi Development Commissioner (Industries) & Secretary, MSME, Govt. of Maharashtra, Shri Chandrakant Salunkhe President, SME Chamber of India & MIEDA, Shri J. K. Dadoo Joint Secretary, Ministry of Commerce and Industry, Government of India, Dr. J. N. Misra CGM, State Bank of India, Maharashtra, Shri Vijay Mansukhani MD, ONIDA and Shri V. K. Venkatachalam Secretary General, SME Chamber of India Shri Sachin Ahir, Hon'ble Minister of State for Industry, during his inaugural address, observed that Maharashtra is the largest economy of the country contributing 13% to the national income. Over the last four years, the State's economy has registered an average growth of 9%. The State contributes 20% of country's industrial output and net value addition. Maharashtra ranks number one in manufacturing value output in 15 out of 25 industry sectors. The service sector has 62% share in the state GDP built on a strong industrial base. Commenting on the SMEs sector of the State, Shri Sachin Ahir said that the State has 1,43,950 registered micro and small enterprises providing employment to 19 lakh people. There are 4,221 Foreign Direct Investment proposals amounting to Rs. 84,958 crores for the State amounting to 22% of the overall FDI coming to India. The State has implemented Micro and Small Enterprises Cluster Development Programme (MSE-CDP) in order to support the growth and development of the State SME Sector. Talking on the policies of the State for developing and boosting new age industries, he mentioned the State has been giving more emphasis on the industries based on Information Technology (IT) and
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Bio technology (BT). The government is also focusing on Agro and Food processing industries in order to give a boost to the SME sector. The State has also been giving fiscal and non-fiscal support to promote and sustain industries. The Government is envisaging to attract new investment of minimum Rs. 5 lakh crore in the industrial sector over next 5 years to achieve growth rate of 12 to 13 percent in the manufacturing sector and create 20 lakh new jobs. He further observed that in order to achieve the targets envisaged for growth of manufacturing sector, the Government intends to continue to encourage mega and large investments, make land available for new industrial development, improve i n f ra s t r u c t u re , c h a n n e l i s e f l ow o f investments to lesser developed areas of the State, create investor friendly environment, ease of doing business and develop skilled manpower required for the industry. Fo r e m p l o y m e n t g e n e r a t i o n , t h e Government intends to renew focus on MSME, expedite launch of agro processing policy, leverage State and Central Government's skill development schemes, assist unviable sick units with exit policies and viable sick units with rehabilitation as
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well as reserve adequate land for MSMEs in industrial estates. To improve the industrial infrastructure of the State the Government intends to develop industrial corridors, develop adequate i n f ra s t r u c t u re , f a c i l i t a t e l o g i s t i c s infrastructure, leveraging setting-up exhibition-cum-convention centres by various agencies. He concluded by saying that Maharashtra Government is adopting a holistic approach to the development of MSMEs by providing fiscal and non-fiscal support, by enhancing their competitiveness. He also encouraged the SMEs to take advantage of the opportunities thrown open by the DelhiMumbai Industrial Corridor for their growth.
Shri Chandrakant Salunkhe President, SME Chamber of India & MIEDA welcoming Shri Sachin Ahir Hon'ble Minister of State for Industry with bouquet of flowers
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Special Address by Shri J. K. Dadoo Joint Secretary, Department of Commerce, Ministry of Commerce and Industry, Government of India addressing the delegates on Benefits of Anti-dumping measures for Indian SMEs
Talking on Anti-Dumping measures for SMEs, Shri J.K. Dadoo explained that when the normal value of a product in the exporting country is greater than the export price of a product, it is called Dumping. Defining the Anti dumping of goods, he explained that the Law was framed in order to protect the domestic industry from an uncontrolled flow of foreign goods at price lower than the domestic prices. He also explained Margin of Dumping which is the difference between Normal Value and Export Price of the product based on fair comparison
Explaining the process of anti-dumping, Shri J. K. Dadoo said that antidumping investigations are initiated when a country suspects that its domestic industry is threatened by imports sold at unfairly cheap rates. They may result in the levying of extra duties on Dumped goods. He observed that dumping is considered as an unfair trade practice that can have a distorted effect on international trade. As a result most of the countries have anti-dumping duty in order to rectify the trade distortive effect of dumping and reestablish fair trade. The antidumping is an instrument for ensuring fair rate and is not a measure of
protection per se for the domestic industry. It provides relief to the domestic industry against the injury caused by dumping. He concluded by saying that The Directorate General of Anti-dumping and Allied Duties (DGAD) administers the Anti-dumping measures in India. It functions in the Department of Commerce in the Ministry of Commerce and Industry. The Designated Authority's function is to conduct the antid u m p i n g i nve s t i ga t i o n s a n d m a ke recommendations to the Central Government (DOR) for imposition of antidumping duty.
Address by Shri Chandrakant Salunkhe President, Small & Medium Business Development Chamber of India and Maharashtra Industrial and Economic Development Association (MIEDA)
Shri Chandrakant Salunkhe observed that for a long time Maharashtra was considered as the leading industrial State of India. However, now many neighbouring States like Gujarat, Karnataka and MP have achieved a great industrial progress. It is important therefore to give a much needed thrust for the industrial and economic development of Maharashtra in order to sustain the growth of the State. He stated that as finance is the life-line of enterprises, the credit flow from the Banks and Financial Institutions to the SME Sector should be adequate and smooth. However, recently the credit flow to the sector has witnessed the slowdown mainly due to the rising impact of the crisis as well as the high interest costs. He also observed that the industrial policy of the State should focus on creating more employment opportunities, education and skill development and other measures to empower SMEs of the State to succeed. Investor friendly policies and removing the bottlenecks will go a long way in attracting the much needed investments into the State.
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Keynote Address by Shri Sanjay Sethi Development Commissioner (Industries) & Secretary, MSME, Government of Maharashtra delivering the Keynote address on SMEs, Industrial and Economic Scenario of Maharashtra and New Industrial State Policy - Impacts and Benefits for SMEs
Shri Sanjay Sethi observed that Maharashtra is considered as one of the largest State economy contributing 13% towards India's GDP and growing at an average rate of more than 9% in last three years. The State manufacturing output (21%) is higher than India's manufacturing output (16%). He observed that over period of time the focus of the economy shifted towards service sector and manufacturing activity dropped down on the priority list of the economy. However the importance of manufacturing sector towards the growth of the economy cannot be overlooked as it is the real contributor towards the economic development. He also mentioned that the Government is concentrating more on creating industrial
clusters where the SMEs can come together. Maharashtra though for a long time has remained the industrialist State of India, other states are matching the rate of Maharashtra's growth. However, due to natural advantage of the State, it has competitive edge over other states especially in the manufacturing sector. He also highlighted that the State is ahead of other states in terms of implementation of several mega projects. He also mentioned that the State Government has renewed its focus on development of MSME Sector through Cluster development, Enhance competitiveness of MSMEs and provide incentives to units to reduce burden of initial set up cost and working capital. He also mentioned about the manufacturing
competitiveness program to enhance the competitiveness of MSMEs and enable them compete in the domestic as well as international markets. Talking on the various incentives of the Government for the State MSME sector, he mentioned about the packaged scheme of incentives one of which being reimbursement of VAT on a yearly basis. The Government also provides interest subsidies to those companies He also spoke on District Industry Centres (DICs) that have been empowered to support the industries in the State and for enhancing capability of MSMEs in respective jurisdictions. He concluded with several Incentive packages for SMEs in order to assist them strengthen their operations and improve their competitiveness.
Address by Dr. J. N. Misra Chief General Manager, State Bank of India, Maharashtra addressing the delegates on Banks' support towards Growth of SMEs
Dr. J. N. Misra observed that as SMEs are very heterogeneous in their sectoral composition and size, their need is also very much diversified. He commented that in order to assist the SMEs, SBI has reached every nook and corner of the country with the portfolio of more than Rs. 1.2 lakh cores in MSME Advances. The Bank has also developed a wide array of products to meet the changing needs of the industry. The Bank has 600 SME intensive branches and has set up centralized processing cells (CPC) for processing and sanctioning loans. Through a special scheme called SBI Small and Micro Interest Free Loan as equity (SBI SMILE) loans are granted to entrepreneurs free of interest payable over a long period to meet the share of Promoters Equity. While talking on other products for SMEs, he said Cluster financing, collateral free loans under CGTMSE and Supply Chain Finance are some of the other initiatives towards assisting SMEs. He concluded by mentioning about relationship managers who have been specifically appointed to provide required guidance and assistance to the SMEs in all matters related to the Bank.
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Address by Dr. Rashid Al Leem Director General, Sharjah Sea Ports, Customs & Sharjah Free Zones Authority addressing the delegates on Emerging Business Opportunities for SMEs
Knowing and doing are two different things, commented Dr. Rashid Al Leem, Director General, Sharjah Sea Ports, Custom & Sharjah Free Zones Authority. Throughout the world, over 70% of the employment is generated by the SME Sector. The SMEs in order to become competitive should enhance and develop their knowledge and capabilities in their field of activities and implement them. Differentiation is the key to success in a competitive environment, observed Dr. Leem. Wherever necessary the SME should also look for diversification opportunities. Quoting the example of NOKIA, who is the leading mobile handset
manufacturers, he mentioned that their original business was manufacturing paper, however sensing the upcoming opportunity in field of telecommunication, the company diversified its business in to the field of mobile handsets manufacturing making it to be the World's largest mobile handset manufacturers. He encouraged the SMEs to keep track of upcoming opportunities in the market and grab them in order to stay ahead of the competition. He also observed that all the business activities should address the economic, social and environmental concerns. The
SMEs should also focus on their core activities and add value to the customers. While Disney Land is focused on children it also adds value to their parents. The success of the Wal-Mart lies in their effective cash flow management. He concluded by stating the importance of benchmarking practice for SMEs that will enable them to become more competitive and also expand their business operations as per the industry standards.
Address by Shri Vijay Mansukhani Managing Director, MIRC Electronics Ltd. (ONIDA) addressed the delegates on Industrial Slowdown - Impact on SMEs
No enterprise big or small can progress without a proper business strategy, observed Shri Vijay Mansukhani, An enterprise can be very good in operations however, unfocussed strategy can adversely impact the organization. The strategies should strengthen the core business activities and hence it is important to consider all the business functions in order to devise appropriate business strategy. He also commented that Automation and economies of scale are the two aspects for growth of the SMEs. SMEs need to have a clear cut policy regarding make or buy decisions in order to effectively compete in the market. He observed that Indian SMEs have the ability to produce variety of products and can effectively compete with
countries including China. However, the Indian SMEs suffer from lack of focus on quality of products and services. SMEs therefore should focus their attention on improving the quality of products to meet international standards. In order to improve the skill development and standards of the workers he appealed to the Government to formulate policies and framework for employment. He suggested that the Indian Government should benchmark the same level of incentives offered by the Chinese to their SMEs instead of subsidising diesel, food etc in order to support the growth and development of the Indian SMEs.
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PANEL DISCUSSION ON DRIVING GROWTH OF SMEs
Panelists from (L to R) Shri Shailendra Jindal CEO, Continental Capital Advisors, Shri P. H. Ravikumar Managing Director & CEO, Invent Assets Securitisation & Reconstruction Pvt. Ltd., Shri Sanjay Mukhopadhyay Sales Head, ClApp , Trimax IT Infrastructure & Services Ltd., Shri Ravindra Kumar Senior Regional Advisor, South Asia, Standard Bank LLC and Member, Advisory Board, SME Chamber of India, Shri Divya Sethi Head Product Sales Data Services, Bharti Airtel Ltd., Shri Biswas Nair MD, Proquest Solutions and Shri Rakesh Singh CEO, Aditya Birla Finance Ltd.
Shri Ravindra Kumar Senior Regional Advisor, South Asia, Standard Bank PLC and Member, Advisory Board, SME Chamber of India.
Shri Ravindra Kumar observed that with the current economic situation, business environment has undergone rapid changes. The crisis in PIIGS countries has affected economies worldwide including the BRICS economies. This has thrown number of challenges especially infront of the SMEs. He concluded by encouraging SMEs to stay abreast of worldwide economic situation, new technology development and maneuver their businesses in order to stay ahead of the competition.
Shri Rakesh Singh - CEO, Aditya Birla Finance Ltd addressed the delegates on Enhancing Cash Flows through Invoice Discounting
Shri Rakesh Singh observed that Indian SMEs contributes 12-15% of GDP which is far less when compared to 51% in the Developed Economies. He also noted that 59% of SMEs in India do not have access to formalized lending such as Bank Credit and the situation of SMEs in India is comparable to that of SMEs in low income/Developing countries. He further commented that the most essential criterion for the success of an enterprise is the effective management of cash-flow. Well managed cash flows will translate into increased turnover through greater churning, reduced cost of goods due to greater credit periods, continuous stock repurchase which will ensure less downtime. Increased profits through reduced debt charges, efficient fund utilization via focused Investment in assets / expansion needs and Improved cost and balance sheet structure are other advantages of good cash flow management. This will also result in better debt ratios for greater leverage. He also encouraged SMEs to clearly differentiate between profit and cash flow, realised and unrealized payments. He concluded by stating the recent CRISIL study that a decline of 1% in raw material prices could increase the Operating Profit Margin for SMEs to 6.32% from 5.62%, indicating a rise of 12.5%.There is a huge gap between demand and supplies and the SMEs should opt for appropriate funding options including invoice discounting facilities.
Delegates at the Summit
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Shri Divya Sethi - Head Products Sales, Data Services, Bharti Airtel Ltd. addressed the delegates on Telecom Solutions to Fuel Business Growth
Shri Divya Sethi, Head Products Sales, Data Services, Bharti Airtel Ltd., observed that there are around 1 billion people utilise online services which shows the scope of opportunities in the telecom business. Companies have started giving equal importance to Information Flow as much as to Cash Flow . The meaning of business communication is changing continuously and there is a need for real time information to empower businesses located at remotest locations. There is a digital divide in the country, which needs to be bridged in order to bring digital revolution in the country. The enterprises should change their focus from physical transaction to m-Commerce, e-Commerce and Social Networking for providing the customer ease of transaction, convenience and choice and also to drive efficiency in the organization. He also observed that Information Technology has changed the face of the entire education industry transforming Instructor Dependent System into learner empowerment models. This has facilitated the interaction between teacher and students and also offers any-time, anywhere learning. This has reduced costs on infrastructure and classrooms. This has also facilitated real time assessments of performance and skill-up gradation for teachers thus transforming the entire education system In the health care sector, IT solutions have enabled the patients from accessing the inaccessible health care facilities and also obtain preventive medical aid 24x7. Remote data collection, remote monitoring, remote diagnostic and treatment support and disease and epidemic outbreak tracking are the latest innovations that have changed the healthcare sector and transformed it to benefit society at large. He concluded by commenting that due to every changing business environment and rapidly changing consumer needs and demands, there are plenty of opportunities for ICT solution providers to match the changing business dynamics. Shri Biswas Nair - Managing Director, Proquest Solutions addressed the delegates on Advantage of Cloud / ERP Solutions for SMEs Shri Biswas Nair observed that the Small and Medium Enterprises understand the importance and usefulness of the ICT solutions but are reluctant to go in for the same due to constraints on budget. However, cloud computing offers the best substitute for SMEs as it does not block their valuable capital in the hardware and software expenses and give them freedom to choose a system that matches their requirements.
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Elaborating on cloud computing, he said that the main attraction of the solution is that it enables the customers to pay as per the usage and outsource the installing, upgrading and maintenance of hardware and software to the service provider. Automated backups, maintenance, Automated upgrades, hosting of Solution, Modern web based integration and accessibility of data through web and mobile from anywhere are the benefits of cloud computing, said Shri Biswas Nair. The other characteristics of cloud computing are Easy Accessibility of data, Service Management, Agility, Flexibility, User Metering, Cost Efficiency, Automation and Virtualization. Further he observed that Cloud computing enables businesses to stay abreast of latest accounting and regulatory changes, more easily scale a distributed global organization and reallocate IT budget from maintenance to innovation. It also helps to get automated upgrades and eliminate wasted maintenance, benefits from economies of scale for security and data management, use a modern and easier to integrate solutions and typically get more tightly integrated analytics
Shri Sanjay Mukhopadhyay - Sales Head, CIAPP, Trimax IT Industries. addressed the delegates on Low Cost IT Infrastructure and Software Solutions for SMEs
Shri Sanjay Mukhopadhyay observed that the current scenario of Indian SME Sector is not encouraging. The sector consists of Small and fragmented business entities with over 95% having no access to any formal institutional credit from banks or financial institutions and are mostly proprietorship or partnership based. With globalisation and liberalisation picking pace, SMEs are finding it difficult to survive and sustain in the competitive and globalised market place. Due to their small nature and lack of access to the capital around 80% of the industrial enterprises lack technological know-how, managerial and financial resources, working capital and marketing support. This has resulted in lack of innovation ability, sub-optimal scales of operations, low R&D investment, Technological obsolescence and lack of management skills & trained personnel. In order to grow, it is necessary for SMEs to upgrade skills, develop systems and processes, invest in technology, scale up operations, speed-up processes and delivery time, attract and identify right talent, cut down on response time, maintain a repository of past projects as well as delivery details and details of customers. It will enable SMEs to bring down cost of operation, aid penetration into the global markets, drive efficiency in the business and enable them to set newer and higher standards for growth. He concluded by saying that the SMEs can benefit immensely by adopting Cloud Computing Services to obtain value for money. Cloud solution allows SMEs run their business without owning anything and help them to be part of global ecosystem which was till recently meant for only large enterprises.
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Shri P.H. Ravikumar - Managing Director & CEO, Invent Assets Securitisation & Reconstruction Pvt. Ltd. addressed the delegates on Restructuring and Business Improvement Strategies for SMEs
Shri P.H. Ravikumar commented that the SMEs normally become sick due to various reasons - 75% of which are self created due to ignorance of few critical aspects of the business, 15% is due to technology and 10% is due to external reasons. The primary reason for SMEs falling sick is mainly due to the lack of financial management ability where in the entrepreneur utilizes working capital funds to acquire fixed assets rather than financing the business operations. The second is expanding the business without adequate capital. The third one is the diversification of funds to ventures other than the core business. The fourth one is the delayed payments from the customer or shipment and lack of actions for receiving the payment. He asserted that SMEs should keep in mind various financial ratios for better financial management and to avoid becoming sick.
Explaining various financial ratios he said that not more than 40% of EBIDTA should be used towards repayment of principal and interest. The entrepreneur should track total debt and not just long term debt total debt which should not exceed 2.25 times the net worth plus quasi equity. Total debt should not exceed 4 times the EBIDTA margin. Further, he added that SMEs should regularly write off old and nonmoving stock and focus on speedy recovery of payments. The entrepreneur should avoid borrowing money from private parties to pay interest. He also encouraged the SMEs to share the cordial relations with their bankers and share all their business issues and challenges with the banks. This would help SMEs during challenging situations wherein banks can assist them in restructuring their debts. Highlighting the benefits of restructuring, he said that restructuring would help SMEs in many ways i.e. l Portions of problems areas are separated and moved to longterm loan category with low interest rates l Lower interest rates on working capital and other borrowings l Repayments are aligned to expected cash flows l Pain of restructuring to be borne by both borrower & the bank/s
INTERACTIVE SESSION WITH SPEAKERS
DELEGATES AT THE SUMMIT
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Organised by
Supported by
Organised by
IITC-INDIA
2nd Edition
SME ICT SUMMIT

