MADITSSIA welcomes the following announcements made by the Hon'ble Finance Minister in the Tamil Nadu Budget 2026:
• We welcome the launch of Single Window Portal 3.0, which will simplify and accelerate the establishment of new industries.
• We welcome the announcement to establish a Space Industrial Park in the southern districts of Tamil Nadu, particularly in the Thoothukudi and Tirunelveli region, which will promote regional industrial development.
• We welcome the announcement of an investment outlay of ₹4,414 crore to promote industrial investments in the State.
• We appreciate the allocation of ₹2,142 crore for the MSME (Micro, Small and Medium Enterprises) sector, which will support the growth of small businesses.
• We welcome the proposal to establish SIPCOT Industrial Parks in backward districts to promote balanced regional development.
• We welcome the initiative to simplify approvals from GMP, DTCP, and Local Bodies by leveraging Artificial Intelligence (AI) for faster processing of applications.
• We appreciate the proposal to establish an Export Promotion Council to encourage and strengthen Tamil Nadu's export sector.
• We welcome the allocation of ₹16 crore for the production and export promotion of value-added products made from Tamil Nadu's State tree, the Palmyra Palm.
Key Expectations of MSMEs Yet to Be Addressed
While the above announcements are commendable, MADITSSIA believes that the following important expectations of the MSME sector remain unaddressed:
• The Government should introduce a Collateral-Free Loan Scheme for MSMEs. This would enable many small enterprises that are unable to provide collateral security to access bank finance and expand their businesses.
• Electricity charges for industries should be reduced. In addition, industries should be allowed to avail the Solar Set-Off facility, similar to the benefit currently available for domestic consumers.
• Although electricity costs continue to increase, the Budget has not provided the 25% capital subsidy for installing solar power systems in industrial units, which would help industries reduce energy costs.
• The long-standing demand that the Government should provide 100% infrastructure support for the establishment of Private Industrial Estates has not been addressed in this Budget.