MSMEs have emerged as a highly vibrant and dynamic sector of Indian economy over the last five decades. MSMEs not only play a crucial role in providing large employment opportunities at comparatively lower capital cost than large industries, but also help in industrialisation of rural and backward areas, thereby reducing regional imbalances, assuring more equitable distribution of national income and wealth.
Most small businesses in India are setup by first generation entrepreneurs. They often have a product or service idea and a great zest to work hard. However, capital access, brand promotion solutions, marketing support, logistics and sales support, and ICT support stall the zeal to take an enterprise to the next level. So here’s a list of initiatives and achievements by the government to boost the spirit of entrepreneurship in Independent India, as of 2016-17:
Firsts
- MSME segregated for the 1st time for benefit in Union Budget; Corporate tax lowered for MSMEs having a turnover of less than Rs 50 crore
- First time formation of cadre Service IEDS, Indian Enterprises Development Service
- First time utilisation of Rs 3,654 crore on MSMEs from allocated Budget
- ZED QCI scheme launched to assist 22,222 units for ZED rating
- Seven online Finance Facilitation Centres (FFCs) set up by NSIC
- MSMEIGMS and MSME Data Bank launched
- Special Technology Centres sanctioned for Dimapur (Nagaland) Agartala (Tripura) and Tinsukia (Assam)
- National SC/ST Hub launched and more than 10,591 SC/ST enterprises registered on MSME Data Bank
Maximums
- Maximum fund utilization of Rs 1280+ crore under PMEGP scheme since inception
- Maximum budget provision for MSMEs
- Highest ever amount (Rs 715 crore) given to CGTMSE in 2016-17
- A record number of Review Committee meetings held to monitor public procurement by CPSUs
- Under Cluster Development Programme, a record amount of 122 crore spent; 5 Common Facility Centres & 5 Industrial Centres completed
- Export of coir and coir products expected to touch a record export figure of more than Rs. 2,000 crore
- Ni-MSME conducted a record number of 34 domestic & international training programmes – becomes a recognized institute for training of GST
- NSIC provided raw material assistance of more than 11 lakh tones – a record in quantity terms
Upcomings
- Under CDP, 6 CFC to be commissioned & 6 new Industrial Estates to be upgraded
- Under MMDA, 1500 Khadi Institutions to be benefitted with outlay of Rs 325 crore
- More than 2 lakh persons to be trained through existing 18 Tech Centres
- 3125 units are targeted to be rated under Performance & Credit Rating Scheme
- NIMSME will become core agency for training of MSMEs for GST
- Awareness programme will be conducted by MSMEDIs
- Another 55 courses would be made NSQF compliant
- Work on all 13 Tech Centres will be in operation in 2017-18
- Under CDP, 6 CFC to b commissioned & 6 new Industrial Estates to be upgraded
Achievements of 2016-17
- 52,912 enterprises set up in 2016-17
- Under CLCSS, 4,011 MSEs benefited and subsidy of Rs 257 crore disbursed
- 16,200 enterprises assisted under Performance & Credit Rating Scheme (PCRS)
- Forward of Revival & Rehabilitation of MSMEs operationalised, and 41000+ cases referred – approximately 30,000 cases resolved by Committee
- Work on 8 new Technology Centres started at Bhiwadi, Durg, Rohtak, Baddi, Sitarganj, Pudi, Puducherry and Bangalore
- 30 Livelihood Business Incubation Centres setup under ASPIRE
- MSME Ministry’s working made transparent, online & stakeholder friendly
- Upgradation work of Technology Centre at Bhubaneshwar started
- Under CLCSS, 4,011 MSEs benefited & subsidy of Rs 257 crore disbursed
- More than 1,49,000 youths trained through existing 18 Technology Centres
- 54 training programmes got NSQF compliance
- Khadi certification regulation made online & MMDA grant distributed to the institutions as well as to the artisans online on DBT
- For addressing delayed funds issues, MSEFC cases brought on portal
- PMEGP, SFURTI, ASPIRE, CLCSS and other Schemes made online
- Credit guarantee increased from Rs 1 crore to Rs 2 crore, even for NBFCs