Friday, 7th September 2012 | Mumbai
Topics to be covered
Overview of SME Sector Growing needs of ICT Solutions for SMEs Adoption of ICT by SMEs Challenges & Opportunities Govt. schemes & initiatives for ICT Adoption by SMEs Improved business efficiency through adoption of ICT Low Cost ICT solutions for SMEs CRM, ERP Formative infrastructure for ICT adoption in SMEs Driving Sales growth through E-commerce Solutions Targeting customers through SMS Solutions Integrating ICT and Supply Chain to drive Operational
Efficiency
B2B Market places for SMEs Virtualization & Collaborative Technologies for SMEs Managing Projects by using ICT
Social Networking Platform Driving Revenue, Boost Digital Marketing Strategy
Efficiency and Innovation

Digital Marketing Strategy Role of Search Engines
Tele-presence through video Conferencing How Cloud technology could transform your business?
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Partner Partner Knowledge Partner IT Partner

Supported by Supported by

Event Managed by
Supported by
EISBC
Contact For Participation Ms. Neera Inamdar - Deputy Secretary General Tel: +91 - 22 - 6150 9800 / 6667 4444
Contact For Sponsorship, Speaking Opportunity Ms. Saakshi Kulkarni - Director (Business Development) Mobile: +91 - 98201 79494 | Email: piai@vsnl.net
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PANEL DISCUSSION ON ENHANCING THE CAPABILITIES OF SMEs
Panelists from (L to R) Shri Shailendra Jindal CEO, Continental Capital Advisors, Shri R. B. Gupta GM, (Priority Sector), Central Bank of India Smt. Meeta Rajivlochan MD, The Maharashtra Agro Industries Development Corporation Ltd (MAIDC), Shri Sanjay Bhatia Commissioner of Sales Tax, Government of Maharashtra, Shri Chandrakant Salunkhe President, SME Chamber of India & MIEDA, Shri Sanjiv Nanda Partner, Smart Head Strategy Solutions Pvt Ltd. and Shri Rohit Kumar Sinha Manager(SME), Mahindra & Mahindra Financial Services Ltd.
Keynote Address by Shri Sanjay Bhatia Commissioner of Sales Tax, Maharashtra State addressed the delegates on GST (Goods & Service Tax) Impact and Advantages for SMEs
Shri Sanjay Bhatia observed that Goods and Service Tax (GST) is set to be one of the biggest taxation reforms in India and integrate economies of all states and boost overall growth of India. GST will create a single, unified Indian market to make the economy stronger. In 160 countries around the world, GST is in place. He further explained that implementation of GST will lead to the abolition of other taxes such as VAT, Entertainment Tax, Sales Tax, Service Tax etc. It will avoid multiplicity of Central and State Taxes and the cascading effects thereby reducing the tax burden on the entire industry. This will result in lower tax rate by increasing the tax base and
minimizing the exemptions. He also observed that the biggest challenge for GST implementation is obtaining the full support of all the states. This has portrayed Maharashtra to be the biggest hurdle in the implementation of GST due to its prevalent Octroi duty and is the only State where Octroi duty is imposed. Explaining the benefits arising from implementation of GST, he said that there will be a single common registration on national level and common returns. The registration, submitting returns and payment will be through electronic mode. Further, for companies with turnover of less than Rs. 50 lakhs, GST may not be
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c o m p u l s o r y. T h e G o v e r n m e n t i s concentrating on automation of all operations before introduction of GST. PAN will be the common identifier and there will be only one reporting authority. Rates for Goods and Services should be the same. It is expected to help build a transparent and corruption free tax administration. GST will be levied only at the destination point and not at various points from manufacturing to retail outlets. He concluded saying that introduction of GST will bring lots of benefits for SMEs as it will reduce the impact of taxation on SMEs.
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Keynote Address by Smt. Meeta Rajivlochan Managing Director, Maharashtra Agro Industries Development Corporation Ltd. (MAIDC) addressed the delegates on Role of MAIDC for the growth of SMEs in Food Processing Industry
Smt. Meeta Rajivlochan introduced MAIDC as a 40 years old organisation with a turnover of around 100 Crore and with the objective to make available the standard quality fertilizers, pesticides, agro engineering implements and annual feeding at competitive rates to the farmers of Maharashtra. MAIDC provides lot of assistance to the SME Sector engaged in food processing industry.
They supply fertilizers and pesticides including bio-fertilizers under the brand name Krishi Udyog through a network of over 1500 dealers. It has its own R&D centre and is also engaged in developing infrastructure and industrial estates and food parks. She also mentioned about the quality certification for branding, retailing and energy audit services for SMEs. Other skill up-gradation initiatives include short-term
courses on seed upgradation, food processing and packaging. Assistance is also provided for customer information, advertisement, automation, testing, safety standards etc. For development of cold storage facilities incentives are available. She encouraged the SMEs to enter into the agro and food processing industry business because it is sunrise industry providing lots of opportunities.
Shri U.R. Tata CEO, Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) addressed the delegates on Collateral Free Loan and Financial Facilities for Startups Role of CGTMSE
While explaining the difficulty of SMEs in accessing the finance, Shri U.R. Tata mentioned that the first generation entrepreneurs with any legacy find it difficult to provide collaterals and 3rd party guarantees to avail bank credit. Credit Guarantee Fund trust for Micro and Small Enterprises (CGTMSE) was set up by the Government of India and SIDBI mainly to assist and encourage such entrepreneurs to start their business operations without providing any collaterals. The main objective of CGTMSE is to make credit facility available based only on the primary assets created out of the funds disbursed by the banks. The projects should be self sustainable and is available to existing and new Micro and Small Enterprises, including service enterprises with a maximum credit limit of Rs. 1 crore. The scheme guarantees to the extent of 75 to 80% of the sanctioned amount of the credit facility to the member lending institutions (Banks). Many banks are the members of this scheme except cooperative banks. The scheme is not available to traders and training and institutional institutes.
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For credit facility upto Rs. 5 lakh, the guarantee fee is 1% of the amount sanctioned. For amounts beyond Rs. 5 lakh and upto Rs. 1 crore the guarantee fee is 1.5%. Some of the banks share this fee with the SMEs.
Shri R.B. Gupta GM (Priority Sector), Central Bank of India addressed the delegates on Financial Support for Marketing and Promotion for SMEs
Shri R.B. Gupta mentioned about the new product introduced by the Bank for the benefit of SMEs who are desirous of participating in various exhibitions and trade shows around the world. There is an increased awareness amongst the SMEs to attend such events to identify new business opportunities. The essence of the scheme is that the borrower should provide 25% margin money. For loans upto Rs. 1 lakh, no collateral security is required. Beyond Rs. 1 lakh collateral will be required in the form of LIC Policies, Government Bonds etc. The rate of interest is 4% above the base lending rate. He concluded by saying that SMEs should take advantage of such schemes to promote their products and services in the domestic as well as international market.
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Shri Sanjiv Nanda Partner, Smart Head Strategy Solutions Pvt. Ltd. addressed the delegates on Transforming SMEs into emerging Corporate By Reengineering the Systems and Processes
Shri Sanjiv Nanda commented that for SMEs to succeed in the long run it is necessary for them to create a common goal for the enterprise and it should be percolated to all the employees in order to make them aware of the objectives and goals and action to be taken to achieve them as a team. There should be clear idea and plans for business growth in the areas of revenue, geographic spread, product development and services. He also encouraged the entrepreneurs to adopt changes and transform the business in order to respond swiftly to the challenges arising due to changing business environment. It is important for businesses to attract the right human talents and it is all the more important to retain them. The entire activities of the business should be process driven and should not be dependent on any individual said Shri Sanjiv Nanda. Talking on the importance of business plan he said that organisations should prepare business plan on the quarterly, half yearly and yearly basis in order to keep the track of the business. Due importance should also be given to Corporate Governance, Ethics and Compliance. In order to achieve success the SMEs should continuously improve the quality of the products and services and be responsive to the needs of market, customers and society. He concluded by stressing on the importance of having right talent of the right job as they are the most important stakeholders for the company.
NBFCs are sector focused and lending is done only to specific sectors mainly due to their association with those sectors in the past or due to the inherent understanding of those sectors. This understanding of the sectors enables the NBFCs to eliminate the information asymmetry that the conventional lenders face thereby reducing their loan sanctioning time. He also observed that NBFCs tend to be more flexible in their approach as compared to the conventional lenders mainly due to their targeted approach, quick processes, minimum documentation besides little mandatory and regulatory documentation. He concluded by saying that NBFCs have been more effective in lending to SMEs mainly due to their understanding the customer needs better than the conventional lenders and more emphasis on Management and Value chain partners apart from financials. The NBFCs' process of lending involves financial analysis, due diligence, meeting with customers, collateral verification and valuation and credit rating. .
Shri Shailendra Jindal CEO, Continental Capital Advisors addressed the delegates on International Trade Finance Opportunities for SMEs
Shri Shailendra Jindal noted that there are three major sources of international finance namely, External Commercial Borrowings (ECB), Normal Trade Finance and Equity Capital. External Commercial Borrowings (ECBs) are one of the modes for sourcing of funds for corporate. ECB can be accessed under two routes, Automatic Route and Approval Route. ECB is useful for investment in real sector-industrial sector, infrastructure sector-in India, and specific service sectors as indicated are under Automatic Route. International Methods of Payment consists of Open Account, Documentary Collection (Time), Documentary Collection (Sight), Letters of Credit (Time), Letters of Credit (Sight) and Payment in Advance. Explaining international trade finance, he said that there are many avenues to avail international trade finance. They are - Letters of credit (L/Cs), Import bills for collection, Import financing, Shipping guarantees, Pre-shipment export financing, Post-shipment credit, Invoice financing, receivables, purchase and Export credit guarantees or insurance. Trade Credits (TC) refer to credits extended for imports directly by the overseas supplier, bank and financial institution for maturity of less than three years. Depending on the source of finance, such trade credits include suppliers' credit or buyers' credit. Suppliers' credit relates to credit for imports into India extended by the overseas supplier. Buyers' credit refers to loans for payment of imports into India arranged by the importer from a bank or financial institution outside India. SMEs face problems in accessing the above type of financing mainly due to Higher Transaction Costs, their diverse and more opaque nature than large firms, ability to give limited collateral, higher risk of default, less transparency in operations.
Shri Rohit Kumar Sinha Manager (SME, Mahindra & Mahindra Financial Services Ltd. addressed the delegates on Alternative Financial Sources for SMEs
Shri Rohit Kumar Sinha spoke on the role of NBFCs towards financing the SME sector. He observed that Nonbanking financial companies (NBFCs) are an alternative source of funds for the SMEs apart from banks and other institutions. The traditional lending finds SMEs to be risky clients mainly due to the lack of transparency in their businesses and financial statements. The traditional sources rates the SMEs as per their risk perceptions which are mainly the risks associated with the operations of the enterprise. Also the conventional sources of the finance have financing limit as they can't finance more than 4 times the finance limit in the year mainly because they find it extremely risky to invest such a big amount in any of the small businesses and are averse to multiple financing. Also there is a large number of documentation involved in the conventional sources of financing. He commented that risk averse nature of the conventional sources of financing provides ample opportunities for NBFCs to tap in to. The advantages NBFCs enjoy over conventional sources are that the
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PANEL DISCUSSION ON EMPOWERING SMEs FOR BETTER GROWTH
Panelists from (L to R) Shri Kunal Dhoke Credit Manager, SME Division, Corporation Bank, Smt. Manisha Gupta Avighnaa Advisory Services, Shri Jitendra Singh Rajput Coordinator, Design Clinic Scheme, National Institute of Design, Shri V. K. Venkatachalam Secretary General, SME Chamber of India, Shri S. Vijay Kumar Director, SME Testing Centre (WR), Ministry of MSME, Govt. of India and Shri Uday M. Gaitonde Executive Director, National Centre for Quality Management
