Lok Sabha Question No. 1308 (UNSTARRED), answered on 2019-02-11
Subject: Public Procurement Policy
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: FEROZE VARUN GANDHI, POONAMBEN HEMATBHAI MAADAM, SANTOKH SINGH CHAUDHARY

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

## LOK SABHA UNSTARRED QUESTION NO. 1308 TO BE ANSWERED ON 11.02.2019

## PUBLIC PROCUREMENT POLICY

1308.   SHRI FEROZE VARUN GANDHI: SHRIMATI POONAMBEN MAADAM: SHRI SANTOKH SINGH CHAUDHARY:

Will the Minister of Micro, Small and Medium Enterprises be pleased to state:

- (a) the details of the status of the portal that would sanction loans of upto Rs 1 crore to small and medium enterprises in 59 minutes;
- (b) whether there is a provision of ensuring at least 4 per cent of the total procurement done by ministries,  departments and Central Public Sector Enterprises (CPSEs) from the entities owned by SC/ST under the Public Procurement Policy (PPP) and if so, the details thereof including value of procurement made by the public sector enterprises during each of the last four years;
- (c) whether there is a provision of ensuring at least 3 per cent of the total procurement done by ministries, departments and Central Public Sector Enterprises (CPSEs) from the entities owned or run by women under the said policy and if so, the details thereof;
- (d) the corrective steps taken by the Government to ensure its strict implementation; and
- (e) whether the Government is considering any special provisions for the MSMEs owned / run by women in the country and if so, the details thereof?

## ANSWER

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

- (a):    A portal has been launched to facilitate in-principle approval of MSME loans up to Rupees 1 crore by Public Sector Banks (PSBs).
- (b): As  per  information  furnished  by  the  Department  of  Public  Enterprises  (DPE)  for  the  year 2015-16 & 2016-17 and the information uploaded on Sambandh portal for subsequent years till 5 th February, 2019, the details of annual procurement of goods & services from MSEs including SC/ST by the Central Public Sector Enterprise (CPSE) are as under:

| Year    |   No. of CPSEs (Reported) |   Total Procurement (Rs. in Crore) |   Procurement From MSEs (Rs. in Crore) |   Procurement from MSEs owned by SC/ST Entrepreneur (Rs. in Crore) |
|---------|---------------------------|------------------------------------|----------------------------------------|--------------------------------------------------------------------|
| 2015-16 |                       132 |                             279167 |                                12566.1 |                                                              50.11 |
| 2016-17 |                       142 |                             245785 |                                25329.4 |                                                             400.87 |
| 2017-18 |                       169 |                             280785 |                                24226.5 |                                                             442.52 |
| 2018-19 |                       148 |                             103512 |                                27334   |                                                             529.83 |

(c)&(e):    There is a provision of 3 per cent annual procurement target for MSEs owned by women. This  has  been  made  effective  from  9 th November,  2018.  Apart  from  that  Ministry  of  MSME implements  various  schemes  such  as  Credit  Link  Capital  Subsidy  Scheme  (CLCSS),  Cluster Development  Scheme  (CDP),  Prime  Minister  Employment  Generation  Programme  (PMEGP)  and National Manufacturing and Competitiveness Programme (NMCP)  etc for promotion and Development of MSMEs in the country including MSMEs owned by the Women.

- (d): For  effective  implementation  of  Public  Procurement  Policy,  MSME  Sambandh  portal  has been launched and Review Committee has been constituted.