MSME Growth, Export Trends, and Supportive Policies

As per the latest information received from the Ministry of Statistics & Programme Implementation, the share of MSME Gross Value Added (GVA) in all India Gross Domestic Product (GDP) during last five years are as follows:

As per the information culled out from the Data Dissemination Portal of Directorate General of Commercial Intelligence and Statistics (DGCIS), the share of export of MSME specified products in all India exports are as follows:

*up to May 2024

As on 16.07.2024, the total employment reported by the MSMEs on the Udyam Registration Portal (since 01.07.2020 to 16.07.2024) is 20.39crore(including informal micro enterprises registered on Udyam Assist Platform).

The Ministry of Micro, Small and Medium Enterprises (MSME) implements various schemes and programmes aimed at promotion and development of MSME Sector in the country. These schemes/programmes include MSME Champions Scheme, Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE), Prime Minister's Employment Generation Programme (PMEGP), Micro and Small Enterprises - Cluster Development Programme (MSE-CDP) and Raising and Accelerating MSME Performance (RAMP).

Further Government has taken a number of initiatives to support the MSME Sector. Some of them are:

1. Collateral free loan up to a limit of Rs. 500 lakh (w.e.f. 01.04.23) to MSEs with guarantee coverage up to 85 % for various categories of loan through Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) under Credit Guarantee Scheme.
2. Rs. 50,000 crore equity infusion through Self Reliant India Fund. This scheme has a provision for corpus of Rs.10,000crore from Government of India.
3. New revised criteria for classification of MSMEs.
4. Registration of MSMEs through ''Udyam Registration Portal'' for Ease of Doing Business.
5. No global tenders for procurement up to Rs. 200 crore
6. Inclusion of retail and whole sale trades as MSMEs w.e.f. 02.07.2021.
7. Non-tax benefits extended for 3 years in case of an upward change in status of MSMEs.
8. Roll out of Raising and Accelerating MSME Performance (RAMP) programme with an outlay of Rs. 6,000 crore over 5 years.
9. Integration of Udyam Registration Portal with National Career Service (NCS) of Ministry of Labour& Employment and Skill India Digital of Ministry of Skill Development and Entrepreneurship. Registered MSMEs are enabled to reach out to trained manpower and capacity building. 
10. Under Vivad se Vishwas – I, relief by way of refund of 95% of the deducted performance security, bid security and liquidated damages was provided to MSMEs. Relief was also provided to MSMEs debarred for default in execution of contracts.
11. Launch of Udyam Assist Platform (UAP) to bring the Informal Micro Enterprises (IMEs) under the formal ambit for availing the benefit under Priority Sector Lending (PSL).
12. Launch of ‘PM Vishwakarma’ Scheme on 17.09.2023 to provide end to end holistic benefits to the traditional artisans and craftspeople engaged in 18 trades.