Public Procurement Policy to ensure SME role in nation building:  IndiaMART Emerging Business Forum

Pune, October 16, 2016: India’s Public Procurement Policy is in need of efficiency, equitability, social intent implemented as a flawless framework with adequate checks and balances, and involvement of experts outside of the government. Stressing on such salience, the 5th chapter of the 6th IndiaMART Emerging Business Forum 2016, held in Pune on October 21, emphasised upon the importance of the Policy driven by technology to ensure participation of even the marginal SMEs in the process.

Under the Policy regulations, every central ministry, department and PSU must procure minimum 20% goods and services annually from micro and small enterprises. The Pune Emerging Business Forum analysed the Policy’s impact on such enterprises, both constructive and challenging; it also served as a platform to deliberate upon the available opportunities that can be best explored by the enterprises.

According to Mudit Khosla, Sr. Vice President – Brand Solutions, IndiaMART, “Perhaps the most effective and laudable process relevant to the current startup environment for the SMEs to participate in nation building, the Public Procurement Policy must be tuned to address trade financial inadequacies too. As we saw at the Pune Emerging Business Forum, the enterprises expect built-in transparencies and easy, technology-supported access to information within the bidding process. Online marketplaces can serve as platforms for transparent and easier procurement of goods and services.”

Apart from the needs within the procurement policy, the Emerging Business Forum highlighted its multi-level advantages, given the social-welfare imperatives of the country and its apparent intent to become a SME-led economy.  The government is focusing on a well-designed and well-implemented public procurement policy that would ultimately lead to financial savings from annual procurement costs; generate avenues for private investments; provide added adeptness in channelising national expenditure in growth-centric areas such as infrastructure; and make institutional procurement stringent, regular and rule based.

The other speakers included Sanjay Athalle, CFO, Reliance Commercial Finance and Nitin Bankar, Director, Pimpri-Chichwad Industry Association.

The IndiaMART Emerging Business Forum in Pune continued the series of successful chapters in Ahmedabad, Delhi, Hyderabad, and Jaipur. The next such forum will be held in Mumbai next