more-in During the height of the mid-August flood and its immediate aftermath, cameras were trained on the massive human displacement and loss at the level of homesteads and farms. The story is equally, if not more, heartbreaking when it comes to small and medium industrial units, which are the backbone of the State’s industrial employment scene. The Micro, Small and Medium Enterprises (MSME) that had been functioning robustly and complementing the industrialisation drive of the State are now gasping for breath after the flood-fury took a heavy toll on their plants, machineries, raw materials, and finished products. Thousands of units, especially those in Thrissur, Ernakulam, Kottayam, Alappuzha, and Pathanamthitta districts, have hit a dead-end. Affected segments The key segments hit by the flood include plywood and furniture units in Ernakulam, pharmaceutical enterprises, rice mills, and a host of others, including shops and commercial establishments. Many of them are fully export-oriented. All of them have become defunct and the workforce, mainly migrant labourers, has deserted and moved on in search of jobs elsewhere. 2,900 units Directorate of Industries has tentatively pegged the loss of about 2,900 registered units at about ?823 crore, but the Kerala Small Industries Association puts the total loss at ?5,000 crore. Around 600 registered units in Ernakulam have sustained a loss of ?594.58 crore, 559 units in Thrissur ?132 crore, 99 units in Kottayam ?5.23 crore, 205 units in Pathanamthitta ?25 crore, and 821 units in Alappuzha ?52 crore. The data collection is still on as many places are still inaccessible. The government has announced a loan of ?10 lakh to the MSMEs, but there is no guarantee about when it would come or based on what documentary and collateral support. The government and banks would have to extend solid assistance to revive the functioning of the MSME sector, says Kerala Small Industries Association State president Damodar Avanoor. “Piece-meal or ad hoc solutions would not suffice to tide over the crisis. Issues such as notices from the Goods and Services Department for filing returns and payment of Provident Fund and ESI should be looked into. The government should direct local self-government institutions in the affected areas not to levy any fee from the MSME units and all inspections should be suspended till the units return to the pink of health,” says Mr. Damodar. Many committed payments of manufacturers, distributors and traders have been delayed. Stocks have been damaged and there is no certainty about when the units would be able to raise enough resources to replenish the stocks and get back to business and revive the supply chain. The sector is eagerly looking forward to the government acting on its promise to set up private industrial estates so that the units located in the flood plains whose plant and machinery have been washed away could be relocated to the safety of such estates. Bankers’ move State Level Bankers Committee convener G.K. Maya says the committee has decided to ease the norms for sanctioning fresh loans to industrialists, restructure existing loans, and declared a one-year moratorium on repayment in the affected areas. Banks have been directed to sanction loans without scrutinising the credit history of those seeking loans in the affected areas, she says.

Stay updated with all the Latest Thiruvananthapuram headlines here. For more exclusive & live news updates from all around India, stay connected with NYOOOZ.