At an interactive session conducted by Merchants’ Chamber of Commerce and Industry (MCCI), Rajiva Sinha, the chairman of West Bengal Industrial Development Corporation, has urged the state-based MSMEs to opt for IPR and quality certification. This would aid MSMEs to ensure widespread market reach and attain improved recognition in a given marketplace.
Recommendations made by WBIDC Chairman at MCCI conducted session
Sinha has urged MSMEs to start considering IPR as a frontline strategy to stay competitive in the given marketplace. In view of this, these industries must secure patents for products that are innovative and offer enhanced functionality to concerned end-users.
Apart from that, the WBIDC chairman has urged MCCI to set up an IPR Facilitation center at its premises in Dalhousie to support MSMEs in seeking IPR or similar status. Sinha also clarified that the country’s leading institutions, including IITs and the Council of Scientific and Industrial Research, are ready to facilitate their technological know-how at free of cost to MSMEs in securing such status.
Since patenting is a tedious and costly process, the state government shall provide MSMEs with a subsidy of up to Rs 5 lakh as a supporting corpus to secure such certification. Presently, more than 80 lakh MSMEs are operating across the state, and the majority of them are reluctant to prioritize IPR as their frontline strategy.
Why most MSMEs are having trouble in prioritizing IPR strategies?
The MSME sector has a low inclination toward IPR practices and the adoption of quality certificates. Consequently, this prevents them from accessing a broader market and instills a credible reputation among the existing customers.
The ever-increasing competition and awareness regarding quality products have compelled these industries to adopt more aggressive strategies relating to IPR and quality certification. Unfortunately, most MSMEs are falling behind on this front. Disrupted supply chain, inconsistent production, and lack of adequate resources are preventing MSMEs from prioritizing IPR strategies.
Significance of IPR and Quality certification for MSME Sector
- Quality certification like ISO has a global recognition that allows domestic manufacturers to produce international standard products.
- Unlike generic or uncertified products, ISO certified products have more potential to attract customers from domestic as well as international markets.
- Upon securing the IPs, MSME may license, trade, assign or franchise their IP for financial benefits.
- The patent holder can commercially exploit his/her innovation, which could further translate into additional revenue. Thus, MSME can use this strategy to elevate their growth and business’s footprint.
There is no denying that the IPR is of paramount importance in the MSME landscape. Most MSMEs lack adequate resources and stable financial support to fulfill their production requirements. This prevents them from prioritizing IPR as their frontline strategy. Given this, the Indian government has introduced several schemes that enable MSMEs to secure IPs in a cost-effective manner.
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