Jitan Ram Manjhi Highlights Modi Government's Commitmment for MSMEs

Q1. Faiz Askari: Under the leadership of Prime Minister Narendra Modi, MSMEs have been a key focus area. Could you highlight some of the major milestones achieved in MSME development during this government’s tenure?

Jitan Ram Manjhi: The MSME sector has always been the backbone of the Indian economy, contributing significantly to GDP, employment, and exports. Under Prime Minister Narendra Modi’s vision, we have achieved several milestones:

1. Implementation of the Atmanirbhar Bharat Package: Aimed at strengthening MSMEs through financial support and liquidity measures, including the Emergency Credit Line Guarantee Scheme (ECLGS).
2. Revised MSME Definition: The reclassification of MSMEs based on turnover and investment has simplified compliance and broadened the scope for enterprises to benefit from government schemes.
3. Udyam Registration: The introduction of an online, hassle-free registration process for MSMEs has brought transparency and boosted formalization in the sector.
4. Champions Portal: This grievance redressal platform is empowering MSMEs by addressing their concerns and promoting competitiveness.
5. Cluster Development Programme: Enhanced support for building robust supply chains and promoting technology adoption.

These initiatives demonstrate the government’s unwavering commitment to making MSMEs the driving force of the Indian economy.

Q2. Faiz Askari: How do MSMEs contribute to the Indian economy, and how is the government leveraging this sector for economic growth?

Jitan Ram Manjhi: MSMEs are the lifeline of the Indian economy. They contribute over 30% to the GDP and 45-50% to exports, while employing nearly 120 million people. Recognizing this, the government has focused on fostering an environment conducive to growth by:

• Encouraging digital transformation through initiatives like the Digital MSME Scheme.
• Promoting innovation and entrepreneurship via schemes such as ASPIRE (A Scheme for Promotion of Innovation, Rural Industries, and Entrepreneurship).
• Enhancing credit access through collateral-free loans and initiatives like PMEGP (Prime Minister's Employment Generation Programme).
• Expanding markets through e-commerce platforms and international collaborations.

By empowering MSMEs, we aim to boost economic growth, create jobs, and ensure sustainable development.

Flagship MSME Policies Driving Growth

Q3. Faiz Askari: The government has launched flagship policies for the MSME sector. Could you elaborate on key policies and their impact?

Jitan Ram Manjhi: Certainly. Some of the flagship policies and their impacts include:

1. ECLGS: This provided over ₹3 lakh crore in financial assistance during the COVID-19 pandemic, saving millions of jobs and businesses.
2. MSME Champions Scheme: Facilitates market linkages, technology upgrades, and capacity building.
3. National MSME Policy: Designed to provide a comprehensive framework for MSME development, addressing challenges like finance, technology, and market access.
4. Public Procurement Policy: Mandates 25% procurement from MSMEs, ensuring market access and growth opportunities.

These policies have catalyzed the sector’s growth, ensuring resilience and competitiveness in global markets.

Empowering Weaker Sections through MSME Initiatives

Q4. Faiz Askari: Economic upliftment of weaker sections has been a cornerstone of government policy. How is the MSME sector contributing to this goal?

Jitan Ram Manjhi: The MSME sector plays a pivotal role in uplifting economically weaker sections through:

• Skill Development Initiatives: Programs like the Skill India Mission and EDPs (Entrepreneurship Development Programmes) empower youth and marginalized communities with employable skills.
• PMEGP and MUDRA Loans: These schemes have made entrepreneurship accessible to rural and underserved areas.
• Focus on Women Entrepreneurs: Schemes like Mahila Coir Yojana promote inclusivity and empower women entrepreneurs.
• Support for Traditional Industries: Initiatives like SFURTI (Scheme of Fund for Regeneration of Traditional Industries) have revitalized handicrafts and handlooms, creating sustainable livelihoods.

By fostering entrepreneurship and skill development, MSMEs are directly contributing to the upliftment of the weaker sections of society and bridging the socio-economic divide.

Q5. Faiz Askari: Looking ahead, what is your vision for the MSME sector and its role in shaping India’s economic future?

Jitan Ram Manjhi: Our vision is to transform the MSME sector into a global growth engine. We aim to:

1. Promote sustainable practices and integrate MSMEs into global value chains.
2. Enhance access to technology, innovation, and finance.
3. Drive regional development through rural industrialization.
4. Achieve a significant increase in MSME exports, targeting $2 trillion by 2030.

With continued policy support and innovation, the MSME sector will play a pivotal role in achieving a $5 trillion economy and ensuring equitable growth across India.