Lok Sabha Question No. 895 (UNSTARRED), answered on 2019-11-21
Subject: Employment Generation in MSME Sector
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: Anil Firojiya, Shrirang Appa Barne, Vinayak Bhaurao Raut, Unmesh Bhaiyyasaheb Patil, DNV Senthilkumar. S., Hemant Patil

## GOVERNMENT OF INDIA

## MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES

## LOK SABHA UNSTARRED QUESTION No. 895

## TO BE ANSWERED ON 21.11.2019

## EMPLOYMENT GENERATION IN MSME SECTOR

895. SHRI ANIL FIROJIYA:

SHRI SHRIRANG APPA BARNE:

SHRI VINAYAK RAUT:

SHRI UNMESH BHAIYYASAHEB PATIL:

DR. DNV SENTHILKUMAR S.:

SHRI HEMANT SRIRAM PATIL:

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

- (a) the contribution of MSME sector in India's GDP and its export during the last three years and the current year;
- (b) the  details  of  employment  generated  by  MSME  sector  during  the  last  three years and the current year and the target fixed for the next five years;
- (c) the details of the important steps taken and achievements made in the aforesaid sector during each of the last three years and the current year;
- (d) whether  the  Government's  attention  is  drawn  to  small  business  owners  not getting their payments in time leading to demise of their enterprises;
- (e) if  so,  whether the Government has set  up any committee to study this aspect and to get their payments faster and if so, the details thereof;
- (f) whether  the  Government  has  also  created  a  website  where  entrepreneurs  can raise his/her problems and if so, the details thereof along with the traditional industries supported by the Ministry; and
- (g) whether rate of employment generation in the Micro, Small and Medium sector is not in sync with the investment growth rate and if so, the details thereof?

## ANSWER

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

- (a): As  reported  by  Central  Statistics  Office  (CSO),  Ministry  of  Statistics  & Programme Implementation (MOSPI), the Share of MSME in  All India  GDP  during 2015-16 and 2016-17 and 2017-18 has been 29.5% and 29.3% and 29.7%, respectively.  As  reported  by  Directorate  General  of  Commercial  Intelligence  and Statistics (DGCIS), the share of MSME related products in total exports during 201617, 2017-18, 2018-19 and 2019-20 (Apr-Aug,2019) has been 49.69%, 48.56%, 48.10% and 49.66%, respectively.
- (b): Under the Prime Minister's Employment Generation Programme (PMEGP), the estimated employment generated (number of persons) in micro enterprises during the years  2016-17,  2017-18  and  2018-19  has  been  4.08  lakh,  3.87  lakh  and  5.87  lakh, respectively.

(c): The  Ministry of Micro, Small and Medium Enterprises (MSMEs) implements various  schemes  to  support  promotion  &  development  of  MSMEs.  These  include Prime  Minister's  Employment  Generation  Programme  (PMEGP),  Micro  and  Small Enterprises-Cluster Development Programme (MSE-CDP), Scheme for Promotion of MSMEs in North Eastern Region  and  Sikkim,  Tool Rooms and  Technology  Centers, Mission  Solar  Charkha  (MSC),  Scheme  of  Fund  for  Regeneration  of  Traditional Industries (SFURTI), Procurement and  Marketing  Support Scheme, Entrepreneurship & Skill  Development  Programme  (ESDP),  Credit  Guarantee  Scheme  for  Micro  and Small  Enterprises  (MSEs)  and Credit  Linked  Capital  Subsidy  and  Technology Upgradation Scheme (CLCS-TUS).

(d) to (f): The Micro, Small and Medium Enterprise Development (MSMED) Act, 2006 contains provisions to address the issue of delayed payment to Micro and Small Enterprises  (MSEs).  In  line  with  this,  Ministry  of  MSME  has  launched  MSME Samadhaan  Portal  to  ease  filing  of  application  under  Micro  and  Small  Enterprise Facilitation  Council (MSEFC),  set  up  in  States  for  settlement  of  disputes  related  to delayed  payments.  In  order  to  support  traditional  industries,  Ministry  of  MSME implements Scheme of Fund for Regeneration of Traditional Industries (SFURTI).

(g): Employment generation in Micro, Small and Medium Enterprises per investment is more than that in large enterprises.

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