Shri Sunil Kakkar Circle Head, UCO Bank, Mumbai addressing the delegates on Importance of finance for the SME sector Shri Sunil Kakkar mentioned that the Bank has 12 SME hubs to cater to the needs of Small and Medium Enterprises. Finance is the very critical element for the success of any enterprise. He suggested SMEs to take advantage of non-fund based facilities such as letter of credit and bank guarantee. There should be a judicious mix of fund and non-fund portfolios in order to effectively manage the finances for the business operations. He observed that SMEs normally overstate their working capital requirements while applying for a loan and end up paying more interest. It is advisable to avail only what is required by keeping a peak limit for future requirements and use it wisely only to finance the business operations. He also encouraged importance of ICT for driving efficiency in the business and also manage their finance effectively. He also encouraged the SMEs to maintain cordial relationship with the concerned officials of the banks in order to get required assistance from the bank at the right time. He stressed on the fact that SMEs need to understand that under the current economic circumstances the business cycle have become shorter and with severe impact. Hence it is important for SMEs to concentrate more the quality of the products as well as tapping in to the large customer base. He called upon the SMEs to be transparent in their financial statements especially while dealing with banks and other financial institutions as the banks judge the performance of an enterprise through its financial statements. This is very crucial for SMEs in order to enhance their access to finance.
He concluded by stressing that SMEs should not depend on a single customer or single supplier as it would be detrimental for the survival of the enterprise. Shri Vijay Kumar Director, SME Testing Centre (WR), Ministry of MSME, Government of India addressed the delegates on Testing facilities for better quality improvement Shri Vijay Kumar highlighted the key services of MSME-DO - advising the Government in policy formulation for the promotion and development of MSMEs, providing techno-economic a n d m a n a g e r i a l c o n s u l t a n c y, common facilities and extension services to MSMEs and providing facilities for technology upgradation, modernisation, quality improvement and infrastructure. Apart from the above, the organisation is also engaged in developing Human Resources through training and skill upgradation as well as evolving and coordinating Policies and Programmes for the development of MSMEs as ancillaries to large industries, said Shri Vijay Kumar. He also commented that the objective of the MSME Testing Centre is to provide testing facilities to MSME units as per national & international standards specifications. It also assists in improving the quality of products of MSME units to participate in government store purchase programme, defense establishments, Railways, CPWD etc. Assistance is also provided for calibration of their instruments and gauges, etc. and imparting trainings for testing professionals. He concluded by listing the facilities the Centre provides for carrying out the testing facilities - Well equipped Mechanical, Electrical, Chemical and Meteorological laboratories.
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Shri Uday Gaitonde Executive Director, National Centre for Quality Management addressed the delegates on Business Improvement Initiatives for SMEs
Shri Uday Gaitonde commented that in business operations SMEs face many problems such as Breakdowns / Downtimes, Product Rejections, High Cost, Delays in Delivery, Accidents due to Poor Safety Practices, Dissatisfied Customers, High Employee Attrition, Untidy Workplace and Mixed-up Inventory. The traditional characteristics of SME is One Man Management, Untrained Manpower, Unstructured Way of Working, Poor Empowerment and Involvement by employees, little exposure to modern manufacturing practices, absence of longterm planning, obsolete technology etc. Large numbers of small enterprises focus on higher production to reap higher profits, however, due to unplanned production end with lots of inventory thereby increasing the entire cost of operations. Business can be improved only if SME adopt steps to improve the productivity and quality, reduce the cost of production, adhere to environmental protection norms, health and safety policies as well as adopting good manufacturing practices. He discussed various ways in which the company can improve its productivity, quality, innovate and the benefits arising due to the adoption of those practices. He concluded by saying that on the supply side, the need is to concentrate on improved services, keep up on time delivery, motivation of employees and constantly innovate the products and services to meet the market demands.
He concluded by highlighting the special scheme focused on SMEs engaged in textile and auto industries.
Smt. Manisha Gupta Avighnna Advisory Services addressed the delegates on Importance of Project Management for SMEs
Smt. Manisha Gupta observed that Small and Medium Enterprises undertake several projects and it is important for them to understand the methods of managing the projects. A well-managed project will result in higher Quality of product / service, better risk assessment and control, lower cost, efficient time management and improved customer satisfaction levels. Explaining project management process, she said that a project is technically defined as a temporary endeavor to create a unique product or service. Project management is the application skills to execute the project effectively and efficiently which in-turn leads to a better quality of products and services. A Project Management Life Cycle consists of five stages namely Initiation, Planning, Execution, Monitoring & Control and Closing. She also explained the each stage of the project life-cycle. She concluded by saying that it is important to note how to execute the project to meet the specified scope with acceptable quality and within the targeted time and cost as it is very crucial for the SMEs. Normally projects end up with cost and time overrun which should be avoided. She encouraged the SMEs to take advantage of the latest IT packages to monitor and control the projects.
Shri Kunal Dhoke Credit Manager, SME Division, Corporation Bank addressed the delegates on Innovative Credit Schemes for SMEs
Shri Kunal Dhoke highlighted various services devised by the banks especially for the SMEs. 'SME Processing Cells' have been established in all Zonal Offices and SME Nodal Officers have been designated in all the zones to attend to the grievances of SME clients. The Bank has adopted Cluster Based Approach for Lending to SMEs and signed an MoU with SIDBI for financing SMEs. It has also signed MoUs with reputed rating agencies to rate its SME customers and offer them an interest rate concession of 0.5% to 0.25% for rates SMEs. He spoke on exclusive SME Loan Centres the bank has started to service its SME clients engaged in production, processing and service activities. It consists of a dedicated centralised processing centre and a team of Relationship Managers who would provide guidance / counseling to SME entrepreneurs as well as liaise with CCPC, Branches, Valuers and Advocates.
Shri Jitendra Singh Rajput Coordinator, Design Clinic Scheme, National Institute of Design addressed the delegates on Design Needs for SMEs
Shri Jitendra Singh Rajput observed that Design is recognised as an innovative discipline that can help the SMEs to sustain and grow in the competitive market. Entrepreneurs manufacture products either by copying the existing one or by incorporating some modifications in the design and other attributes. He stressed that improving the design of the product is very much necessary to sustain in the competitive world. Design is not simply about new products or technology. It is about how to improve the products of everyday use, leading to reduced cost, increased utility, acceptability and resulting in new business opportunities. He concluded by mentioning various services of the Institute offers to helps SMEs create awareness about designing products such as assisting them in creating the design, handholding and support in finalising the design as well as provide financial assistance.
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Advertorial
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Right Office Solution for SMEs

Authored by Ms. Meenal Sinha AVP, Servcorp India
economic growth will open up the opportunities for the market for the serviced offices and virtual offices industry in a very short time. Global leaders in the 'Serviced Offices' space, like Servcorp have developed total business solutions which offer maximum flexibility to the occupant. Clients can literally walk in with their laptops, select from a bouquet of services secretarial, administrative, communication infrastructure, meeting and conferencing facilities, even pantry services - according to their needs and get on with the business of business. The best part is, these international quality services are 'pay per use', so no standing costs. In India K Raheja Corp has an exclusive franchise agreement with Servcorp to offer these business solutions. To support those businesses that do not have a requirement for physical office space, there are Virtual Office packages. Virtual Office clients can take advantage of the prestigious addresses utilizing it on business cards and letterheads, be assisted by a dedicated receptionist who'll answer calls in their company name or gain international access to boardrooms and meeting rooms when they need. Servcorp's state-of-the-art virtual product 'Servcorp Online' allows the delivery of services and products online and in real time. Clients can store data online, check emails, make boardroom bookings, request translations, utilize a remote data storage system, print, book a courier and much more. Anywhere the internet is available clients can access their data online. I believe market demand for these services will soon outstrip supply, but we at Imperial Servcorp are gearing up to extend our facilities wherever need arises.
ndia has become a prime investment destination for global businesses. The spurting economy has also fuelled a spate of new businesses and expansions domestically. This in turn has fired a huge demand for more office space, causing rents and real estate prices at commercial hubs to skyrocket even further. The basic types of these new businesses which have fuelled the spurting space demand are: Entrepreneurial New set ups, with dynamic needs, do not need to make long term commitments as they are still assessing their needs Locational expansions typically headquartered elsewhere, exploring a new territory to establish a business presence, mostly sales and business development outfits Growth Spurts companies that have outgrown their current spaces and need more while they plan their long term accommodation strategy In Transit moving out of one space to occupy newer/ bigger offices which have some time to go before they are ready for occupancy Contract Duration executing a project or an off-site On the Move Traveling executives, who need a place that answers their phones and collects their mails and acts as a communication hub In all these cases, the business teams have little time to spare for setting up elaborate office space, but need state of the art premises with fully loaded support functions. As such, cost effective, fully furnished, ready to occupy serviced offices and virtual offices are seen as ideal solutions. Internationally, the market for serviced offices is quite developed although in India, it's still in nascent stage. However, mushrooming
Hyderabad Mindspace Complex
Mumbai Vibgyor, BKC
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Real Solutions to help your business succeed

Servcorp Virtual Office provides tailored solutions that save you time and money and let you focus on driving your business.
Our exclusive offer for SME Chamber of India members is:
One month free trial on a Servcorp Virtual Office with a setup fee of only INR 100.00* Next Two months @ half price No further obligations*
Servcorp Virtual Office provides you:

Prestigious business address Dedicated landline number with professional call answering Trained team support Technology to support your office requirements Access to our global network in over 130 locations and Manymore value addition features
To avail the offer or for any queries, Call Monika Misra / Shreekanth Pranjal at 022 - 4090 7000 / 040 - 4033 9800
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* This offer is only valid for packages starting in July 2012, Security Deposit as per package opted for will be applicable. To avail the offer, this coupon needs to be presented. Offer valid only for SME members. Valid only for Servcorp Indian locations.
AUSTRALIA | NEW ZEALAND | INDIA | SOUTH EAST ASIA CHINA | JAPAN | EUROPE | MIDDLE EAST | USA | UK
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Seminar on
DOING BUSINESS IN SOUTH AFRICA

Wednesday, 23rd May 2012 | SME Chamber of India Conference Hall, Andheri (E), Mumbai
From (L to R) Ms. Sushama Kanetkar - SRK and Associates, Bangalore, Ms. Seema Sardha - Consul (Economic),Consulate of South Africa in Mumbai, Mr. Richard Zurba - Director, Zurcom International (Pty) Ltd., South Africa and Mr. Chandrakant Salunkhe - President, SME Chamber of India during the Seminar
Mr. Chandrakant Salunkhe President, Small & Medium Business Development Chamber of India
Ms. Seema Sardha Consul (Economic),Consulate of South Africa in Mumbai
Mr. Richard Zurba Director, Zurcom International (Pty) Ltd., South Africa
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GROW FASTER
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ASSESSMENT, RATING, GRADING, IMPACT
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Signing of Memorandum of Understanding Between
15 May 2012 | Hotel InterContinental The Lalit, Mumbai
th
SIGNING CEREMONY OF MEMORANDUM OF UNDERSTANDING
Mr. Ki-Hwa Hong President & CEO, Gyeonggi Small & Medium Business Center and Mr. Chandrakant Sakunkhe President, Small & Medium Business Development Chamber of India signing and exchanging the Memorandum of Understanding
H. E. Mr. Kim Young-geol Deputy Consul General, Consulate General of the Republic of Korea in Mumbai, Mr. Ki-Hwa Hong President & CEO, Gyeonggi Small & Medium Business Center, H. E. Mr. Kim Sung-Lyul Vice Governor, Gyeonggi Province, Republic of Korea, Mr. Chandrakant Sakunkhe President, Small & Medium Business Development Chamber of India and Mr. Kyung-Sun Min Executive Director, Trade Support Division, Gyeonggi Small & Medium Business Center during the MoU signing Ceremony between SME Chamber of India and Gyeonggi Small & Medium Business Center
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G-FAIR - KOREA SOURCING FAIR

