Monday, May 16, 2011

SC/ST quota in govt tenders on cards

Within the proposed policy being considered for reservation of government purchase orders for micro and small enterprises (MSEs), there will be a sub-quota for businesses owned by SCs/STs.

While there is not much resistance to the idea of a 4 per cent sub-quota for entrepreneurs belonging to SC/ST communities, a consensus on the overall proposal for 20 per cent reservation for MSEs is yet to emerge.

"SCs/STs issue has been resolved. There will be sub-reservation," a senior official in the MSME ministry said, adding that if there is not enough capacity with these entrepreneurs, the orders can be passed on to general category sourcing channels.

The Ministry of Social Justice and Empowerment has been pushing for sub-quota for SC/STs in government tenders, which are worth about Rs 1,70,000 crore annually. The share of all MSEs in these tenders is about 4-5 per cent.

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