Lok Sabha Question No. 77 (STARRED), answered on 2018-07-23
Subject: Promotion of MSME Sector
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: SRIRAM MALYADRI, ADVOCATE NARENDRA KESHAV SAWAIKAR

## GOVERNMENT OF INDIA

## MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES

## LOK SABHA STARRED QUESTION NO. *77 TO BE ANSWERED ON: 23.07.2018

## PROMOTION OF MSME SECTOR

## *77. SHRI MALYADRI SRIRAM: ADV. NARENDRA KESHAV SAWAIKAR:

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

- (a) whether  the  Micro,  Small  and  Medium  Enterprises  (MSMEs)  have  spurred  the  industrial development and are instrumental in removing the regional imbalances in the country;
- (b) if so, the details thereof;
- (c) whether  the  Government  has  any  policy/scheme  for  promoting  the  MSME  Sector  in  the industrially  backward  regions  including  tribal  majority  naxalite  affected  area  in  the  country including Maharashtra;
- (d) if  so,  the  details  thereof  along  with  the  funds  allocated  for  the  purpose  and  number  of employment  generated/likely to be generated therefrom during each of the last three years and the current year, State/UT-wise including Maharashtra and if not, the reasons therefor; and
- (e) the other steps taken/being taken by the Government in this regard?

## ANSWER

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

(a) to (e):  A Statement is laid on the Table of the House.

## STATEMENT REFERRED TO IN REPLY TO PARTS (a) to (e) IN RESPECT OF THE LOK SABHA STARRED QUESTION NO *77 FOR ANSWER ON 23.07.2018

Micro, Small & Medium Enterprises are significantly present in all States/UTs and they are the second  largest  employer  after  agriculture  in  the  country.  These  enterprises  have  supported inclusive growth and development across the country thereby reducing the regional imbalances.

The Ministry  of  MSME  has  launched  many  Schemes  such  as  Credit  Guarantee  Fund  Scheme, PMEGP (Prime Minister  Employment  Generation  Programme),  SFURTI  (Scheme  of  Fund  for Regeneration  of  Traditional  Industries),  CLCSS  (Credit  Linked  Capital  Subsidy  Scheme), ASPIRE (Scheme for promotion of Innovation, Entrepreneurship and Agro- Industry), and Khadi and  Village  Industries  Scheme  for  promotion  of  MSMEs  in  the  entire  country  including Maharashtra. These Schemes have special components for SC, ST and North Eastern regions. The Pradhan Mantri Mudra Scheme implemented by Department of Financial Services, Ministry of Finance has also paved the way for a large number of micro enterprises to access credit. All these schemes have made significant contribution in creating widespread employment opportunities in the country, including the industrially backward areas of the country.

Recently,  NITI  Aayog  has  identified  117  most  backward/naxalite  affected  districts  as  the Aspirational Districts. Four districts of Maharashtra i.e. Gadchiroli, Nandurbar, Osmanabad and Washim figure in the list. Ministry of MSME has decided to send teams of officials to these 117 districts  not  only  to  spread  awareness  about  the  existing  Schemes  of  this  Ministry  but  also  to obtain proposals to set up and strengthen micro and small enterprises in these districts

The Schemes of the Ministry of MSME are central sector Schemes in which specific percentage of  the  budgetary  allocation  are  earmarked  for  SC,  ST  and  North  Eastern  Region's  population. Most of these Schemes are demand driven and expenditure is made in the specific States as per the  proposals  received.  There  is  no  such  allocation  per  se  State/UT  wise.  The  Funds  allocated under  the  Schemes  of  PMEGP,  CLCSS,  Khadi  and  Village  Grant,  SFURTI,  MSE-CDP,  Tool Room/TCSP are furnished at Annex-I. The number of employment generated State-wise including in  Maharashtra,  under  PMEGP  is  furnished  at  Annex-II.  Under  the  Credit  Guarantee  Fund Scheme, loan guarantees are provided to MSEs which in turn result in employment generation. The employment generated under this Scheme Statewise, including in Maharashtra are furnished at Annex-III.The Ministry of MSME has 18 Tool Rooms which impart training which in turn help in generating employment.