15th - 17th May 2012 | Hotel InterContinental The Lalit, Mumbai
OPENING CEREMONY OF THE FAIR
H. E. Mr. Kim Sung-Lyul Vice Governor, Gyeonggi Province, Republic of Korea and Dr. K. Shivaji (IAS) CEO, Maharashtra Industrial Development Corporation (MIDC) inaugurating the G-Fair, Mr. Chandrakant Sakunkhe President, Small & Medium Business Development Chamber of India, H. E. Mr. Kim Young-geol Deputy Consul General, Consulate General of the Republic of Korea in Mumbai, Mr. Ki-Hwa Hong President & CEO, Gyeonggi Small & Medium Business Center, and Mr. Kyung-Sun Min Executive Director, Trade Support Division, Gyeonggi Small & Medium Business Center were present
H. E. Mr. Kim Sung-Lyul Vice Governor, Gyeonggi Province, Republic of Korea
Dr. K. Shivaji (IAS) CEO, Maharashtra Industrial Development Corporation (MIDC)
Mr. Chandrakant Sakunkhe President, SME Chamber of India
Mr. Ki-Hwa Hong President & CEO, Gyeonggi Small & Medium Business Center
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H. E. Mr. Kim Young-geol Dy. Consul General, Consulate General of the Korea, Mumbai
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Mr. Chandrakant Sakunkhe & H. E. Mr. Kim Sung-Lyul Vice Governor, Gyeonggi Province
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State Level Flagship Event
VADODARA SME AND ENTREPRENEURSHIP MEET

Theme: STRATEGIES AND INITIATIVES FOR BETTER GROWTH
Friday, 4th May 2012 | Hotel Surya Palace, Vadodara
PANEL DISCUSSION ON MANUFACTURING & SERVICE SECTOR | GOVERNMENT POLICIES | TECHNOLOGY INTERNATIONAL MARKET & COMPETITION | NURTURING FAMILY AND BUSINESS
Panelists (L to R) Shri Chandrakant Salunkhe President, SME Chamber of India, Shri Janak Sheth Managing Director, Century Pharmaceuticals Ltd, Shri Arvind Patwari Director, MSME Development Institute, Ahmedabad, Shri Tribhuvanprasad Kabra Managing Director, Ram Ratna Group of Companies, Vadodara, Shri B. K. Singhal Zonal General Manager Gujarat Region, Central Bank of India, Shri R. N. Raval Deputy Commissioner of Industries, Gujarat and Shri H .P. Shah CEO, Value Plus - The Family Office, Vadodara
Address by Shri R. N. Raval Deputy Commissioner of Industries, Gujarat

commented that the government has accorded high priority to infrastructure development with public-private participation model. Innovative projects, development of ports and logistic supports have been created with a view to create employment opportunities. In order to enhance the competitiveness of the SMEs, the development of human resources has also been given due importance. He also gave an overview of different incentives and benefits for the development of SMEs and 25 District Industry Centers (DICs) have been empowered to scrutinize the proposal and sanction benefits as necessary. This has been done mainly with the purpose to speed up the availability of incentives and the benefits of the various schemes and strengthen the State SME sector. Talking about the statistics of the State SMEs, he mentioned that there were only 2169 SSI Units in 1961 and during 2010-2011, the number of MSMEs in the State reached 4,30,139. In 2011-2012 alone 51,781 MSME Units have been registered. In 2010-11, total of 11,700 MSMEs had availed the benefits of various incentives.
Speaking on the economic prosperity of Gujarat, Mr. R. N. Rawal observed that socio-economic development is the main essence of the Gujarat Industrial policy. The State Government has been very particular about ensuring inclusive growth by passing on the benefits of economic growth to the people in rural areas. The focus of the government has simply not been on attracting investments but having quality investments in those projects that are going to add value towards the economic development of the State. He also
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Address by Mr. Tribhuvanprasad Kabra MD, Ram Ratna Group of Companies, Vadodara,
Make a business plan ready for the next 10 years if you want to succeed commented Mr. Kabra which is pre-requisite for
any company to succeed. He also suggested that SMEs, in order to grow, should focus on building cohesive team. A great team can be formed only if all the members of the team are driven by single organizational goals and hence it is necessary to carefully select every team member and they should function under a team leader. It is also necessary for the leader to provide all the necessary resources, authority and directions to the team members in order to ensure smooth flow of operations. He also encouraged SMEs to not treat problems as problems but opportunities for growth. It is important for SMEs to dream big if they wish to grow fast and it is only through a detailed business plan can dream become a reality. It is also important for SMEs to increase their risk appetite by taking calculated risks at regular intervals in order to touch fast growth track. He suggested SMEs to focus to inter-personal relations of the
team members and also on building customer relationships in order to retain the team members as well as to retain the customers. He concluded by giving examples of various small time entrepreneurs who dreamt big and achieved great successes with proper planning, risk taking attitude and passion.
Address by Shri Chandrakant Salunkhe President, SME Chamber of India

Chamber works towards bringing together entrepreneurs, Government Officials, Bankers and Experts from different fields to interact and allow them to understand each others' view points. The motto of the Chamber is to provide all necessary support for the growth of the SME Sector. Many seminars, conferences and interactive meets are organized in different metros, but the Chamber wants to extend its services to a wide spectrum of SMEs and hence organizing these events in smaller cities to support the local SMEs. He called upon the entrepreneurs to take advantage of the support services of the Chamber and its networked connections in 40 countries for their business growth. Gujarat State is surging ahead because SMEs in Gujarat are very enterprising and they mean business, observed Mr. Chandrakant Salunkhe. Speaking on the role of the Chamber he mentioned that the He reiterated that the idea of the Chamber is not to compete with the local organizations but to complement them in their activities.
Address by Mr. Arvind Patwari Director, MSME Development Institute, Ahmedabad

Mr. Arvind Patwari, while talking on the assistance provided by the government explained vividly the schemes by the Ministry of MSME and its benefits to the MSME Sector. He touched upon the various schemes such as Market Development Assistance, National Manufacturing Competitiveness Program, scheme for capacity building, credit linked capital subsidy scheme for technology upgradation, credit guarantee scheme, ISO Certification reimbursement scheme and the incentives for participating in exhibitions in India and abroad He further said that many SMEs are either not aware of the schemes or know little about the same. The MSME Development Institutes and the District Industry Centers are functioning mainly with the aim of promoting facilitating and developing the industries in the State. Briefing on various schemes, SMEs can avail 15% subsidy for technology upgradation, market development assistance up to Rs. 20,000/- if they wish to participate in the local exhibitions. With a view to encourage the women entrepreneurs, the market development assistance is enhanced up to Rs. 30,000/-. In the same
way for participating in international exhibitions up to Rs. 1,25,000/- is available per unit per year. The Gujarat Government also supports MSMEs in all possible ways, observed Mr. Patwari. 358 items are reserved for procurement from small industries. There are various schemes to promote lean manufacturing, design clinics, information technology, packaging and energy conservation.
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PANEL DISCUSSION ON ROLE OF BANKERS | FINANCE | INVESTMENT | INCENTIVES FACTORING | PROMOTION | MARKETING & BRANDING
Shri Manojkumar Singh Senior Manager, NSIC, Ahmedabad, Shri Rakesh Jain CEO, RGB Education, Vadodara, Smt Sangeeta Modi Access Asset Managers (PE Fund), Mumbai, Shri Ajay Shad Chief Mentor, Value Education, Ahmedabad , Shri Ashwin J. Mehta DGM Vadodara Region, State Bank of India, Shri Dhanesh Chander Chief Regional Manager, Indian Overseas Bank, Gujarat and Shri Soumendra Ghosh Chief Strategy & Marketing Head, IFCI Factors Ltd.
Mr. Soumendra Ghosh Chief Strategist and Marketing Head, IFCI Factors Ltd.
Mr. Soumedra Ghosh observed that timely access to capital is one of the major problems of SMEs. They also h ave p ro b l e m s i n p rov i d i n g collateral security as these units are very small and due to their small financial requirements. In most of the SMEs, financing receivables assumes greater importance and the delayed payments by the customers is choke their working capital which in turn is affecting their growth. Most of the times SMEs are forced to extend unreasonable credit terms to their key customers mainly to maintain the relationships with them. These considerably freeze their working capital, affecting their operations and in turn their profits. At the same time they have limited drawing power from the banks and in event if the payments are not received from the customers in time it creates major cash flow problems to the small entrepreneurs, sometimes even leading to the closure of the business. Explaining factoring facility, he mentioned that the facility enables the company to manage its cash flows more effectively. The facility is especially useful for SMEs as it helps them to convert their accounts receivables in to cash and there by manage their working capital effectively. While giving an overview of the factoring facility, he explained that in factoring arrangement SMEs sell their accounts receivables to a company commonly known as factors. The factors, after assessing the SME standing, its debtors viability provide the necessary working after discounting and certain interest charges.
The facility is available for both manufacturing as well as services sector companies and also for domestic and international operations including exports. He also highlighted on the fact that though factoring concept has been long established in various advanced economies it is relatively new to India and many of the SMEs are not aware of this product. He urged SMEs to familiarize themselves with the procedures and formalities associated with the facility and also the benefits associated with factoring.
Mr. Danesh Chander Chief Regional Manager, Indian Overseas Bank, Gujarat.
Mr. Dhanesh Chander explained in details about various financial products of the bank meant for SMEs. He has emphasized on Collateral free loans under the CGTMSE scheme. was elaborated in detail. Under this scheme, Micro and Small Entrepreneurs can avail credit up to Rupees One Crore without providing collateral security. The primary securities will be the assets created by the funds sanctioned by the bank. He also mentioned about special credit facilities for engineers, doctors, chartered accountants and other professionals and also the scheme to provide credit facilities to fishermen. He concluded by giving an overview of the scheme where SMEs holding a certificate from credit rating agencies getting additional incentives in interest rates.
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Ms. Sangeeta Modi, Access Asset Manager (PE Fund), Mumbai

While explaining the trends in private equity investments in India, Smt. Sangeeta Modi noted that over 30% of the FDI coming into India are is from venture capital and private equity funds. There are around 300 venture capital and private equity 300 funds in India. They are ready to invest in SMEs that are growing at phenomenal rate which should be higher than the average growth of the SME sector. The PE/VC investors perform the due diligence on SMEs planning for PE/VC funds in order to understand the business and also the promoter's vision before making the investment. The due diligence is also performed in order to estimate the growth potential of the company and risks involved. Once the business is found viable for investment, the PE/VC funds invest in the equity of the business which is complete different from the bank lending as the company is not required to pay the interest on the investment made, observed Ms. Modi. PE/VC funds after entering into equity agreements with the company, work like partners and assist the company to revamp their entire business processes and systems in order to make the business more efficient and productive. The only focus of PE and VC funds is to maximize their profits and hence they are more concerned on increasing the profitability of the company. As a result, PE and VC funds bring more value to the organization along with the profits; suggested Ms. Modi. She concluded by saying that it is important for SMEs to understand their requirement of PE or VC funds, and once the need is identified they have prepare a structured business plan explaining the vision of the business as well as that of promoter. Also SMEs have to prepare their terms and conditions to be negotiated with funds, the equity structure, the control over the management as well the exit routes.
people in the organization who can run the business operations even in absence of the owner. Grooming to Grow should be the mantra for progress, stressed Mr. Shad. The SMEs should groom their employees in their respective fields through periodical training for enhancement of their knowledge and skill. Preparing oneself to meet the future challenges is of utmost importance for any organization and more so in the case of SMEs. He concluded by saying that the most important quality of an entrepreneur is to have trust in his abilities and also in the abilities of his sub-ordinates. It is only then it is possible to encourage the employees of the organization to contribute efficiently towards the growth of the organization.
Mr. Rakesh Jain CEO, REGB Eduction, Vadodara

Mr. Rakesh Jain stressed upon the importance of knowledge in today's competitive world and the necessity to train employees at all levels in the SME Sector in order to equip them to meet the challenges. Knowledge makes a huge difference between the winners and losers as it enables companies to keep themselves updated on economic situations and take appropriate actions in order to succeed. Change is very evident in every business environment and it brings along with it challenges as well as opportunity, observed Mr. Rakesh Jain. In order to win over challenges, he suggested that it should be the endeavour of an entrepreneur to constantly resort to change management by adopting new technologies and processes as the economic situations across the world are changing drastically. SMEs do not have any option than to inculcate change in its day-to-day operations in order to survive. The second important thing is about the vision building, said Mr. Jain. Although the owners and the promoters have a clear vision, most of the times the sub-ordinates do not know or share the same vision. This results in a huge communication gap in the organizational structure thereby impacting the overall organizational performance. Therefore, the SMEs have to take initiatives to educate their employees about the goal and vision of the organization so that they can perform as required. As human resources are the core for the success of the enterprise, knowledge and skill enhancement should be on a continual basis. He concluded by saying that in order to succeed in the tough competitive environment, it is important for SMEs to develop sound business strategy. It is also important to do periodic review of the business strategy and adjust it to suit the macro and micro economic conditions. Also the customer-centric approach should form the major focus of business strategy, and it is only then SMEs would be able to establish a strong business presence.
Mr. Ajay Shad Chief Mentor, Value Education

Make yourself dispensable if you want your organization to grow, observed Mr. Shad. In many of the enterprises, the owner makes himself indispensable, by attending to every routine functions which is a waste of time and skills. It is important for the promoter to focus on important productive work and leave the standardized and less important tasks to people down the line in the organization. It is necessary for entrepreneurs to empower and delegate the responsibilities to people below them. This will spare more time for the owners to concentrate on critical activities of the business. Moreover by delegating the tasks, the sub-ordinates get an opportunity to upgrade themselves which will create empowered
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Mr. Ashwin Mehta DGM Vadodara Region, SBI

Explaining State Bank of India's p ro d u c t s , M r. A s h w i n M e h t a mentioned the three categories of banking products - for corporate, accounts, mid-corporate groups and SMEs. The Bank has been supporting the SME Sector in a big way and has hundreds of branches in the Vadodara region specifically catering to the needs of SMEs, providing both fund and non-fund based products. The bank has been specifically giving more thrust on the collateral free loans under CGTMSE Scheme in order to aide small and medium enterprises . He also highlighted the issues facing the SME sector and hence the bank is taking initiatives to address the requirements and problems of the SMEs in obtaining credit and with its highly networked branches it has been supporting SMEs engaged in both manufacturing and service sector. The branches are empowered to sanction loans on the merits of the case. He concluded by expressing the commitment of his bank towards the development of the Indian SME sector by extending the lines of credit to the SME sector.
Mr. Manoj Kumar Singh Senior Branch Manager, Gujarat Region, NSIC, Ahmedabad
Mr. Manoj Kumar Singh outlined various schemes of NSIC for the development as well as explained how they will be useful for the SMEs. He elaborated about single point registration scheme by which the SMEs are exempted from payment of earnest money and security deposits, participating in various tenders floated by the Government Depts Under the Bill financing scheme, bills drawn by small scale units for the supplies made to the reputed and well established enterprises are discounted by NSIC for a maximum of 90 days. Working capital finance is made available to well managed units to meet emergency payments. The equipment leasing scheme assists the small entrepreneurs to procure the industrial equipment for modernization, expansion and diversification activities. Assistance for sourcing raw material from local and overseas markets as well as assistance for attending exhibitions and trade fairs are also available for the MSMEs. NSIC also provides subsidiary to obtain credit ratings from the approved credit rating agencies. He emphasized that the NSIC is the partner in the progress for the SMEs and encouraged the SMEs to take advantage of all the facilities and incentives offered by the Government.
Question and Answer Session
Delegates At The Meet
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Mr. Janak Sheth MD, Century Pharmaceuticals Ltd.

