Lok Sabha Question No. 795 (UNSTARRED), answered on 2018-07-23
Subject: Impact of Demonetisation/GST on MSME Sector
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: V. SATHYABAMA, PARASURAMAN K., M. B. RAJESH, MUTHAMSETTI SRINIVASA RAO (AVNTHI), PR. SENTHILNATHAN, R.K. BHARATHI MOHAN

## GOVERNMENT OF INDIA

## MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES

## LOK SABHA UNSTARRED QUESTION NO. 795 TO BE ANSWERED ON: 23.07.2018

## IMPACT OF DEMONETISATION/GST ON MSME SECTOR

795. SMT. V. SATHYA BAMA:

SHRI K. PARASURAMAN:

SHRI M. B. RAJESH:

SHRI MUTHAMSETTI SRINIVASA RAO (AVANTHI):

SHRI PR. SENTHIL NATHAN:

SHRI BHARATHI MOHAN R. K.:

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

- (a) whether  several  thousands  of  Micro,  Small  and  Medium  Enterprises  (MSMEs)  were  shut down due to implementation of demonetisation and GST in the country;
- (b) if  so,  the  details  thereof  including  the  total  registered  MSMEs  in  the  country  as  on  date, State/UT-wise;
- (c) whether the Government has conducted any study/assessment about the impact of GST and demonetisation on the MSMEs in the country, if so, the details and the outcome thereof;
- (d) whether the Government has taken any effective steps to support and develop MSME units in the country including Tamil Nadu particularly under GST regime, if so, the details thereof and total funds allocated in this regard; and
- (e) the various steps taken by the Government to provide incentives and other encouragements to the best performing MSME units in the country?

## ANSWER

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

- (a): The Ministry of Micro, Small and Medium enterprises (MSME) has not received any such report on shut down of Micro, Small and Medium Enterprises (MSMEs) from the States/UTs.
- (b):  48.40 lakh MSMEs have been registered at Udyog Aadhaar Memorandum (UAM) Portal from September, 2015 to 12 th July,  2018  in  the  entire  country.  The  registration  details  of  MSMEs  on UAM Portal (State/UT-wise) are given in Annexure.
- (c): No.
- (d): Government implements various schemes for support and development of MSMEs in the country  including  Tamil  Nadu.  Government  has  taken  several  pro-active  measures  for  smooth implementation of GST for MSMEs   like (i)exemption to Khadi fabric sold through Khadi and Village  Industries    Commission  (KVIC)  and  KVIC  certified  institutions  /  outlets,  (ii)majority  of items produced by MSMEs in the band of 28% tax slab brought to lower slabs, (iii)composition levy extended upto turnover worth Rs. 150 lakh per annum, (iv) quarterly filing of returns extended upto turnover worth Rs. 150 lakh per annum or less, and (v) reverse charge mechanism has been kept in abeyance till September 2018.  There are various schemes which are being implemented by Government of India in the country for development of MSMEs (which includes Tamil Nadu). Rs. 6552.61 Crore has been provided in the Union Budget during 2018-19 for the Ministry of MSME for support to and development of MSMEs in the country.
- (e): The Ministry of MSME, with a view to recognizing the efforts and contribution of MSMEs, gives National Awards annually to selected entrepreneurs of MSME, under the scheme of National Awards.

## Annexure  referred  to  in  reply  to  part  (b)  of  Lok  Sabha  Unstarred  Question  No.  795  for answer on 23.07.2018

The state-wise distribution of MSMEs registered on Udyog Aadhaar Memorandum portal

| Sl. No.   | State/UT                    | Micro     | Small    | Medium   | Udyog Aadhaar Regd.   |
|-----------|-----------------------------|-----------|----------|----------|-----------------------|
| 1         | Andhra Pradesh              | 210337    | 21491    | 682      | 232510                |
| 2         | Arunachal Pradesh           | 367       | 265      | 13       | 645                   |
| 3         | Assam                       | 2555      | 1012     | 73       | 3640                  |
| 4         | Bihar                       | 756633    | 13494    | 744      | 770871                |
| 5         | Chhattisgarh                | 17768     | 4877     | 157      | 22802                 |
| 6         | Goa                         | 2470      | 1042     | 65       | 3577                  |
| 7         | Gujarat                     | 408582    | 74471    | 3027     | 486080                |
| 8         | Haryana                     | 53652     | 14919    | 853      | 69424                 |
| 9         | Himachal Pradesh            | 4195      | 1594     | 140      | 5929                  |
| 10        | Jammu and Kashmir           | 3271      | 714      | 36       | 4021                  |
| 11        | Jharkhand                   | 92541     | 5282     | 175      | 97998                 |
| 12        | Karnataka                   | 108067    | 25452    | 1230     | 134749                |
| 13        | Kerala                      | 52542     | 8978     | 359      | 61879                 |
| 14        | Madhya Pradesh              | 340679    | 19270    | 677      | 360626                |
| 15        | Maharashtra                 | 485167    | 81058    | 3876     | 570101                |
| 16        | Manipur                     | 14787     | 2418     | 34       | 17239                 |
| 17        | Meghalaya                   | 1035      | 90       | 3        | 1128                  |
| 18        | Mizoram                     | 1062      | 308      | 17       | 1387                  |
| 19        | Nagaland                    | 336       | 103      | 5        | 444                   |
| 20        | Odisha                      | 65870     | 6382     | 222      | 72474                 |
| 21        | Punjab                      | 56436     | 12470    | 451      | 69357                 |
| 22        | Rajasthan                   | 262960    | 30540    | 1092     | 294592                |
| 23        | Sikkim                      | 241       | 105      | 23       | 369                   |
| 24        | Tamil Nadu                  | 518165    | 68633    | 1685     | 588483                |
| 25        | Telangana                   | 96794     | 40576    | 1012     | 138382                |
| 26        | Tripura                     | 2500      | 357      | 13       | 2870                  |
| 27        | Uttar Pradesh               | 559687    | 34688    | 1661     | 596036                |
| 28        | Uttarakhand                 | 11254     | 2704     | 211      | 14169                 |
| 29        | West Bengal                 | 130971    | 11382    | 498      | 142851                |
| 30        | Andaman and Nicobar Islands | 2746      | 642      | 31       | 3419                  |
| 31        | Chandigarh                  | 3225      | 748      | 49       | 4022                  |
| 32        | Dadar and Nagar Haveli      | 1321      | 639      | 44       | 2004                  |
| 33        | Daman and Diu               | 558       | 534      | 42       | 1134                  |
| 34        | Delhi                       | 46120     | 12852    | 528      | 59500                 |
| 35        | Lakshadweep                 | 39        | 5        | 0        | 44                    |
| 36        | Puducherry                  | 3908      | 847      | 38       | 4793                  |
| Total     | Total                       | 43,18,841 | 5,00,942 | 19,766   | 48,39,549             |