Lok Sabha Question No. 1305 (UNSTARRED), answered on 2019-02-11
Subject: Promotion of MSMEs
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: RAVINDRA VISHWANATH GAIKWAD, KOTHA PRABHAKAR REDDY, SIRAJUDDIN AJMAL

## GOVERNMENT OF INDIA MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES

## LOK SABHA UNSTARRED QUESTION NO. 1305 TO BE ANSWERED ON 11.02.2019

## PROMOTION OF MSMEs

## 1305.   PROF. RAVINDRA VISHWANATH GAIKWAD: SHRI PRABHAKAR REDDY KOTHA: SHRI SIRAJUDDIN AJMAL:

Will the Minister of MICRO, SMALL AND MEDIUM ENTERPRISES be pleased to state:

- (a) whether  the  Government  has  formulated  any  new  policy  to  promote  domestic  small  scale industries in the country, if so, the details thereof;

(b) whether  the  Government  proposes  to  change  the  custom  duty  rates  in  respect  of  domestic industries, if so, the details thereof;

(c) whether  challenges  or  competitions  from  China,  Japan  etc.,  are  being  faced  by  the  Small Scale Industries (SSIs) in the country, if so, the details thereof;

(d) whether the Government is paying attention to production and marketing of MSME products on  the  lines  of  the  Chinese  system  to  help  the  Indian  MSME  Sector  to  replicate  the  success  of MSMEs in China and if so, the details thereof; and

(e) the details of steps  taken/proposed to be taken by the Government to ensure viability of SSIs to  meet  the  burgeoning  need  for  employment  generation,  to  increase  domestic  production  and export  earnings  and  the  details  of  the  schemes  being  implemented    at  present  for  promoting MSMEs in the country, State-wise?

## ANSWER

## MINISTER OF STATE (INDEPENDENT CHARGE) FOR MICRO, SMALL AND MEDIUM ENTERPRISES (SHRI GIRIRAJ SINGH)

(a)&(b):      Government  implements  policy  measures  as  required  from  to  time  to  promote  micro, small and medium enterprises (MSMEs).

(c)to(e):   In order to help the MSMEs to overcome the constraints faced on account of access to credit,  common  facilities,  high  end  technologies  etc.  and  to  enhance  the  exports  by  MSMEs, Government of India has taken several measures.  These include efforts made under Make in India Programme,  Promotion  of  Ease  of  Doing  Business,  improved  availability  of  credit  through MUDRA, Stand up India programme, schemes such as 'Merchandise Exports from India Scheme' (MEIS) for incentivising export of specified goods to specified markets and 'Service Exports from India  Scheme'  (SEIS)  for  increasing  exports  of  notified  services  from  India,  2  percent  interest subvention for all GST registered MSMEs on fresh or incremental loans and increase in interest rebate from 3 percent to 5 percent for exporters who receive pre-shipment and post-shipment loans. Further,  Ministry  of  Micro,  Small  and  Medium  Enterprises,  (MSME)  implements  various policies/schemes/programmes  to  provide  assistance  to  the  producers  and  exporters  of  MSME products.  These includes MSE-Cluster Development Programme (MSE-CDP) , Procurement and Marketing  Scheme  (PMS),  Credit  Linked  Capital  Subsidy  Scheme    (CLCSS),  Credit  Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) National Manufacturing Competitiveness Programme  (NMCP)  etc.  These  schemes/programmes  help  MSME  growth  and  increase  the competitiveness of enterprises.

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