Speaking on importance of quality for international competitiveness, Mr. Janak Sheth observed that SMEs should focus more on the quality of the product and the price of the p ro d u c t i n o rd e r t o b e c o m e successful. If the quality of the products of SMEs and price meet the expectations of the customers, it would help SMEs build a strong customer base and also help them to retain their customers. Many of the MNCs and Corporate are looking for small manufacturers to enable them to reduce the manufacturing cost. This offers a golden opportunity for the deserving SMEs in the form of contract manufacturing, commented Mr. Sheth. Quality is nothing but the ability of a product or service to do what it is supposed to do and meet the customer expectations completly. The magic for creating quality products is Doing Right the First Time. This can be done only if proper systems and parameters are introduced, implemented and monitored, said Mr. Sheth. Stressing on the importance of quality he suggested the SMEs to concentrate more on quality as the customers are becoming knowledgeable and demanding with customer having larger bargaining power. The quality of products and service assume more importance in case of exports and international operations.
has been the major reason for their hardships. Many a times the proposal has to pass through many levels which causes delays in the loan sanctioning process. Hence, the Bank has empowered the branch managers to sanction SME loans in order to speed up the loan sanctioning process after scrutinizing the proposal in accordance with the guidelines, observed Mr. Singhal.
Mr. H. P. Shah CEO, Value Plus-The Family Office, Vadodara

Mr. H. P. Shah observed that there should be a well defined balance between the business and family orientation of an entrepreneur to achieve success and happiness. The three major focus areas of every enterprise should be growth, safety and happiness. He suggested that every entrepreneur in order to s u c c e e d s h o u l d fo l l o w t h re e important days namely Focus Day, Buffer Day and Free Day. In order to achieve business family balance, some days should be focused only for revenue generating activities. In similar way certain days are to be reserved for family, which is called free days where no business activities should be undertaken. The buffer day is one in which non-revenue generation activities which are related to the business are to be carried out. This is enable the entrepreneur to become more efficient thereby taking better business decisions and driving efficiency of the business. Financial planning and wealth management should be accorded priority and handled carefully with transparency, recommended Mr. Shah. In the family owned businesses, succession planning should be designed in advance in order to ensure the continuity of the business operations. He also suggested that family life should not be sacrificed for the sake of business life and both business as well as family should be sufficiently insured in order to protect the business and family. He concluded by stressing on the importance of proper documentation of all the assets and liabilities in order to take right business decisions. Also it is necessary to document a proper will in order to empower the family members to take decisions in an event of any unfortunate death or any mishaps with entrepreneur. Therefore, proper documentations including a will should be created for the benefit of the family members as well as the business.
Mr. B. K. Singhal Zonal General Manager, Gujarat Region, Central Bank of India.
Giving a brief over of Central Bank of India, Mr. B. K. Singhal commented that in Gujarat Region the bank has set up 200 special branches to cater to the needs of SMEs. Apart from the regulatory requirements for lending to priority sector, the bank always considered lending to SMEs as its thrust area. In order to the address the financing challenges facing the SME sector, the Bank has taken the initiative to help the SMEs obtain adequate finance and at reasonable rates, observed Mr. Singhal. Most of the times SMEs do not get access to sufficient funds when they are really required which
Delegates At The Meet
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State Level Flagship Event

Tuesday, 17th April 2012 | Hotel Courtyard by Marriott, Ahmedabad
INAUGURATION
Mr. Saurabhbhai Patel Hon'ble Minister of State for Industries, Civil Aviation (Independent Charge), Mines, Minerals, Finance, Energy & Petrochemicals, Gujarat and Mr. Ishwarsinh Patel Hon'ble Minister of State for Cooperation, Sports, Youth Services &Cultural Affairs. Gujarat inaugurating the Summit. Others from (L to R) H. E. Shaikh Humaid Al-Maani Ambassador of Oman to India, Mr. A.Ramesh Kumar MD & CEO, Asia Pragati Capfin Ltd., Mr. R. K. Dubey Executive Director, Central Bank of India, Mr. Chandrakant Salunkhe President, SME Chamber of India and Mr. D. R. Dogra MD & CEO, CARE Ratings
ADDRESS BY CHIEF GUEST
Mr. Saurabhbhai Patel Hon'ble Minister of State for Industries, Civil Aviation (Independent Charge), Mines, Minerals, Finance, Energy & Petrochemicals, Gujarat delivering the inaugural address Others (L to R) on the dais Mr. A.Ramesh Kumar MD & CEO, Asia Pragati Capfin Ltd., New Delhi, Mr. R. K. Dubey Executive Director, Central Bank of India, Mr. Chandrakant Salunkhe President, SME Chamber of India, Mr. Ishwarsinh Patel Hon'ble Minister of State for Cooperation, Sports, Youth Services &Cultural Affairs, H.E. Shaikh Humaid Al-Maani Ambassador of Oman to India and Mr. D. R. Dogra MD & CEO, CARE Ratings
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Mr. Saurabhbhai Patel Hon'ble Minister of State for Industries, Civil Aviation (Independent Charge), Mines, Minerals, Finance, Energy & Petrochemicals, Gujarat delivering the inaugural address
He also mentioned about the harmonious employer-employees relationship as the major of the strengths of the State leading to zero industrial disputes and creating win-win situations for industrialists and unions. This has led to the least man-days lost at work thereby increasing the efficiency of the industries. While speaking on the infrastructure development along 1600 Kms coast line, he said that the State has developed a large number of minor ports, which has been another important reason for attracting industries to the State. Mr. Patel highlighted that the State has given subsidies only to those projects or sectors that are development related g iv i n g e m p h a s i s o n e m p l oy m e n t generation. The State intends to increase the share of manufacturing in its GDP by focusing on few major manufacturing industries like technical, textiles, automobiles and auto parts, spinning and food industry in order to develop value added products and achieve growth. issue, has developed industrial parks in areas where agriculture is the least or has zero agricultural activity. The State has also framed policies to take land only with farmers' consent and make farmers as its partners. This has resulted in the growth and development of various industrial areas along with development of farmers who are given certain percentage of profits made from selling the land to the industries. In order to address the challenge of availability of technical manpower, the State is coming up with huge quantum of ITIs and also forming partnerships with the associations to train the manpower. He stated that the energy consumption of Gujarat Industrial sector increased manifolds compared to last year. He further stated that the VAT rates in the State have increased 30 to 33% over last year indicating the prosperity of the State. He commented that Banks have found it difficult to finance SMEs as compared to large companies. In Gujarat, SMEs have been able to access finance due to the major role played by the Cooperate Banks. He stressed the need for the scheduled commercial bank to be aggressive in lending to SMEs in order to achieve the desired inclusive growth, as; such a growth is possible only through SMEs. Hence, he highlighted the importance of promoting SMEs and assured that the State will give all support for the growth of SME Sector. He concluded by saying that the State will take all possible measures to handle challenges facing the industry and ensure industrial growth and development in Gujarat. Further he mentioned about the upcoming Vibrant Gujarat Summit 2013 with special focus on SMEs and SME Chamber of India can play an important role to encourage SMEs from India and other countries to participate in the same for enhancing their business activities in Gujarat. Mr. Patel congratulated SME Chamber of India for organising this maiden exclusive activity for SME Sector of Gujarat.
tate's consistent policy of inclusive growth that was laid down 10 years back has made Gujarat the fastest growing State in the country and led to monumental development across the State. Appreciating the role of Gujarat SME Sector, he said that around 16-18% of manufacturing activities as well as 21-22% exports in India take place in the State of Gujarat. Highlighting the strengths of Gujarat he mentioned that the State has always emphasized on implementation of clear policies, which led to awareness amongst people of Gujarat as to what benefits they will be getting from the State Government. The second strength he mentioned was the availability of good infrastructure. While comparing Gujarat with rest of the country, he mentioned that the State has a surplus power position; meeting not only the energy needs of the State, but also to sell it to other states. By the end of this year, Gujarat will be touching power generation of 18000 MW and for this year alone, it plans to generate 4000 MW, in order to drive efficiency across the industries and boost industrial development of the State.
Gujarat contributes 16-18% to the total manufacturing output and 21-22 % to the total exports of India
While focusing on the challenges on the industry, he mentioned that after a decade availability of water to be the major challenge facing the industry and hence Gujarat has initiated measures to address this challenge. The State is setting up the biggest desalination plant in the region of Dahej in order to purify sea water for agricultural and industrial usage. He also said that the availability of land to be another challenge for industrial growth. The State, in order to address the land
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Special Address by Mr. Ishwarsinh Patel Hon'ble Minister of State for Cooperation, Sports, Youth Services and Cultural Affairs, Government of Gujarat
At the outset Mr. Patel congratulated Mr. Chandrakant Salunkhe, SME Chamber of India for initiating this special activity to assembly the SMEs of Gujarat and for inviting the luminaries and experts from various fields who are conversant with the SME Sector to share their experience and thought. This will definitely be of immense help to the SMEs and Young Entrepreneurs
for their business growth. He highlighted the role of SMEs towards economic growth of India by contributing 45% to the industrial output and 40% towards the growth of the nation. He also observed that over 60% of all the SMEs belong to young entrepreneurs mainly in the age group of 21-45 years.
He also encouraged young generation entrepreneurs to involve themselves in various business activities and use knowledge obtained at various Forums to identify new and emerging business opportunities and also on various challenges related to finance, marketing, infrastructure, technology and other related matters.
Address by H. E. Shaikh Humaid Al-Maani Ambassador of Oman to India, New Delhi
OMAN An Entry Port to the Gulf Countries

Observed H.E. Shaikh Humaid Al-Maani-Ambassador of Oman to India. With the advent of globalization, there is tremendous surge in international trade. Oman offers plenty of trade and investment opportunities to the Indian SMEs. Infrastructure facilities, tourism and transportation are some of the flourishing sectors. He also highlighted on various benefits Oman offers to business which include 100% ownership of companies, no personal income tax, no custom duty on raw material, full repatriation of profits and royalties are available to the investors. Oman is a member of GCC and hence by setting up Units in Oman, the Companies can access a larger global market.
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Keynote Address by Mr. R. K. Dubey Executive Director, Central Bank of India
Mr. R. K Dubey, ED Central Bank of India, reiterated the role and importance of MSME sector towards the economic development of India. He highlighted various challenges of Indian MSME sector including access to finance, raising equity capital, risk capital/angel capital, suitable technology, skilled manpower, non-availability of adequate infrastructural facilities, delayed settlement of dues and over dependence on single customers all of which restricts the development of the sector. He gave an overview of various Government initiatives and support mechanisms initiated for support and development of MSME sector like 40% of advances of banks directed towards the sector as well as Public Procurement Policy that makes it mandatory for PSUs and Government departments to procure 20% of their products and services requirements from MSME sector.
Talking on the importance of manufacturing sector towards the economic development of India, Mr. R. K. Dubey highlighted on several reasons for lack of competitiveness in Indian manufacturing sector few of them being: lack of infrastructure, technology and skilled manpower, high cost of power, high cost of capital which is higher than the international average. He also exerted on the role the Government has to play for uplifting India's manufacturing sector with special focus on improvement of infrastructure. He spoke on the banks role for MSMEs that goes far beyond mere lending. Banks try and become strategic partner of MSE and nurture budding entrepreneurs; supports SMEs in rural areas for inclusive growth, and also initiatives for timely rehabilitation of sick units in order to increase the survival rate being few. He also highlighted the role Central Bank of India is playing towards the
growth and development of MSME sector by introducing new products and policy measures. He concluded by encouraging SMEs to focus on long term vision, professional management of the enterprise including adopting new production and marketing techniques, attract talent and access marketing intelligence, adopt sound financial management practices and corporate governance in order to become c o m p e t i t ive i n t h e m a r ke t p l a c e . G ove r n m e n t , B a n ks a n d F i n a n c i a l Institutions, Associations and Chambers entrusted with development of the SME sector need to focus on providing an enabling environment complete with required infrastructures and forward and backward linkages for promoting inclusive growth of the sector
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Address by Mr. Chandrakant Salunkhe President, SME Chamber of India