The Ministry of MSME has taken the following steps for the development of MSMEs across the country:

-  Decided to set up 15 new technology centres at various parts of the country,
-  revamped SFURTI (Scheme of Fund for Regeneration of Traditional Industries)
-  revamped PMEGP(Prime Minister Employment Generation Programme)
-  increased the approved corpus of CGTMSE (Credit Guarantee Fund Trust for Micro and Small Enterprises) from Rs.2500 crore to Rs 7500 crore,
-  increased the loan limit under Credit Guarantee Fund Scheme to Rs 2 crore,
-  extended the Credit Guarantee Fund Scheme for loan by NBFCs,
-  set up digital platforms to monitor the implementation of public procurement policy and to address the delayed payments problems faced by MSEs (Micro & Small Enterprises) etc.

*******

## Annex-I referred to in reply to part (a)to(e) of the Lok Sabha starred Question No. *77 for answer on 23.07.2018

Budgetary Allocation under Schemes (in Rs. Crore)

| Scheme    |   2014-15 |   2015-16 |   2016-17 |   2017-18 |
|-----------|-----------|-----------|-----------|-----------|
| PMEGP     |   1418.28 |   1050    |      1139 |   1024.49 |
| CLCSS     |    387.75 |    290    |       298 |    441.4  |
| KVIC      |   1973.96 |   1601.85 |      2072 |   2001.38 |
| SFURTI    |     60    |     50    |        75 |     75    |
| MS CDP    |     93    |    100    |       135 |    184    |
| Tool Room |     96.5  |    100    |       120 |    105    |

Note:  Till 2017-18 percentage of budget earmarked for SC, ST and North Eastern Region population were 12%, 8.20% and 10% respectively.

## Annex-II referred to in reply to part (a)to(e) of the Lok Sabha starred Question No. *77 for answer on 23.07.2018

## State-wise Employment Generation under PMEGP during 2015-16 to 2018-19

| Sr. No.   | State/UT                 |   2015-16 |   2016-17 |   2017-18 |   2018-19 (upto 30.6.18) |
|-----------|--------------------------|-----------|-----------|-----------|--------------------------|
| 1         | Andaman &Nicobar Islands |       293 |      1398 |      1744 |                      296 |
| 2         | Andhra Pradesh           |      7740 |     14148 |     12216 |                     3136 |
| 3         | Arunachal Pradesh        |       104 |      1984 |      1672 |                      832 |
| 4         | Assam                    |      9026 |     31498 |     18256 |                     8896 |
| 5         | Bihar                    |     19624 |     25872 |     18456 |                     5864 |
| 6         | Chhattisgarh             |      9496 |     12856 |     11704 |                     6016 |
| 7         | Delhi                    |      2048 |       952 |       920 |                       40 |
| 8         | Goa                      |       500 |       660 |       400 |                       32 |
| 9         | Gujarat*                 |     14960 |     11629 |     15008 |                     3632 |
| 10        | Haryana                  |      7232 |     11016 |     13744 |                     2728 |
| 11        | Himachal Pradesh         |      5134 |      6916 |      7088 |                     1016 |
| 12        | Jammu& Kashmir           |     12115 |     11691 |     30024 |                     8888 |
| 13        | Jharkhand                |     12873 |     10400 |      8888 |                     2464 |
| 14        | Karnataka                |     17284 |     30286 |     16920 |                     5560 |
| 15        | Kerala                   |      9653 |     13068 |     10776 |                     3712 |
| 16        | Lakshadweep              |         0 |         0 |         0 |                        0 |
| 17        | Madhya Pradesh           |     16497 |     15520 |     14432 |                     2432 |
| 18        | Maharashtra **           |     20161 |     17799 |     26632 |                     8744 |
| 19        | Manipur                  |      2715 |      8419 |      4800 |                     1568 |
| 20        | Meghalaya                |      4824 |      2632 |       600 |                      528 |
| 21        | Mizoram                  |      9072 |      3400 |      1992 |                     1424 |
| 22        | Nagaland                 |      4998 |      7783 |      7440 |                     1232 |
| 23        | Odisha                   |     17629 |     20392 |     19192 |                     6184 |
| 24        | Puducherry               |       447 |       699 |       352 |                       48 |
| 25        | Punjab                   |      7762 |      9858 |     12160 |                     2472 |
| 26        | Rajasthan                |     14537 |     13408 |     12614 |                     4336 |
| 27        | Sikkim                   |       397 |       201 |       296 |                       40 |
| 28        | Tamilnadu                |     20836 |     25764 |     32760 |                     4592 |
| 29        | Telangana                |      7761 |      6445 |      9520 |                     1488 |
| 30        | Tripura                  |      5355 |     17961 |      8928 |                     1864 |
| 31        | UT Chandigarh            |       323 |       376 |       360 |                       56 |
| 32        | Uttar Pradesh            |     43059 |     36315 |     43456 |                    12472 |
| 33        | Uttarakhand              |      6161 |      9890 |     12904 |                     4648 |
| 34        | West Bengal              |     12746 |     26604 |     10928 |                     3824 |
|           | Total                    |    323362 |    407840 |    387184 |                   111064 |

