Referring to the declaration of 2010-11 as the “Year of Entrepreneurs,” Chief Minister Neiphiu Rio during the current Budget session has informed that the government expects to help at least 1000 entrepreneurs in all districts across the state. For this, a sum of Rs 10 crore has been proposed. However it is not very clear as to how this amount is to be utilized. As per news report, the Rs 10 crore will be used as seed money and the selected entrepreneur/s will be assisted in getting the necessary bank loans. With the 1000 entrepreneur, the government expects to build them up into the driving force of economic growth of the State. This is s huge task indeed. While there is some doubt on how the assistance will be given, nevertheless one only hopes that this particular venture of the government breaks new ground in tapping the huge potential that exists among our young people. However success will depend on more than just a good programme. Other things will also come into play.
First and foremost, the entrepreneurship programme will have to be run in a professional manner. The question is whether the Department of Industries & Commerce is up to the task. We must do away with the patronage system. Selection of entrepreneurs or projects must be on the basis of merit and viability. The government should act impartially and not give preferential treatment to any individual or group. Secondly the criteria of selection must be strictly complied with. If we are not wrong, the idea of having such a programme was conceptualized on the basic premise of encouraging the need to evolve ourselves into a ‘producing society’. Chief Minister Neiphiu Rio has been passionately emphasizing this point. As such due care should be taken to ensure that entrepreneurs contributing towards ‘production’ are given preference. On this front, we welcome the policy decision taken to give special emphasis to the youths and entrepreneurs who are working in the area of handloom and handicrafts, furniture units, establishments of ethnic Naga cuisine restaurants and private hotels, private transport companies, bakery and pastry units and the like. However those who are into other kind of production line should also not be ignored.
No doubt we support such kind of programmes aimed at giving livelihood options to our youths, however the ratio of Rs 10 crores for 1000 entrepreneur seems a bit unviable. While we still do not know how the money will be utlilized, even if we are to calculate on the above ratio it will mean that every entrepreneur will be entitled to Rs 1 lakh only. This is way too little for such an ambitious programme. Either the fund allocation should have been increased or if that was not possible the number of entrepreneurs to be selected should have been brought down. That way at least we will be ensuring quality by selecting only the most deserving people and backing them up with more funds. If 100 entrepreneurs are selected then they will get Rs 10 lakh each or if 200 are selected they will get Rs 5 lakh each. Whether setting aside Rs 10 crores for 1000 entrepreneur will do justice to the programme is a question that needs a re-look. Further if we are to deduct the numerous commissions being paid to all and sundry, the 1000 hopefuls may be left with around Rs 7 crores in total. The other scenario where the government is reportedly planning to give loans by linking the entrepreneurs to banks is also a matter that needs proper study. There is every possibility of falling behind in repayment of loans and accumulating huge debts. This is not a healthy way of promoting a government programme especially involving our youths. All in all, it is something for the government to do a re-check.
