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MADURAI: The Madurai District Tiny And Small-Scale Industries Association (Maditssia) while complimenting the Union Finance Minister, Mr P. Chidambaram, for coming out with a package for the SME sector and launching the credit rating concept, has expressed strong apprehensions over the flow of credit to the entire sector.

In a statement here, Maditssia President, Mr S. Aravind, has said that credit rating will be beneficial only to a small section of small-scale units provided certain "pre-conditions" are followed. It's a big question mark as to how many small-scale units have entered the stage of pre-condition for such a rating shift, he wondered.

According to the 3rd census, a large number of SSI units do not even keep proper accounts. In such cases, how many SSIs will benefit from the credit rating scheme? The credit rating scheme indirectly encourages the banks to focus better on credible business and leave the rest to their fate.

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