Annex-III referred to in reply to part (a)to(e) of the Lok Sabha starred Question No. *77 for answer on 23.07.2018

| Employment Generation under Credit Guarantee Fund Scheme for Micro and Small Enterprises   | Employment Generation under Credit Guarantee Fund Scheme for Micro and Small Enterprises   | Employment Generation under Credit Guarantee Fund Scheme for Micro and Small Enterprises   | Employment Generation under Credit Guarantee Fund Scheme for Micro and Small Enterprises   | Employment Generation under Credit Guarantee Fund Scheme for Micro and Small Enterprises   | Employment Generation under Credit Guarantee Fund Scheme for Micro and Small Enterprises   |
|--------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------|
| S No.                                                                                      | State Name                                                                                 | 2015-16                                                                                    | 2016-17                                                                                    | 2017- 18                                                                                   | 2018-19 (upto 30.6.2018)                                                                   |
| 1                                                                                          | ANDAMAN& NICOBAR                                                                           | 1046                                                                                       | 1162                                                                                       | 719                                                                                        | 156                                                                                        |
| 2                                                                                          | ANDHRA PRADESH                                                                             | 40810                                                                                      | 33278                                                                                      | 25331                                                                                      | 6066                                                                                       |
| 3                                                                                          | ARUNACHAL PRADESH                                                                          | 3431                                                                                       | 2016                                                                                       | 1187                                                                                       | 535                                                                                        |
| 4                                                                                          | ASSAM                                                                                      | 31190                                                                                      | 22883                                                                                      | 18412                                                                                      | 5704                                                                                       |
| 5                                                                                          | BIHAR                                                                                      | 49813                                                                                      | 40300                                                                                      | 33496                                                                                      | 10079                                                                                      |
| 6                                                                                          | CHANDIGARH                                                                                 | 3762                                                                                       | 3568                                                                                       | 2847                                                                                       | 587                                                                                        |
| 7                                                                                          | CHHATTISGARH                                                                               | 20482                                                                                      | 17216                                                                                      | 12706                                                                                      | 3623                                                                                       |
| 8                                                                                          | DADRA&NAGAR HAVELI                                                                         | 747                                                                                        | 439                                                                                        | 750                                                                                        | 192                                                                                        |
| 9                                                                                          | DAMAN &DIU                                                                                 | 774                                                                                        | 358                                                                                        | 431                                                                                        | 122                                                                                        |
| 10                                                                                         | DELHI                                                                                      | 58797                                                                                      | 57947                                                                                      | 34171                                                                                      | 7308                                                                                       |
| 11                                                                                         | GOA                                                                                        | 7250                                                                                       | 5702                                                                                       | 3954                                                                                       | 962                                                                                        |
| 12                                                                                         | GUJARAT                                                                                    | 65953                                                                                      | 60784                                                                                      | 54760                                                                                      | 12474                                                                                      |
| 13                                                                                         | HARYANA                                                                                    | 35397                                                                                      | 40475                                                                                      | 26100                                                                                      | 5992                                                                                       |
| 14                                                                                         | HIMACHAL PRADESH                                                                           | 17072                                                                                      | 15879                                                                                      | 10481                                                                                      | 1931                                                                                       |
| 15                                                                                         | JAMMU& KASHMIR                                                                             | 20427                                                                                      | 11189                                                                                      | 28927                                                                                      | 9174                                                                                       |
| 16                                                                                         | JHARKHAND                                                                                  | 46681                                                                                      | 40623                                                                                      | 35526                                                                                      | 8159                                                                                       |
| 17                                                                                         | KARNATAKA                                                                                  | 130211                                                                                     | 134636                                                                                     | 97892                                                                                      | 22579                                                                                      |
