Lessons from the Pandemic: Strengthening Neighbourhood Self-dependency Through SMEs

Abstract

The Covid-19 lockdown-induced supply side disruptions highlight the need for developing a robust manufacturing and agriculture production for each region. The Gandhian development approach and the concept of rural self-sufficiency emerge relevant in this context. The ddevelopment approach based on the concentration of manufacturing and production in a few industrial hubs is weakening the small and medium enterprise sector, whose strength lies in catering and providing for the local markets and ensuring that the needs of the neighbourhood markets are taken care of. Strengthening SMEs and their capacity to produce and meet the needs of local-neighbourhood economies is critical to rebounding from the current crisis. In this context governments may consider introducing local manufacturing policies with a significant role for local government institutions to manage essential goods production by SMEs operating within its jurisdiction.