West Bengal Government Pledges Major Push to Revive MSME Sector, Says Minister Ashok Dinda
Kolkata, June 27, 2026: Marking World MSME Day, the West Bengal Government has reaffirmed its commitment to revitalising the state’s Micro, Small and Medium Enterprises (MSME) sector, with Minister of State for MSME and Textiles Ashok Dinda announcing a series of initiatives aimed at restoring industrial growth, reopening closed factories, and improving the business climate.
Speaking at an interactive session organised by the Merchants’ Chamber of Commerce and Industry (MCCI) in Kolkata on Saturday, Dinda described the revival of the MSME sector as one of the new government’s top economic priorities.
“The MSME sector has been under considerable stress over the past several years. Our government is determined to revive this vital segment of the economy, which is one of the largest providers of employment in West Bengal,” the minister said. He also invited active collaboration from MCCI and industry stakeholders in achieving this objective.
Focus on Reopening Closed Units
Highlighting the scale of the challenge, Dinda said that nearly 8,000 MSME factories across the state remain closed.
“Our immediate priority is to reopen these closed industrial units and create an environment where businesses can thrive,” he said.
The minister added that the state government would align its industrial policy with Prime Minister Narendra Modi’s vision of ‘Vocal for Local’, while simultaneously encouraging local manufacturing, entrepreneurship and investment.
He noted that the recently presented West Bengal Budget has laid emphasis on strengthening the MSME ecosystem through the development of industrial clusters and industrial parks.
Infrastructure and Ease of Doing Business
Dinda stressed that improving road connectivity would be a key factor in attracting both large industries and MSMEs to the state.
“Robust infrastructure, especially quality road networks, is essential for industrial development. Good connectivity encourages investment and facilitates business growth,” he said.
He also announced that the government is working towards implementing an efficient single-window clearance system to simplify approvals for industries and improve the ease of doing business.
According to the minister, several companies have already expressed interest in establishing manufacturing units in West Bengal.
“We are committed to taking West Bengal to new heights of industrial growth,” he said.
End to Syndicate Culture and Return of Migrant Workers
Addressing concerns over the state’s business environment, Dinda said the government intends to eliminate the syndicate system and curb extortion, which he said had adversely affected industrial development.
He further stated that efforts would be made to create sufficient employment opportunities to encourage migrant workers to return to West Bengal.
Access to Finance Remains a Key Challenge
Speaking during the session, Shams Tabrez, Deputy General Manager and Head (SME), State Bank of India, said that while several policy initiatives have been introduced to support MSMEs, access to affordable finance continues to be one of the biggest challenges facing the sector.
He urged entrepreneurs to register on the Udyam Portal, stating that registered MSMEs can avail collateral-free loans of up to ₹10 crore and interest subvention benefits for exporters under various government schemes.
According to Tabrez, West Bengal is home to nearly 90 lakh MSMEs, providing employment to approximately 1.35 crore people, making it one of India’s largest MSME ecosystems.
Industry Calls for Modernisation and Policy Reforms
Addressing the gathering, Munish Jhajharia, Senior Vice President of MCCI, said that World MSME Day serves as a reminder of the sector’s vital contribution to economic growth, employment generation and entrepreneurship.
He welcomed the government’s renewed focus on MSMEs but emphasised that comprehensive economic reforms and business-friendly policies would be necessary to unlock the sector’s full potential.
“We need large-scale economic restructuring and targeted policy interventions to create a more efficient business environment,” he said.
Sanjib Kothari, Treasurer of MCCI and Chairman of its Council on MSMEs, said West Bengal stands at a critical stage in its industrial journey.
“West Bengal has the country’s second-largest MSME ecosystem. The emphasis must now move beyond numbers towards greater value addition, technological upgradation and modernisation,” he observed.
MSMEs Central to West Bengal’s Economic Growth
Industry leaders at the event agreed that a combination of improved infrastructure, easier access to finance, simplified regulatory processes and sustained policy support would be essential for unlocking the growth potential of West Bengal’s MSME sector.
The interactive session concluded with a shared commitment from government, banking institutions and industry representatives to work together in strengthening the state’s manufacturing base, promoting entrepreneurship and generating sustainable employment opportunities.
— IBG NEWS
