New Delhi: Looking to boost small businesses in Rajasthan, the newly-elected Ashok Gehlot government has brought in an ordinance allowing entrepreneurs to start businesses in the state just by presenting self-declaration forms.

Notified through the Micro, Small and Medium Enterprises (MSME) Facilitation of Establishment and Operation Ordinance earlier this month, before the poll code kicked in, the move seeks to exempt small businesses from taking any approval from the state government.

There will also be no inspection on the businesses for a period of three years. The necessary approvals, however, will be required within six months after the initial three-year period is complete. The businesses will also have to adhere to all the legal requirements.

The entrepreneurs can present the declaration forms both physically or electronically.

The Bureau of Investment Promotion (BIP), along with the district industrial centres, will act as the nodal agency for implementation of the ordinance.

In a statement issued on 4 March, Gehlot said, “By simplifying the process of establishing new businesses would save the time, efforts and resources of the entrepreneurs. It would attract more investment in Rajasthan.”

However, a senior BIP official said the guidelines of the notification are yet to be worked out and will be announced after the Lok Sabha elections.

“The guidelines cannot be announced now due to the elections and code of conduct but as soon as the exercise is over, we will come out with the guidelines,” said the official on condition of anonymity.

The MSME sector, which was crippled after the 8 November 2016 demonetisation exercise and the goods and services tax implementation, is yet to come out of the woods.

Published On : 28-03-2019

Source : The Print