Can SMEs cope with the de-reservation policy adopted by government?
CII has suggested for a phased and gradual dereservation of the products that are exclusively reserved for the SSI sector. The market, on its own, will very efficiently and impartially allocate which items are to be manufactured by the SSI sector and those that need to be manufactured by medium-scale and large-scale sectors. Hence, each sector will produce only those items that it can manufacture more efficiently than the other sectors. Finally, country as a whole will benefit with efficient resource allocation. In this context how vital is it for SMEs to have an international network? The international network of SMEs is vital where “capacity building” holds the key to globalisation. The removal of trade barriers to facilitate cross-border commerce and the increase in cross-border financial flows, have largely been undertaken by MNCs, financial institutions and government. SMEs will need to be creative in finding ways through technology to be part of the global value chain that is mos