for SME Sector from Banks, it does not reach to them due to lack of knowledge. He requested to the Banks to give special consideration while dealing with financial proposals of the SMEs especially from rural areas. Mr. Salunkhe also explained about the various support services of the Chamber like Capacity Building, Connectivity and Networking, Market Development, Export promotion, Quality Improvement, Technology Transfer, Joint Ventures, Contract Manufacturing, Channelising Bank Finance, PE/VC Funds, Training Programs & Education etc. Skill Development, Inadequate Finance, New Technology, Nonavailability of funds for market development, quality infrastructure, Uninterrupted power supply in Some States in India, lack of positive support from various Government Departments, non-availability of skilled manpower. Mr. Salunkhe also informed about exclusive support services for Gujarat SMEs for new technology, market development and branding, international finance at lower rates, technology transfer, channeling bank finance and PE/VC Funds contract manufacturing tie-ups, Support to participate in business delegations, trade fairs and exhibitions in India and abroad, Training in various aspects to Workers and Executives for skill developments
Mr. Chandrakant Salunkhe, explained about the initiatives of the Chamber's activities in India and abroad for the development of SME Sector. The very purpose of starting the activities of the Chamber in Gujarat and organising the Gujarat SME Manufacturing Summit is to bring together the Manufacturing SMEs under one platform for better interaction and connectivity said Mr. Salunkhe. Highlighting the important role and contributions of SMEs towards national GDP, employment, exports, industrial output, Mr. Salunkhe mentioned that SMEs are not getting the required attention from the concerned State and Central Government Departments to tackle its manifold problem areas. Although there are many schemes meant
Dignitaries (L to R) on the dais Mr. A.Ramesh Kumar MD & CEO, Asia Pragati Capfin Ltd., New Delhi, Mr. R. K. Dubey Executive Director, Central Bank of India, Mr. Chandrakant Salunkhe President, SME Chamber of India, Mr. Saurabhbhai Patel Hon'ble Minister of State for Industries, Civil Aviation (Independent Charge), Mines, Minerals, Finance, Energy & Petrochemicals, Gujarat, Mr. Ishwarsinh Patel Hon'ble Minister of State for Cooperation, Sports, Youth Services & Cultural Affairs, H.E. Shaikh Humaid Al-Maani Ambassador of Oman to India and Mr. D. R. Dogra MD & CEO, CARE Ratings during the inaugural session
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Keynote Address by Mr. D. R. Dogra MD & CEO, CARE Ratings addressing the delegates
MEs play a critical role in the economic and social development of any country by creating jobs and generating income for low-income groups, observed Mr. D. R. Dogra, which in turn helps to bring about economic growth and social stability, while supporting critically the private sector. They are important even in countries like USA, UK and Germany. Studies indicate that SMEs could contribute up to 40-50% of employment and up to between a fourth and third of GDP in developing economies. He observed that the nature of economic activity of SMEs makes them vital in stimulating local demand and consumption on the one hand, and on the other provide the necessary forward and backward linkages with big corporate in the productivity and logistics chain. This enables them to address the issues of employment generation, which is an important consideration for Indian economy. Focusing on the issues faced by the SME sector, he commented, that the availability of timely and adequate finance and access to affordable inputs are the major challenges faced by the sector as these are critical to their profitability. He also observed that technological obsolesce and nonavailability of skilled manpower has restricted the growth of SMEs and made them less competitive in the market. Also, the quality of products manufactured by SMEs fail to meet the international standards as a result of which their products fail to compete with those of large scale enterprises or which in turn as the adverse impact on their profitability. In recent times, the wide currency fluctuations have and high interest rates have eaten on the profits of these small enterprises as their input
costs have risen substantially. Besides bank finance, he urged the need to provide venture/risk capital for financing high-growth-potential and start-up SMEs. He also urged the need to provide adequate support and assistance to these units in order to enable them use the latest technology, provide them with adequate infrastructure, assistance for marketing and skill development in order to increase the scope of operations of SMEs and to make them more effective and competitive. Stressing on the importance of credit ratings for SMEs, he said that in a rating exercise for SMEs such credit enhancements are explicitly taken into account as positive factors for the unit, adding to its financial capabilities and supporting operations. It is important for SMEs to widen the sources of finance. Currently SMEs survive primarily on the capital base of the proprietor, which is rather limited. At the most, SMEs resort to borrowings from commercial banks. Banks, however, refrain from such lending as far as possible, it is hence, by far restricted to the obligatory priority sector lending quota. Lack of borrower credit history inhibits bank lending. This is where Credit ratings play an important role here in diminishing informational asymmetries and expanding access to formal financing for SMEs. He also highlighted the importance of SME exchange, which allows SMEs to access finance from mainstream financial markets. Access to equity financing and eventually, venture capitalists would undoubtedly allow SMEs to expand their scale. He also mentioned that establishment of strong supporting infrastructure - be it in the form of research and development, use of intellectual property rights, technology a c q u i s i t i o n t h ro u gh S M E c l u s te r s ,
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framework for marketing intelligence and/or network for customer service has been a pertinent challenge facing towards development of SMEs. Hence Government of India is encouraging the private sector to participate in such projects through PPP mode of investments. Mr. Dogra highlighted the reasons why Gujarat has been successful in charting the growth story are a proactive government, urging private investors to divert funds in building infrastructure through such summits sets the stage for development blocks to fall in place and make a strong economy. Moreover, private players not only bring in the required capital but also technical expertise and managerial support to face global competition. The government has been working on the creation of innovation and incubation centre to address all needs of budding ventures. He also mentioned the proactive steps taken by the Central Government in order to reduce the impact of adverse economic conditions in the global markets mainly due to the Eurozone crisis that has resulted in the reduction of Indian exports to Europe, And lastly, the government - less the state government and more the centre actually - also has the very important part of policy formulation to perform. He observed that Gujarat is already witnessing a paradigm shift with its governing institutions bearing the everincreasing onus of creating and maintaining progress friendly policies that promote strategic growth. It is the stated objective of the government to identify a niche and to provide incentives and assistance to SMEs while promoting entrepreneurship, assist new and existing ventures shoulder the contemporary calls of environment friendly manufacturing practices and promoting the IT and ITES industry.
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resources etc. He urged the need for all stakeholders to work together i.e. union and state governments, RBI, banks and other niche agencies like MSME associations / c h a m b e r s to p rov i d e a n e n a b l i n g environment to the SMEs for taking them to a higher and sustained growth trajectory. He also urged SMEs, on their part, should strive hard to take advantage of the available opportunities while staying clear of the potential pitfalls that confront them in their natural progression into large corporations or even into multi-national corporations of the future. More importantly, they also have to take some initiative in this direction by implementing sound business practices and continuously investing in good internal management systems: in accounting, planning, financial, operations and human resource management.
In conclusion, he mentioned that India's manufacturing activity could become competitive only by increasing the efficiency and competitiveness of the enterprises t h ro u g h c o n t i n u o u s t e c h n o l o g i c a l innovation, quality improvement, better access to finance, diversification into new geographies and markets, modernization, better risk management and corporate governance practices, better human
FELICITATION
Mr. Saurabhbhai Patel Hon'ble Minister of State for Industries, Gujarat presenting the bouquet of flowers to Mr. Matej Merljak Chairman, Europe - India SME Business Council (EISBC), Slovenia
Mr. A. Ramesh Kumar MD & CEO, Asia Pragati Capfin Ltd presenting the bouquet of flowers to Mr. Ramesh Rangan CGM, State Bank of India, Ahmedabad
Mr. A. Ramesh Kumar MD & CEO, Asia Pragati Capfin Ltd presenting the bouquet of flowers to Mr. Souvik Sengupta Business Head SME Loans, Reliance Commercial Finance
Mr. A. Ramesh Kumar MD & CEO, Asia Pragati Capfin Ltd presenting the bouquet of flowers to Mr Jigneshbhai Kayastha MD, Steelfur Systems Pvt. Ltd.
Mr. A. Ramesh Kumar MD & CEO, Asia Pragati Capfin Ltd presenting the bouquet of flowers to Mr. Kaushal Gupta Managing Director, Bansal Roofing Pvt.Ltd.
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Mr. A. Ramesh Kumar MD & CEO, Asia Pragati Capfin Ltd presenting the bouquet of flowers to Dr. Harish Patnaik Executive Director, Gujarat Venture Finance Limited
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PANEL DISCUSSION ON TRANSFORMING SMEs TO CREATE SUSTAINABLE VALUE
Panelist (L to R) Dr. Harish Patnaik Executive Director, Gujarat Venture Finance Limited, Mr. D. C. Anjaria Director, Indian Institute of Financial Services Pvt. Ltd., Mr. Souvik Sengupta Business Head, SME Loans, Reliance Commercial Finance, Mr. A. Ramesh Kumar MD & CEO, Asia Pragati Capfin Ltd., Mr. Lakshman Gugulothu IPS-CEO, BSE SME Exchange, Mumbai, Mr. H. P. Shah CEO, Value Plus Investment Advisors Pvt. Ltd. and Mr. Pramod Bapna MD, Smart Head Strategy Solutions Pvt. Ltd.
Mr. A.Ramesh Kumar MD & CEO, Asia Pragati Capfin Ltd.,

Explaining the theme of the plenary Session Transforming the SMEs to Create Sustainable Value Mr. Ramesh Kumar stressed the need for financial discipline amongst SMEs. He observed that in recent future SMEs are going to play major role in the development of India, and success of these small units would depend on their innovation ability, obtain knowledge and their ability to collaborate. He emphasized that SMEs should constantly scan their environment to identify their innovativeness, their ability to access vast pool of knowledge and identify the extent to which they are applying the knowledge in order to create sustainable value for the company and ensure customer satisfaction. Also in the highly globalised environment collaborations become very important for SMEs. He stressed that SMEs should learn art of inter-organizational collaboration, intraorganizational collaboration, collaborations with competitors as well as collaborations with complementary firms in order to become competitive and grow rapidly and contribute towards India's growth story. He suggested that the SMEs should be aware of various changes taking place in their business environment and rethink and redesign their policies in order prepare themselves for upcoming challenges and opportunities.
He also observed that there is no shortage of funds and deserving SMEs are easily able to access these funds. However, he urged the need to educate the SMEs on various aspects of financial management. With an efficient financial management, a company can become financially healthy. This will increase the credit worthiness amongst stake holders and accessing markets become easy. He concluded saying that the cost of in-house management of finance is very high and hence it is advisable to outsource this activity. A good cash flow management can avoid liquidity crisis. He also encouraged the SMEs to look at the Corporate picture in order to grow and do not remain small forever.
Mr. Harish Patnaik, CEO, Gujarat Venture Fund Ltd.

Patnaik explained in detail about the GVFL and was initiated by World Bank. Giving an overview of 7 funds created by GVFL, he explained the 6th fund which was dedicated for SMEs. He explained how SMEs can attract the private equity or venture capital fund. He stressed that SMEs need to prepare themselves in order to able to attract these funds and in starts right from entrepreneur's ability to start a business. He also focused on lack of entrepreneurship training as one of the reasons why entrepreneurs fail during the initial growth stage. Hence it is necessary to impart entrepreneurship training in order to enable SMEs become sustainable. He commented on the need of venture capital for SMEs as they lack sufficient access to finance right from bringing their initial capital to difficulty in accessing the bank loans. He observed that the capital needed by the entrepreneurs to start or to grow his enterprise can only be provided by venture capital fund which are still quite few in the country. However, the number of units financed by these funds is still very low. While highlighting the funds sanctioned by GVFL, Mr. Patnaik observed that in last 22 years of its operations, only 75 units were financed by GVFL. He concluded saying that GVFL is planning to create a separate fund of Rs 100 Crore for Micro sector of SME Sector and also for social enterprises. As per the latest SEBI guidelines, every PE and VC funds are expected to create separate fund for each sector. E.g. an SME fund should invest only in SMEs and not in other sectors.
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Mr. D. C. Anjaria Director, Indian Institute of Financial Services Pvt. Ltd., Ahmedabad
Mr. D. C. Anjaria observed that failure rate in SMEs is high mainly due to lack of financial management than technical management. Many of the SMEs are not able to obtain funds from right source and also lack working capital management skills. It is mainly due to these reasons that banks and other investors consider SMEs as risky clients.
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Mr. Souvik Sengupta Business Head, SME Loans, Reliance Commercial Finance.
Mr. Souvik Sengupta emphasized on the core competencies of the SME sector, which include their small size which makes their operations flexible and make them more adaptable to the changing needs of the business environment; products and processes are specialized that lead to cost competencies; innovative suppliers and proximity to the vendors. While highlighting the basic challenges of SMEs from financing perspective, he said that they do not get timely and adequate finance, difficulty in accessing capital markets and considerable delays in payments from Corporate which increases their working capital cycles, lack of access to cheap funds like ECBs due to lack of knowledge and negotiating ability and other issues related to finance. He encouraged SMEs to manage their businesses professionally by ensuring transparency in the financial statements which would make their businesses more credible to banks and other sources of finance. He advised SMEs on managing their funds and finances properly in order to avoid shortage of funds for business operations. He also advised them on maintaining the proper books of accounts and adopting adequate regulatory compliances by paying all the taxes and duties which would give enough confidence to banks and other sources of finance.
safeguard their businesses in event of various changing external business environment.
Mr. Lakshman Gugulothu CEO, BSE SME Exchange

Giving an overview of SME Exchange Mr. Lakshman Gugulothu observed that the Exchange is an ideal avenue to raise low cost capital from the market by the SMEs. If the valuation of the Company is attractive, raising funds is not difficult. The listing norms for SME Exchange are liberalized. Any enterprise upto Rs. 10 crore paid up capital can go to SME Exchange. He explained the market making support of the Exchange designed for SMEs planning to get listed on the Exchange. He also mentioned that though credit rating is optional for SMEs planning to get listed on the Exchange, it is considered desirable as it gives merchant bankers and investment banks enough credibility to trust the business of the SMEs. The major investors would be banks, financial institutions, VC/PE, HNI and others. He also encouraged SMEs to concentrate on their core competencies and outsource non-core activities in order to make their operations more sustainable and efficient. They should also adopt professional centric approach rather than promoter centric approach for managing the enterprise which would in turn enable them to get better valuations.
Mr. H. P. Shah CEO, Value Plus Investment Advisors Pvt. Ltd.

