Lok Sabha Question No. 4814 (UNSTARRED), answered on 2022-03-31
Subject: Export Policy for MSMEs
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: Brijendra Singh

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

## LOK SABHA UNSTARRED QUESTION NO. 4814 TO BE ANSWERED ON 31.03.2022

## EXPORT POLICY FOR MSMES

## 4814. SHRI BRIJENDRA SINGH:

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

- (a) whether export opportunities provide e-commerce MSMEs with access to global markets and may serve as means for robust post-pandemic recovery for this sector;
- (b) if so, the details regarding the current export policy for MSMEs;
- (c) whether  the  Government  has  initiated/plans  to  formulate  policies  offering  interest  subvention  or subsidy or other incentives to promote e-commerce and Direct to Consumer (D2C) exports; and
- (d) if so, the details thereof?

## ANSWER

## MINISTER OF STATE FOR MICRO, SMALL AND MEDIUM ENTERPRISES (SHRI BHANU PRATAP SINGH VERMA)

(a) & (b): E-Commerce is widely  considered  as  a  medium  to  reduce  costs  related  to  penetration  and sustainability  of  exporters  in  international  markets.  Indian  MSMEs  stand  to  benefit  from  the  enhanced visibility provided by e-commerce platforms. Improved infrastructure, competitive pricing and reduced costs associated with marketing and outreach of products over a digital platform contribute to promoting online sales.

Government  of  India  has  taken  several  measures  to  enhance  the  exports  by  Micro,  Small  and Medium Enterprises (MSMEs). These include efforts made under Make in India Programme, Promotion of Ease of Doing Business, improved availability of credit through MUDRA, Stand up India.  Further, Ministry of MSME has established 52 Export Facilitation Centers (EFCs) across the country with an aim to provide requisite mentoring and handholding support to MSEs in exporting their products and services to the foreign market; and 102  Enterprise Development Centers (EDCs) have been setup with the aim to build a network of entrepreneurial leaders by providing professional mentoring and handholding support services to existing as well as aspiring MSMEs with special focus on rural enterprises on continuous basis. These EDCs act as 'One-stop-shop'  and  provide  services  under  components  including  Awareness,  Incubation,  Enterprise Facilitation  etc.  In  addition  to  these,  Ministry  is  also  implementing  International  Cooperation  Scheme  for enhancing the marketability of products and services in the MSME sector by facilitating visit /participation of MSMEs  in  international  exhibitions  /trade  fairs/buyer-seller meet  etc. abroad  and  also  holding International conferences/seminars/workshops in India, for technology infusion, exploring business opportunities, joint ventures etc. Also, Cluster Development Programme is being implemented by Office of Development Commissioner(MSME) for enhancing the productivity and competitiveness as well as capacity building of Micro and Small Enterprises (MSEs) to increase demand of domestic products in global markets.

(c) & (d): Ministry of Micro, Small & Medium Enterprises (MSME) has taken multiple initiatives for enhancing participation of MSMEs in e-commerce, which include:

-  Procurement and Marketing Support (PMS) Scheme: Under this Scheme, the sub-component of 'Adoption  of  e-Commerce  by  Micro  Enterprises'  has  been  introduced.  This  new  component includes providing financial assistance for selling products or services by Micro Enterprises (up to 10 new products) through e-commerce portals.
-  Portal  of  National  Small  Industries  Corporation  (NSIC):  NSIC,  a  PSU  under  the  Ministry  of MSME has launched MSME Global Mart Portal (www.msmemart.com) - a B2B e-commerce marketing platform for Micro, Small and Medium Enterprises (MSMEs), which provides Global Trade Leads, Tender Information, Franchise Opportunities, Data on Used Machineries, etc.
-  E-commerce portal of Khadi and Village Industries Commission (KVIC): KVIC a statutory body under  the  Ministry  of  Micro,  Small  and  Medium  Enterprises  has  also  launched  a  portal ekhadiindia.com  for  B2C  outreach,  which  enables  all  businesses  to  have  a  global  reach  with Interactivity, Immediacy and Ease of Adaptation.

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