Big companies must partner with MSMEs to boost innovation

HYDERABAD: Telangana special chief secretary (industries and commerce) K Pradeep Chandra on Saturday said that large manufacturing companies must partner with micro and small manufacturing enterprises to strengthen innovation ecosystem in the manufacturing sector.

“The Japanese system of ‘Just in Time Delivery’ (JITD) was successful by involving vendors and service providers in the innovation value chain by the larger manufacturing companies. Similar mechanisms should be worked out in our state to integrate MSME’s in the value chain of growth in manufacturing sector”, Chandra said, while addressing a conference on manufacturing sector — ‘Man’Exe 2014 — organised by CII here.

JITD is a concept wherein materials are replenished exactly when it is required in the production process.

The special chief secretary pointed out that the government of Telangana is planning a lot of initiatives through the upcoming industrial policy to strengthen the MSME in the state, some of which are – upgradation of skills in the MSME sector, incubation fund, training needs of MSMEs for technical and managerial requirements and setting up skill development centres within the industrial parks among others.

On the industrial research area, he informed that, “In order to strengthen the Innovation ecosystem, the government is planning to establish Research and Innovation Centre of Hyderabad (RICH) which would strengthen the interaction between research institutions, educational organizations and the industry to get the best results.”

Meanwhile, Telangana State Industrial Infrastructure Corporation (TSIIC) managing director Jayesh Ranjan said the government will work to create a land bank for industry, where 2-3 lakh acres of land will be available for industry. “This land will not be raw land but all the infrastructure will be available and will be ready to use land with all the facilities of roads, water, power, etc”, he said