Mr. H. P. Shah observed that SMEs struggle hard to create an enterprise, run it efficiently and earn profits. However, most of the times they fail to manage their finances which in turn results in lower profit margins. It is observed that 5% of the profits of an enterprise goes to the bank by way of interest and service charges. He also highlighted on several different ways by which SMEs can accumulate wealth and grow simultaneously. He also encouraged SMEs to pay tax rather than defer the payments. This would indirectly help SMEs as it would make their business operations more viable and credible and would enable them to access sufficient finance from banks and other funding agencies. Payment of tax is more profitable than payment of interest advised Mr. H. P. Shah. He also advised SMEs to separate the funds used for business and for family. Tax free strategies can be employed to legally create wealth as the Government of India has devised various tax free income schemes, however SMEs are unaware of such schemes due to their concentration on business activities and lack of awareness of various government policies and schemes and their impact of the business. He concluded saying the entrepreneurs must also plan their business carefully taking in to consideration the possible crisis that make arise in event of their absence. He also highlighted on various risk management strategies that SMEs need to develop in order to
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Mr. Pramod Bapna Managing Director, Smart Head Strategy Solutions Pvt. Ltd.
Mr. Pramod Bapna highlighted the importance of having clear vision amongst promoter of SMEs in order to succeed and also on the importance of sharing the same vision with other team members. He also stressed that most of the SMEs in their quest for success tend to overlook changing economic trends which has adversely impacts their business even leading to their failure. Hence he advised SMEs to scan their environment thoroughly and take careful actions in order to ensure success of their enterprise. Highlighting the importance of innovation and adopting quickly to the changing situations, he gave example of Bajaj which dominated the scooters markets until recently where their failed to notice the changing customers preferences. As a result, the new entrants took advantage and changed the designed to suit the customer needs and slowly captured the market share of Bajaj. He also gave example of Moserbaer, one of the largest CD manufacturers which was driven out of business by the arrival of alternative and convenient storage devices like pen drive. In talent management exercise, he advised SMEs to devote 50% of the time in developing a team. A well documented process and procedures should be available for all its operations with a view to avoid over dependence on any individual. Finally, for an organization to be efficient, the SME should adopt Employee First approach than Customer First Approach.
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Mr. Venkat Ramineni Executive Director, VisaPro Immigration Services LLC, USA addressing the delegates
Mr. Venkat Ramineni, while speaking on various opportunities available in USA for SMEs, explained the rules and regulations governing the establishment of offices in the US. He mentioned that the establishment of company in the US is governed by State Laws and not the Federal Laws. Also the cost incurred for opening the business in the US is very minimum and can be done from India directly. He explained the entire process required to start successful business operations in the US right from opening the bank account to registering the company under the US laws to tax planning in the US. He also explained different types of visas required for conducting business in the US and their various purposes. He also explained various ways of obtaining visas in order to suit the needs for setting the business operations. Explaining the services VisaPro Immigration Services, he explained how his company can enable SMEs to set-up operations in the US, promote SMEs at various trade shows, helping them to launch the products in the US and various other services that would enable the SME to successfully begins its operations in the US.
Question and Answer Session
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HTP
Himachal Terepene Products Pvt. Ltd.

(An ISO 9001:2008 Certified Company)
MSME NATIONAL AWARD WINNER 2009

(For Out Standing Entrepreneurship)
Registered Office & Works Kala Amb, Road, Distt. Nahan (Sirmour), Himachal Pradesh - 173030, India. Tel.: +91 1702 238 543, Fax: 238 515 Mobile : +91 9816380001 Email: htp@satyam.net.in, aks_m20@yahoo.com Corporate Office 203, Nadiadwala Market, Podar Road Malad (E), Mumbai - 400 097, India Tel.: +91 22 2881 4383 | Telefax: 2881 4356 Email: htppla1@gmail.com
Website: www.httpl.co.in
Manufacturers of:
Alpha Pinene D.D. Turpentine Dipentine Delta 3 Carene Pine Oil (All Grades) Pine Tar Terpineol Perfumery Alpha Terpineol (Borneol Free) Terpineol Beta Rich Terpinolene Longifolene Terpineol B.P. Turpentine Oil I.P. (Tarpin Ka Tel) Terpin Hydrare I.P.
CERTIFICATIONS : 1. An ISO 9001:2008 Certified Company 2. Bulk Drug Licence & 3. GMP
MAJOR SUPPLIERS
Asian Paints, Kansai Nerolac, Berger Paints, Akzonobel India Ltd., BASF, Hindustan Uni Lever, Reckitt Benckiser, Amrutanjan Health care, Paras Pharma, Dabur India, Bayer India, Glaxo Smithkline Pharma, Hindustan copper, Hindustan Zinc, Ordanance Factory, Opto Electronics, Johnson & Johson India Ltd., Robertet, Symrise, Fivaudan Flavors, Firmenich Aromatics, Jubiliant Life Sciences, Vivimeds Ltd., Systopic Labs, IFF-International Flavours & Fragrance and Huntsman International India Ltd.
For Paints / Dyes & Colours / Solvents / Phenyl / Floor Cleaners / Pesticides / Disinfectants / Toiletries / Rubber Reclamation etc
For Perfumery / Fragrance / Flavours
For Pharmaceuticals
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PANEL DISCUSSION ON SUPPORT SERVICES FOR BETTER GROWTH OF SMEs
Panelist (L to R) Mr. Imran Jafar Partner, Gaja Capital, Mumbai, Mr. Ajay Nayak Director, CBS Pacific Limited, Hong Kong, Mr. Ramnath Pradeep Former CMD, Corporation Bank, Mr. Haresh Hinduja Sr. Vice President, Link Intime India Pvt. Ltd., Mumbai, Mr. Mehul Pandya General Manager and Regional Head, CARE Ratings, Ahmedabad and Ms. Aslesha Gowarikar Partner, Desai & Diwanji
Mr. Ramnath Pradeep Former CMD, Corporation Bank.

Mr. Ramnath Pradeep, highlighted various challenges SMEs are facing right from obtaining funds from the banks like delays in clearing the proposals, follow-up with various executives, inability to provide collateral security and insufficient knowledge about financial management. He suggested that the SMEs should maintain a good relationship with the banks in order to maintain the credit flow required for the enterprise. SMEs should also be transparent in their dealings and comply with rules and regulations of the bank. They should also approach venture capital and private equity funds if they are a high growth company as well as their project proposals are viable.
between 4%-5%; trade finance, working capital, capital expenditure all of which are available at a very low cost. Also the tax regime in Hong Kong is very less ranging from 15%-16% and there are various medium in order reduce the taxes to largest possible extent. All these factors make Hong Kong a ideal trade and investment destination.
M s . A s l e s h a G ow a r i k a r Partner, Desai and Diwanji

Ms. Aslesha Gowarikar spoke on various legal issues involved in getting the desired funding. iBankers help companies to find the required legal consultants, chartered accountant and any other skill sets that area required to make the transactions successful. While speaking on due diligence aspects of attracting funds, she explained the 4 Ws of due diligence which are What, Why, Who and When. During Due Diligence the companies are analyzed to identify the prospects of the company and level of success it is going to achieve. This is equally true when the company is going for an IPO where entire capital restructuring is done in order to make the organization more attractive to the investors, observed Ms. Aslesha Gowarikar. The main reason why due diligence is conducted in order to see the how much value the business can create for the investor's money. In such cases SMEs would have to look at its assets and also negotiating a good price for itself so that the valuations are right and to structure the financial documents as per the findings of the due diligence exercise, explained Ms. Gowarikar. Depending on the industry in which the company is operating, the due diligence would involve experts from various fields coming for due diligence. In event where there are large projects, there is environmental due diligence. She have a brief overview of the entire due diligence process, scope and depth of which depends on the extent to which company what to access the funds.
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Mr. Ajay Nayak Director, CBS Pacific Limited, Hong Kong

Mr. Ajay Nayak, observed that in order to become successful it is important to have passion for success. While speaking on the cost of obtaining capital in India, he commented that in India it is between 13%-15% while in Hong Kong it is 4% - 5%. While speaking on the economy of Hong Kong, he mentioned that Hong Kong is a free economy and is the window to mainland China which is already growing at 8%-9%. He also mentioned the ease of setting up the company in Hong Kong and can be done within an hour and within one day it is possible to open the bank account. Also obtaining visa for business purpose is easy for Indian. Speaking on various types of credit available, Mr. Nayak mentioned the in event of term loan, the interest rates ranges
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Mr. Imran Jafar Partner, Gaja Capital, Mumbai

Mr. Imran Jafar, while talking about private equity in India, mentioned that his company invests in the range of Rs 25 Crore to Rs 750 Crore. He also observed that most of the SMEs face challenges for accessing finance and most of the private equity funds are not directed to meet the seed capital or the angel capital need of these firms. However, now the banks and government agencies are taking initiatives to meet the funding gaps. It is only when the company posts a good growth record, private equity can play a major role towards the growth of the fund, observed Mr. Jafar. He observed that the key difference between larger and smaller firms is the access to the source of finance which is quite informal and expensive for smaller firms. He gave various examples of private equity investments that have been made and how the companies have grown due to the private equity investments. Though private equity is more expensive than debt funding, it allows the company to diversify its asset class and strengthen its balance sheet by lowering overall cost of financing. While talking on the venture capital he said that it is important for SMEs to understand that every SME won't be able to tap in to venture capital as such form of funding tend to flow to those companies that are in leadership positions, have very high scalability, and require least innovation of differentiation in products. Private equity partnership with any company depends on transformation of the company which creates a win-win situation for both company and PE investors.
there are several companies keen on getting listed on the stock exchange. He suggested that before going for an IPO, SMEs need to identify the right merchant banker who will assist the company go through the entire IPO process. He mentioned that his company assists the merchant bankers in finalizing the IPO allotment process. Once the merchant banker has been appointed, it is necessary for SMEs to undergo capital restructuring in order to make themselves more presentable and transparent to the merchant bankers. He also explained the entire pre-IPO procedure right from capital lock-in of the promoter, entering in MOUs with various intermediaries, registrars and legal people. He also gave an overview of post-issue IPP work, which has clearly been streamlined by SEBI guideline. As a result, the entire post-issue IPO work has to be completed within 12 working days in order to ensure good return on investments to all the investors including the promoter.
Mr. Mehul Pandya General Manager and Regional Head, CARE Ratings, Ahmedabad
Highlighting the importance of credit rating, Mr. Mehul Pandya mentioned that 3rd Party Credit Ratings adds greater value to an enterprise. A good rating enables SMEs to obtain loan at a concessional interest rates from the banks. It also enables SMEs to have a good view of their enterprise from an external party and enables them to understand all the loopholes in their businesses. It also helps them to scan their internal environment and prepare themselves for the challenges arising due to changing business environment. Credit rating also enables SMEs to improve its credibility amongst its stake holders like customers, suppliers, employees, regulators, importers, exporters and Government Departments. The rating agencies not only rate the financial performance of a company but also its dealings with the employees and creditors. Credit Rating improves the visibility and credibility of an enterprise. He concluded by giving an overview of his company and mentioned the initiatives his company has taken to extend the rating facilities to SME clusters spread across the country.
Mr. Haresh Hinduja Sr. VP, Link Intime India Pvt. Ltd.
While talking on IPO issue and procedure, Mr. Haresh Hinduja commented that capital market is the greatest opportunity for SMEs to raise money in the capital markets. Though IPO market is currently become lull,
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PANEL DISCUSSION ON TECHNOLOGY AND INNOVATION FOR SUSTAINABLE GROWTH & INTERNATIONAL TRADE AND INVESTMENT OPPORTUNITIES
Panelist (L to R) Mr. Ajay Shad Chief Mentor, Value Education, Ahmedabad, Mr. Ashish Hingorani Solution Architect Key Accounts, CSMB, Dell India, Dr. Mukesh Dalal Professional Director, Steelfur Systems Pvt. Ltd., Mr. Matej Merljak Chairman, Europe - India SME Business Council (EISBC), Slovenia, Mr. V. K. Venkatachalam Secretary General, SME Chamber of India, Mumbai, Mr. Muthafa Yusof Minister Counselor (Economic Affairs), High Commission of Malaysia, Mr. Alfred NDABARASA First Counselor, High Commission of Rwanda in India, Mr. Nitin Bhandari AVP NPD & Partnership Corporate Enterprise Business, Vodafone India and Mr. Rishi Bansal Vice President Global Business, Merino Services Limited
Mr. Rishi Bansal Vice President Global Business, Merino Services Limited
Innovation is the key to survival and success of any business, commented Mr. Rishi Bansal. Whether its product innovation or process innovation, it enables the company to enhance its business operations and improve its productivity. While the quoting various examples of innovation he mentioned about Black colour dial telephone, post cards, cash transactions being replaced by mobile, email and credit/debit cards. He observed that technology has changed the way we live today and the way we manage the operations of the Company. Innovative IT products and IT enabled services add more value to the organization as they make the processes more efficient and thereby saving considerable costs arising out of inefficiencies. It also aides simplification of operations, assist in developing new product designs and development, data storing and management, quicker decision making etc. IT solutions like ERP, CRM etc. enhance competitive advantage of the company as they enable it to link all the potential customers, suppliers and all its business processes thereby increasing the business efficiency. Instant status to customers, stock management, maintenance, and project management are some of the other benefits available to multi locational companies by adopting latest information and communication technologies. He concluded by saying all the SMEs should take more care about data management, business intelligence and human capital to improve their efficiency and ensure growth of their business.
Mr. Ajay Shad Chief Mentor, Value Education, Ahmedabad

Mr. Shad while narrating his success story mentioned the pre-requisites for starting the business which involves passion, dedication and focusing the energy on growth and success of the enterprise. He observed that over the generations as businesses become affluent, the young generations do not show the same amount of devotion and enthusiasm for the business which in turn leads to discontinuity of business. Hence it is important to inculcate a sense of responsibility and business acumen amongst the youngsters in order to carry on the entrepreneurial spirit of the enterprise. Invest in your children said Mr. Shad. It is imperative for the promoters to groom their children with required knowledge and skill in order to ensure continuity of business operations. He stressed that young generations should be well trained in all aspects of business activities in order to prepare them to take the reins of the businesses after the promoter. He also commented on the importance of identifying the good and bad employees and train them accordingly to maintain discipline and improve the productivity. Employees with high performance should be identified and suitably rewarded while the less performing once should be given guidance and training to elevate them to a higher level. Rewards and punishment should be in place to maintain discipline and order in the company. He concluded saying that education and training at regular intervals at all levels of an enterprise is a necessity of the day and is very much applicable to the SMEs in order to grow continuously.
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Mr. Nitin Bhandari AVP NPD & Partnership Corporate Enterprise Business, Vodafone India
Mr. Nitin Bhandari observed that communication is one of the major attributes of a successful enterprise. Effective communication within the organisation between different functional areas as well as outside the o rga n i s a t i o n w i t h c u s to m e r s , suppliers and other stake holders is extremely important in the smooth functioning of the enterprise and also to drive efficiency in the organization. He further observed that in the technologically advanced world where communication between machines is faster and accurate than between humans, a well defined and implemented communication system in a work place will improve the productivity to a greater extent. He also commented that enterprise communication proves to be a useful tool to build cooperation and collaboration between several people associated with the organisation. Hence it is important for SMEs to accord priority in identifying the communication gaps and implement appropriate communication systems in order to ensure the success of the enterprise.
Mr. Ashish Hingorani Solution Architect Key Accounts, CSMB, Dell India
Mr. Ashish Hingorani while speaking on innovation commented that Dell started as an SME and grown to the present status due to innovative strategies. The company understood its market better than its competitors enabling it to offer products customized to the specific requirements of its customers while its competitors continued selling standard products. The major problems with SMEs, he observed are time, money and manpower which they should manage with utmost care and utilize these resources efficiently for their growth. He recommended SMEs to take Dell as an example and customize their end to end solutions for their customers by understanding their needs. Designing appropriate products and services targeted at the right audience, supplying them at the right time and providing back up support with efficient servicing will enable SMEs to succeed in long run.
Dr. Mukesh Dalal Professional Director, Steelfur Systems Pvt. Ltd.