| 18                                                                                         | KERALA                                                                                     | 93654                                                                                      | 92732                                                                                      | 50887                                                                                      | 8614                                                                                       |
| 19                                                                                         | LAKSHA DEEP                                                                                | 364                                                                                        | 135                                                                                        | 51                                                                                         | 2                                                                                          |
| 20                                                                                         | MADHYA PRADESH                                                                             | 61842                                                                                      | 55215                                                                                      | 58155                                                                                      | 11044                                                                                      |
| 21                                                                                         | MAHARASHTRA                                                                                | 163498                                                                                     | 165904                                                                                     | 99261                                                                                      | 21904                                                                                      |
| 22                                                                                         | MANIPUR                                                                                    | 3782                                                                                       | 3433                                                                                       | 3986                                                                                       | 2888                                                                                       |
| 23                                                                                         | MEGHALAYA                                                                                  | 2071                                                                                       | 2050                                                                                       | 1367                                                                                       | 309                                                                                        |
| 24                                                                                         | MIZORAM                                                                                    | 1431                                                                                       | 1091                                                                                       | 978                                                                                        | 288                                                                                        |
| 25                                                                                         | NAGALAND                                                                                   | 6630                                                                                       | 4491                                                                                       | 4104                                                                                       | 857                                                                                        |
| 26                                                                                         | ORISSA                                                                                     | 49981                                                                                      | 50778                                                                                      | 36766                                                                                      | 8436                                                                                       |
| 27                                                                                         | PONDICHERRY                                                                                | 3437                                                                                       | 2419                                                                                       | 2041                                                                                       | 390                                                                                        |
| 28                                                                                         | PUNJAB                                                                                     | 38482                                                                                      | 31407                                                                                      | 27946                                                                                      | 4943                                                                                       |
| 29                                                                                         | RAJASTHAN                                                                                  | 43269                                                                                      | 38249                                                                                      | 23326                                                                                      | 5344                                                                                       |
| 30                                                                                         | SIKKIM                                                                                     | 669                                                                                        | 641                                                                                        | 362                                                                                        | 111                                                                                        |
| 31                                                                                         | TAMILNADU                                                                                  | 169197                                                                                     | 172932                                                                                     | 120441                                                                                     | 28089                                                                                      |
| 32                                                                                         | TELANGANA                                                                                  | 36119                                                                                      | 38703                                                                                      | 27651                                                                                      | 6918                                                                                       |
| 33                                                                                         | TRIPURA                                                                                    | 3001                                                                                       | 1746                                                                                       | 2018                                                                                       | 354                                                                                        |
| 34                                                                                         | UTTAR PRADESH                                                                              | 160445                                                                                     | 136013                                                                                     | 96637                                                                                      | 21784                                                                                      |
| 35                                                                                         | UTTARAKHAND                                                                                | 16086                                                                                      | 13455                                                                                      | 10557                                                                                      | 3138                                                                                       |
| 36                                                                                         | WB                                                                                         | 51435                                                                                      | 51341                                                                                      | 41894                                                                                      | 9408                                                                                       |
|                                                                                            | Total                                                                                      | 1439236                                                                                    | 1351190                                                                                    | 996118                                                                                     | 230464                                                                                     |