Lok Sabha Question No. 4269 (UNSTARRED), answered on 2019-07-18
Subject: Celebration of MSME Day
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: Supriya Sadanand Sule, Heena Vijaykumar Gavit, Amol Ramsing Kolhe, Kuldeep Rai Sharma, Subhash Ramrao Bhamre, Sunil Dattatray Tatkare

## GOVERNMENT OF INDIA

## MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES

## LOK SABHA UNSTARRED QUESTION NO. 4269 TO BE ANSWERED ON: 18.07.2019

## CELEBRATION OF MSME DAY

4269.

SHRIMATI SUPRIYA SULE;

DR. HEENA GAVIT;

DR. AMOL RAMSING KOLHE;

SHRI KULDEEP RAI SHARMA;

DR. SUBHASH RAMRAO BHAMRE;

SHRI SUNIL DATTATRAY TATKARE:

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

- (a) whether the Micro, Small  and  Medium  Enterprises  (MSME)  Day  was celebrated in the country recently and if so, the details and main theme thereof;

(b) whether MSME sector lags behind the foreign counterparts due to lack of latest business skills;

(c) if so, the corrective steps taken by the Government in this regard;

(d) whether the Government also proposed to accelerate the pending reforms in the MSME sector and if so, the details thereof ; and

(e) the  other  steps  taken  by  the  Government  to  increase  MSMEs  contribution  to India's GDP to over 50% from the current 29%?

## ANSWER

## MINISTER FOR MICRO, SMALL AND MEDIUM ENTERPRISES (SHRI NITIN GADKARI)

(a): To celebrate the Micro, Small and Medium-sized Enterprises Day instituted by United Nations General Assembly, Ministry of Micro, Small and Medium Enterprises supported an International Convention organized by National Institute of MSME (nimsme),  Hyderabad,  an  autonomous  organization  under  the  Ministry,  in  association with India SME Forum, Mumbai, on 27.06.2019 at New Delhi on the theme - 'Indian MSMEs Global Aspirations'.

The  objective  of  the  Convention  was  to  boost  the  competitiveness  of  Indian MSMEs by apprising them of global trends, best business practices and provide them an opportunity to understand the opportunities in international market. The Convention  was  attended by 1385  Indian entrepreneurs and 175  international delegates from different countries.

(b) & (c): Lack of access to latest business skills affects the capability of MSMEs to compete in the global market. In order to enhance the competitiveness and viability of    MSMEs,    the  Ministry  of  Micro,  Small  and  Medium  Enterprises  implements  a number of schemes targeted at providing marketing assistance,  credit support, skill development,  technological  and  quality  upgradation.    Further,  to  provide  skilled manpower,  access  to  advanced  technology  and  business  advisory  services  for  the MSME  Sector,  Ministry  of  MSME  is  running  18  Technology  Centres  catering  to MSME units across the country.

(d)&(e): The growth of micro, small and medium enterprises depends on various factors such as access to market, quality of products, availability of timely credit, upgradation  of  technology,  etc.    For  capacity  building  of  Indian  MSME  Sector,  the Government  has taken several measures such as implementation of National Manufacturing Competitiveness Programme, adoption of lean manufacturing practices,  providing  design  expertise  to  enterprises  etc.  To  ease  the  credit  flow  to MSMEs, the Government is implementing schemes like Credit Guarantee Trust Fund for  Micro  and  Small  Enterprises  (CGTMSE)  under  which  the  corpus  has  been enhanced from Rs.2500 crore to Rs.7500 crore.  Interest subvention of 2% on fresh or incremental  loans  is  being  provided  to  all  GST  registered  MSMEs.    Further,  to provide  marketing  support  to  micro  and  small  enterprises  (MSEs),  the  Public Procurement Policy mandates 25% of annual procurement from MSEs by the Central Ministries/Departments & CPSEs including 4% from MSEs owned by SC/ST and 3% from Women owned MSEs.

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