Every organisation should adopt change in all operations of the enterprise to equip themselves to face competition and merge successfully, observed Dr. Mukesh Dalal. Update or outdate is applicable to all kinds of companies in the present highly competitive economy where innovation has become key to success. Dr. Dalal observed that in many organisations, enough attention is not focused on managing the space. Apart from managing the other resources of an organisation, it is also very much important to manage the space as the cost of the land and buildings are rising every day. The first benefit of space management is the orderly arrangement of the products which enhances the aesthetic look. Secondly, it frees a lot of extra space for storing. For example, by stacking the shelves vertically more products can be displayed in a limited space by using minimum area on the floor. This results in a considerable saving of cost per square feet as the rents are substantially high. The other advantage of an orderly arrangement is extra safety within the premises. Therefore, the small enterprises with the limited space should resort to space management as it would allow them to save considerable costs on rent and also allow them to stack maximum products and ensure efficiency of the business process.
www.smeconnect.in
Mr. Matej Merljak Chairman, Europe-India SME Business Council (EISBC), Slovenia
With the formation of the European Union (EU), doing business in countries constituting EU has become easier, observed Mr. Merljak. EU has made it possible for the free movement of goods, capital, and people across the Member countries. Europe mainly thrives on knowledge based industries and as a result the region is losing its competitiveness in the mass manufactured market. Therefore, various manufacturing companies in Europe have started looking for profitable destinations in India and China for outsourcing their manufacturing activities. Indian SMEs can take advantage of this situation and look for contract manufacturing activities with European companies, suggested Mr. Merljak. Explaining about Europe-India SME Business Council (EISBC), Mr. Merljak mentioned that the Council provides useful information, guidance and assistance to Indian SMEs to do business with EU Countries. The Council also offers support in understanding the EU market, conduct market survey, identify business partners, arrange joint ventures, technology transfers, contract manufacturing and other business activities including follow up activities. He also mentioned various trades and investment opportunities in Europe and also various technology transfer arrangements that are possible between India and EU.
f 59 h
CO NNECT
Mr. Muthafa Yusof Minister Counselor (Economic Affairs), High Commission of Malaysia
Highlighting on similarities between India and Malaysia, Mr. Yusof observed that both the countries share a lot of common economic and cultural aspects. In the last 10 years the trade between Indian and Malaysia has increased 6 folds, which shows that a huge potential exist between both the countries for bilateral trade and investment. The India-Malaysia Comprehensive Economic Cooperation Agreement will give the necessary fillip in this direction, commented Mr. Yusof. Although there are opportunities in many sectors to import and export various products and services, information technology and Telecommunication sectors provide maximum opportunities as these sectors are growing rapidly. Even in the service sector, opportunities exist for many professionals engaged in engineering, agriculture and other fields, observed Mr. Yusof. He appealed to the Indian SMEs to take advantage of conducive business relations between Indian and Malaysia and explore business opportunities for a greater cooperation and collaborations.
Mr. Alfred NDABARASA First Counselor, High Commission of Rwanda in India

Speaking about his country, Mr. Alfred NDABARASA gave an overview of Rwanda. Rwanda is located at the cross roads of Central and East Africa. Mr. Alfred explained in detail about the economic situation in Rwanda and the initiatives taken by the Government for the promotion bilateral trade and investment between India and Rwanda. There are numerous opportunities for Indian SMEs to promote trade and investments in Rwanda. Renewable energy is one of the major areas for investment. Infrastructure development, information and communication technologies and construction sectors offer tremendous scope for investment, project management and supply of products in country, commented Mr. Alfred. He appealed to the Indian SMEs to visit Rwanda to understand the business opportunities and assured all necessary assistance in this regard.
(L to R) Dr. Mukesh Dalal Professional Director, Steelfur Systems Pvt. Ltd., Mr. Ajay Shad Chief Mentor, Value Education, Ahmedabad, Mr. Matej Merljak Chairman, Europe - India SME Business Council (EISBC), Slovenia, Mr. Chandrakant Salunkhe President, SME Chamber of India, Mr. V. K. Venkatachalam Secretary General, SME Chamber of India, Mumbai, Mr. Muthafa Yusof Minister Counselor (Economic Affairs), High Commission of Malaysia, Mr. Ashish Hingorani Solution Architect Key Accounts, CSMB, Dell India, Mr. Alfred NDABARASA First Counselor, High Commission of Rwanda in India and Mr. Nitin Bhandari AVP NPD & Partnership Corporate Enterprise Business, Vodafone India
CO NNECT
State Level
GUJARAT ENTREPRENEURSHIP & SME EXCELLENCE AWARDS

Tuesday, 17th April 2012 | Hotel Courtyard by Marriott, Ahmedabad
Mr. H. P. Shah - CEO, Value Plus Investment Advisors Pvt. Ltd. Gujarat Entrepreneurship Excellence Award For Service Sector
Mr. Maulik V. Dave - CMD, Harikrushna Machinetech Pvt. Ltd. Gujarat SME Excellence Award for Manufacturing Sector
Mr. Sharad Jobanputra - CMD, Sequel Logistics Pvt. Ltd. Gujarat SME Excellence Award for Service Sector
Mr. D. K. Parikh - Chairman & Group Founder, Techflow Enterprises Pvt. Ltd. Gujarat SME Excellence Award for Manufacturing Sector
Mr. Dinesh Khanpara - Partner, Khedut Agro Engineering Ltd. Gujarat SME Excellence Award for Manufacturing Sector
Mr. Kishor Shah - MD, Gurudev Dyestuff India Pvt. Ltd. Gujarat SME Excellence Award for Manufacturing Sector
Mr. Chaitya Dhanvi Shah MD, Marvel Art Gallery Pvt. Ltd. Gujarat SME Excellence Award - Emerging Entrepreneur for Service Sector
www.smeconnect.in
Ms. Shilpa Choksi - Proprietor & Designer, Marigold Watches. Gujarat SME Excellence Award - Emerging Woman Entrepreneur for Manufacturing Sector
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Organises
International Event on
PACKAGING INDUSTRY SUMMIT

Sustainability and Competitiveness
October 2012 | Mumbai
ABOUT THE SUMMIT

This Summit will bring together the stalwarts from packaging Industry to deliberate on challenges and opportunities of this Sector. Also this will highlight the emerging business opportunity from food processing, pharmaceutical, dairy, beverages and FMGC Sectors. The participants will get an opportunity to interact with leading CEOs and Entrepreneurs from packaging industry and other sectors, Ministry of Commerce and industry, trade and investment promotion organizations, bankers, investors and other financial investment agencies, policy and decision makers.
SUMMIT AGENDA
Overview of Packaging Industry Funding Options Banks, VCs and PEs Overview of Indian Packaging Machinery and Equipment Importance of Quality Assurance and Audits Industry Latest Technology in the Packaging Industry Impact of Global Crisis on Packaging Industry Opportunities for Technology Transfer and Joint Ventures Growth Potential of the Industry Importance of Intellectual Property Rights, Copy Rights and Current trends in Global Packaging Industry Government Schemes & Incentives for Packaging Industry
Trade Marks
Promotion and Branding Strategies
WHO CAN PARTICIPATE?

Packaging Machinery, equipment, Products, Items and Materials manufacturers, packaging product buyers, Importers, Suppliers, Traders and end users, Barcode designers and manufacturers, CEOs and Entrepreneurs from Pharmaceutical, Food Processing, FMCG, Manufacturing Industry, Banks, Technology Providers, Technocrats, Heads of Government Departments, Trade Promotion Organizations & Associations, Associations for Packaging Industry, Consultants, Exhibition Organisers, Students.
Co-Organiser Co-Organiser
BENEFITS TO THE PARTICIPANTS

Identify Emerging Business Opportunities Updating knowledge on latest technologies New Government Schemes and Incentives Networking with potential buyers, suppliers and end-users Opportunity to interact with Government Officials, other manufacturers, Bankers, Consultants, Technology Providers, Industry Experts and Overseas Companies
Partner
Partner
n Youn
ntrepre gE
Partner
ne
urs Foru
dia
IITC-INDIA
INDIAN YOUNG ENTREPRENEURS FORUM
Partner
EISBC
Knowledge Partner
Supported by
Event Managed by
Media Partner
CO NNECT
SME TRAINING INSTITUTE OF INDIA
M A G A Z I N E
&
P O R T A L
Contact For Participation Mr. Omesh Kandalkar Tel: +91 - 22 - 6150 9800 / 6667 4444
Contact For Sponsorship, Speaking Opportunity Ms. Saakshi Kulkarni - Director (Business Development) Mobile: +91 - 98201 79494 | Email: piai@vsnl.net
In
IT Partner

ACTIVITIES
Training Programs, seminars, workshops Conferences, Conclaves, Deliberations Courses and Programs Mentoring Sessions Interactive Sessions Project, Plants and Factory Visits Study tours Awareness programs Research Programs and Initiatives Consultancy Programs and Initiatives Publish periodicals and magazines
OBJECTIVES
To educate and train SMEs from manufacturing and
service sector
To integrate business tycoons and promising
entrepreneurs - Young and Women Entrepreneurs

To empower entrepreneurs to become competitive To accomplish India's inclusive growth To impart business management skills & concepts To identify training needs of prospective and existing
entrepreneurs
To enhance business performance
SUPPORT SERVICES
Preparation of Project Reports Financial and Business Proposals Conduct sector-wise market surveys and reports Schemes and Incentive facilities Financial Management Services Project Management Consultancy Set up new enterprises or industrial units Export Documentation and Procedures Joint Ventures and Technology Transfers Private Equity and Venture Capital Survey Reports on Potential Markets NPAs & Sick Industrial Units Revival / Re-structuring Logistics and supply-chain Management Cloud Computing Online and Internet Marketing Group Marketing Strategy Franchises and Business partnerships
Education | Knowledge | Competence | Empowerment
For More Information and Details Please Contact Mr. Omesh Khandlkar - Deputy CEO (Business Development & Coordination)
Tel: +91 22 6150 9800 / 6667 4444 | Fax: +91 22 2825 0414 / 2927 1750 Email: smebschool@gmail.com | Website: www.smebschool.com Registered & Head Office: 3, Upper Ground Floor, Samruddhi Venture Park, Marol MIDC Industrial Estate, Andheri (E), Mumbai 400 093.

Sme Connect April July 2012

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CO NNECT

MoU Exchange Ceremony in the presence of Prime Minister of Malaysia

MAHARASHTRA SME SUMMIT

GUJARAT SME MANUFACTURING SUMMIT

ACTIVITY REPORT OF SME CHAMBER OF INDIA

SMALL & MEDIUM BUSINESS DEVELOPMENT CHAMBER OF INDIA

ACTIVITIES FOR THE GROWTH OF SMEs

BI-LATERAL TRADE PROMOTION DIVISIONS

FOUNDER & PRESIDENT MR. CHANDRAKANT SALUNKHE

SMALL & MEDIUM BUSINESS DEVELOPMENT CHAMBER OF INDIA

Volume 2 | Issue 2 | July 2012

MAHARASHTRA SME SUMMIT

GUJARAT SME MANUFACTURING SUMMIT

VADODARA SME AND ENTREPRENEURSHIP MEET

State Level GUJARAT ENTREPRENEURSHIP & SME EXCELLENCE AWARDS

Volume 2 | Issue 2 | July 2012

Annual Flagship Event

NRI BUSINESS SUMMIT

Connecting Global Indians for Better Business Partnerships

INDIA INTERNATIONAL TRADE CENTRE (IITC-INDIA)

SMALL & MEDIUM BUSINESS DEVELOPMENT CHAMBER OF INDIA

MAHARASHTRA INDUSTRIAL AND ECONOMIC DEVELOPMENT ASSOCIATION

PACKAGING INDUSTRY ASSOCIATION OF INDIA

EUROPE - INDIA SME BUSINESS COUNCIL

Industrial and SME Research Centre of India

Macro Events and Exhibitions Pvt. Ltd.

Solutions Private Limited

ADVISORY BOARD OF SME CHAMBER OF INDIA (2011 - 2014)

MR. CHANDRAKANT SALUNKHE

Activity of the Chamber

Signing Ceremony of Memorandum of Understanding

SMALL & MEDIUM BUSINESS DEVELOPMENT CHAMBER OF INDIA

17 July 2012 | Hotel Hyatt Regency, Mumbai

Volume 2 | Issue 2 | July 2012

Activity of the Chamber

KOREA BUSINESS DELEGATION IN INDIA

ONE - TO - ONE BUSINESS MEETING BETWEEN KOREAN & INDIAN DELEGATES

Volume 2 | Issue 2 | July 2012

Activity of the Chamber

FRANCHISE INTERNATIONAL MALAYSIA 2012

SMALL & MEDIUM BUSINESS DEVELOPMENT CHAMBER OF INDIA

MALAYSIAN FRANCHISE ASSOCIATION

Volume 2 | Issue 2 | July 2012

Activity of the Chamber

FRANCHISE INTERNATIONAL MALAYSIA 2012

Activity of the Chamber

SMALL & MEDIUM BUSINESS DEVELOPMENT CHAMBER OF INDIA

YOUNG ENTREPRENEUR ORGANIZATION MALAYSIA

Thursday , 21st June 2012 | Kuala Lumpur Convention Centre, Malaysia

ASEAN - INDIA SME CONFERENCE

Volume 2 | Issue 2 | July 2012

SMALL & MEDIUM BUSINESS DEVELOPMENT CHAMBER OF INDIA

2 - 3 November, 2012 Hotel Sofitel BKC Mumbai, India

WORLD SME PARTNERSHIP SUMMIT

HIGHLIGHTS OF THE SUMMIT

INDIA INTERNATIONAL TRADE CENTRE (IITC-INDIA)

EUROPE - INDIA SME BUSINESS COUNCIL

MAHARASHTRA INDUSTRIAL AND ECONOMIC DEVELOPMENT ASSOCIATION

PACKAGING INDUSTRY ASSOCIATION OF INDIA

Industrial and SME Research Centre of India

SME BUSINESS MANAGEMENT INSTITUTE

Macro Events and Exhibitions Pvt. Ltd.

Activity of the Chamber