To ease the process of starting Cottage Scale Industries and to avail the required knowledge and technology for the aspiring entrepreneurs, the Ministry of Economic Affairs (MoEA), launched Guidelines for the Registration of Cottage Scale Industries 2021 and the CSI Technology Request Database. The move is in line with Korean President Moon Jae-in’s principle of “Allow first and regulate later.”
The “Allow-first-regulate-later,’ approach frees startups from most bureaucratic controls for a set period. As the initial challenges faced by any aspiring entrepreneur are the regulatory and administrative burden in having to submit numerous documents to different agencies. It is tiring and time-consuming.
With the new guidelines, an applicant for cottage scale industries can simply apply online and obtain a Registration Certificate. The current licensing system will be replaced by the Registration Certificate now, this is the highlight of the reform in the guidelines.
“Earlier registering system with licensing, we had the hassle of visiting different offices. And now with the online registration, I think at the comfort of your home you can just be on your laptop and register,” said Rajini Tamang, the Proprietor of Home Basics & Interior.
An applicant can apply for the Registration Certificate through the G2B website. The entire process to get a registration certificate takes no more than 5 minutes from the comfort of one’s home. However, applicants are urged to read the Guidelines before registering.
“One doesn’t have to pay a fee while registering, they will get a registration certificate for three years. Most business while applying won’t need any clearances and will get the Registration Certificate immediately,” said Loknath Sharma, the Minister of MoEA.
Similarly, the CSI Technology Request Database will facilitate entrepreneurs to search and adopt the right and appropriate technology required to start up a business. The online database will serve as a means to exchange technology for both offers and requests within and outside Bhutan.
“In today’s scenario, most businesses including the cottage scale industries are facing the challenge of getting the right resources for their businesses. For instance, someone looking for bakery equipment doesn’t know from where and how to obtain the machine. With this CSI Database Technology, they can easily access the information on the products and its prices,” Lyonpo added.
This will be one of the first reforms on the smallest scale the Ministry hopes to implement in the future across all sectors of the economy. And those who are currently holding the cottage scale licenses are urged to convert to the registration system on/before the expiry of the license validity through the online G2B application process along with a valid tax clearance certificate.
Yeshi Dorji
