MSME
1MSME Statistics
  • The percentage share of export of Micro Small and Medium Enterprises (MSME) related products in the total exports from the country was 49.81% in the year 2019-20 (till December 2019) as per the data from Directorate General of Commercial Intelligence & Statistics (DGCI&S). 1
  • Total Number of MSMEs registered on Udyog Aadhar Memorandum (UAM) – 6.8 mn. 2 
  • About 65,312 micro-enterprises and 5,22,496 employment opportunities have been created under the Prime Minister's Employment Generation Programme (PMEGP) - a credit-linked subsidy programme. 3
  • The total Khadi and village industries turnover in the year 2019-20 was about INR 88,887 cr. 4

 

Sources: 1, 2, 3, 4

2Union Budget (2019-20) Provisions
  • The government has taken several measures to strengthen the Medium, Small and Micro Enterprises (MSMEs). The highlights of the budget 2020-21 for the Ministry of MSME are as follows: 1
    1. Overall allocation of INR 7572.20 cr
    2. INR 200 cr allocation under the ‘Interest Subvention Scheme for Incremental Credit to MSMEs’. This will provide funding for the 2% rebate on incremental loans up to INR 1 cr for GST-registered MSME units.
    3. INR 100 cr provided under the Credit Support Programme, which will ensure seamless credit guarantee to small and medium enterprises. 
    4. A total of INR 1525.94 cr allocated for the development of Khadi, village and Coir industries.

 

Source: 1

3Solar Charkha Mission
  • The Solar Charkha Mission of the Ministry of Micro, Small and Medium Enterprises (MSMEs) was launched on 27 June 2018. The Solar Charkha Mission is a programme that aims to contribute towards India’s rural unemployment issue. The mission provides training in producing cloth to rural people. This, in turn, allows them to earn a better livelihood by producing cloth. Another appealing factor of this programme is that the looms and spindles used during the training will be completely powered by solar energy. The Solar Charkha Mission will be spread over 50 clusters and every cluster will employ 400 to 2,000 artisans. 1 
  • A total subsidy of INR 66.31 cr has been allocated to the seven states where Solar Charkha clusters have been approved. 2

 

Sources: 1, 2

 

4MSME Sampark
  • MSME Sampark is a digital platform that connects MSME Technology Centre trainees/ students and recruiters to explore mutually beneficial opportunities. A total of 4,66,715 jobseekers and 5,743 recruiters have registered on the SAMPARK portal against vacancies posted by recruiters, 10,388 candidates have been placed. 1

 

Source: 1

5MSME Sambandh
  • MSME Sambandh is a portal to help monitor the implementation of the public procurement policy for micro and small enterprises. 1 The total procurement of goods and services from Micro, Small and Medium Enterprises by the Central Public Sector Enterprise (CPSE) in the year 2019-20 stood at INR 61194.07 cr (till November 2019). 2

 

Sources: 1, 2

6Amendments made to Micro, Small and Medium Enterprises Development (MSMED) Act, 2006
  • The Ministry of Micro, Small and Medium Enterprises (M/o MSMEs) has updated the existing criterion of definition of MSMEs which was based on the Micro, Small and Medium Enterprise Development (MSMED) Act, 2006. “Turnover” is now included as a new measure to segregate MSMEs along with the previously existing criterion of “Investment”. According to the new definition, there will be no difference between manufacturing and services, the same limits will apply to both sectors. 1
  • Following are the new limits for classifying MSMEs based on Investment and Turnover: 2
    1. Micro enterprise: Investment of upto INR 1 cr and turnover of upto INR 5 cr
    2. Small enterprise: investment of upto INR 10 cr and turnover of upto INR 50 cr
    3. Medium enterprise: Investment of upto INR 50 cr and turnover of upto INR 250 cr

 

Sources: 1, 2

Updated August 2020