Ranchi (Jharkhand): Ahead of the upcoming Jharkhand state budget, the Federation of Jharkhand Chambers of Commerce and Industries (FJCCI) has submitted key recommendations to the state government, emphasizing the critical role of micro, small, and medium enterprises (MSMEs) as the backbone of employment and economic growth in the state.
FJCCI president Aditya Malhotra stressed that targeted policies for MSMEs could prevent capital flight to neighboring states and create sustainable local employment opportunities. He urged the government to focus on dedicated infrastructure, financial incentives, and streamlined governance to bolster investor confidence.
Dedicated Land Banks and Operational MSME Directorate
Malhotra proposed the establishment of dedicated 25-acre land banks in every district specifically for MSME manufacturing. According to him, this move would encourage industrial development within Jharkhand and prevent the migration of businesses to other states.
He also called for the full operationalization of the dedicated MSME directorate to ensure better support for investors and entrepreneurs. Strengthening this directorate, he said, would boost investor confidence and ensure regional job creation.
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Financial Support and Incentives
To improve liquidity and ease of doing business for small industries, FJCCI recommended lowering the cost of capital for MSMEs and improving access to funding. Special incentive packages were suggested for the mica industry, including reopening of closed mines, which could increase government royalties while revitalizing local livelihoods.
To support a green transition, Malhotra suggested providing 40–60% subsidies for rooftop solar installations in MSMEs and introducing a “Green Tariff” for enterprises opting for 100% renewable energy. He also proposed a distribution model that reduces voltage fluctuations and unscheduled downtime, ensuring reliable power for small industries.
Streamlining Governance and Investor Grievances
Malhotra highlighted inefficiencies in the existing single-window clearance system, noting that investors are still required to navigate multiple departments for individual NOCs and approvals. To address this, he proposed the establishment of a permanent Trade and Industry Commission to resolve investor grievances and expedite approvals.
He also urged the government to implement a time-bound mechanism to clear all outstanding payments of contractors working with government departments, ensuring timely financial settlements.
Empowering Women Entrepreneurs
FJCCI emphasized the need to empower women entrepreneurs through initiatives such as “Aparajita” women’s vendor markets in every district. These markets, targeting self-help groups (SHGs) and cottage industries, would provide a dedicated platform for women to sell their products, fostering economic independence and entrepreneurship.
State Government Invites Suggestions
The Jharkhand government is set to hold a meeting with bankers on Monday to discuss the budget framework. In addition, suggestions from the public and stakeholders are being collected through the Abua Dishom Guru Portal and mobile app. The deadline for submitting recommendations has been extended to January 20, 2026.
The FJCCI’s recommendations underscore the need for a multi-pronged approach—combining infrastructure, financial incentives, green energy, and women’s empowerment—to strengthen MSMEs and drive inclusive economic growth in Jharkhand.
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