Lok Sabha Question No. 3398 (UNSTARRED), answered on 2025-03-20
Subject: Growth in MSME Sector
Ministry: MICRO, SMALL AND MEDIUM ENTERPRISES
Asked by: Shri Shafi Parambil, Ms Sayani Ghosh, Dr. Rajeev Bharadwaj

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

## LOK SABHA UNSTARRED QUESTION No. 3398 TO BE ANSWERED ON 20.03.2025

## GROWTH IN MSME SECTOR

3398.

DR. RAJEEV BHARADWAJ: MS SAYANI GHOSH: SHRI SHAFI PARAMBIL:

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

- (a) the percentage of growth of contribution of the MSME sector to the GDP and exports during the last ten years, State and year-wise;
- (b) whether any target has been set for MSMEs to contribute in GDP by the Government for the coming years, if so, the details thereof;
- (c) the percentage of the total MSME Units set up in the rural areas of the country;
- (d) the number of MSMEs registered in Kerala during the last three years, district-wise;
- (e) the estimated number of people employed in the MSMEs, during the last ten years, year-wise;
- (f) the MSMEs that have shut down or closed, including the ones registered in the Udyam Portal, during the last ten years, year-wise; and
- (g) the measures taken by the Government to support MSME sector which accounts for thirty per cent of the economy and almost forty per cent of employment, to overcome the most worrying and critical problems?

## ANSWER

## MINISTER OF STATE FOR MICRO, SMALL AND MEDIUM ENTERPRISES (SUSHRI SHOBHA KARANDLAJE)

(a) and (b): As per the latest information received from the Ministry of Statistics  &  Programme Implementation  (MoSPI),  state-wise  contribution  of  MSME  sector  to  GDP,  is  not  compiled  by  MoSPI. However,  share  of  MSME  Gross  Value  Added  (GVA)  in  all  India  GDP  during  2014-15  to  2023-24  is  as follows:

| Year    |   Share of MSME GVA in All India GDP (in %) |
|---------|---------------------------------------------|
| 2014-15 |                                       29.72 |
| 2015-16 |                                       29.48 |
| 2016-17 |                                       29.25 |
| 2017-18 |                                       29.69 |
| 2018-19 |                                       30.5  |
| 2019-20 |                                       30.48 |
| 2020-21 |                                       27.27 |
| 2021-22 |                                       29.64 |
| 2022-23 |                                       30.25 |
| 2023-24 |                                       29.6  |

State-Wise data for Export by MSME is not maintained. As per the information culled out from the Data Dissemination Portal of Directorate General of Commercial Intelligence and Statistics (DGCIS), the share of export of MSME specified products in all India exports are as follows:

| Year    | Share of export of MSME specified products in all India exports (in %)   |
|---------|--------------------------------------------------------------------------|
| 2021-22 | 45.03%                                                                   |
| 2022-23 | 43.59%                                                                   |
| 2023-24 | 45.73%                                                                   |

- (c):    The registration process on Udyam Registration Portal and Udyam Assist Platform does not differentiate between urban and rural enterprises.
- (d) & (e): Udyam Registration Portal was launched on 01.07.2020. As on 15.03.2025, the details of district -wise total  number  of  MSMEs  registered  in  the  Kerala  state  on  the  Udyam  Registration  Portal  and  Udyam Assist Platform (UAP) are at Annexure-I . The number of persons employed in MSMEs registered in the country on the Udyam Registration Portal and Udyam Assist Platform as on 15.03.2025 is 26.09 crore. The year wise details are as follows:

| Year      | Employment   |
|-----------|--------------|
| 2020-21*  | 2,73,18,171  |
| 2021-22   | 3,48,85,063  |
| 2022-23   | 4,55,88,702  |
| 2023-24   | 7,39,75,638  |
| 2024-25 # | 7,91,54,727  |
| Total     | 26,09,22,301 |

* From 01.07.2020

#upto 15.03.2025

- (f): The  year-wise  details  of  total  number  of  MSMEs  shutdown  under  Udyam  Registration  Portal  from 01.07.2020 to 15.03.2025 are given in Annexure -II .
- (g): Ministry  of  Micro,  Small  and  Medium  Enterprises  (MSME)  implements  various  schemes  and programmes  aimed  at  promotion  and  development  of  MSME  Sector  in  the  country.  These  schemes/ programmes  include  Prime  Minister's  Employment  Generation  Programme,  Credit  Guarantee  Scheme  for Micro and Small Enterprises, Micro and Small Enterprises-Cluster Development Programme, Entrepreneurship Skill Development Programme, Procurement and Marketing Support Scheme, Raising and Accelerating MSME Performance, International Cooperation scheme, Tool Rooms, Technology Centre System Programme, National SC/ST Hub, MSME Champions, PM Vishwakarma, etc.

Further  Government has taken a number of  recent  initiatives to  support  the  MSME  Sector.  Some of these include the following:

- i. Collateral free loan up to a limit of Rs. 500 lakh (w.e.f. 01.04.23) to Micro and Small Enterprises with guarantee coverage up to 90 % for various categories of loan through Credit Guarantee Fund Trust for Micro and Small Enterprises under Credit Guarantee Scheme.
- ii. Rs.  50,000  crore  equity  infusion  through  Self  Reliant  India  Fund.  This  scheme  has  a  provision  for corpus of Rs.10,000 crore from Government of India.
- iii. Registration of MSMEs through ''Udyam Registration'' for Ease of Doing Business.
- iv. No global tenders for procurement up to Rs. 200 crore.
- v. Non-tax benefits extended for 3 years in case of an upward change in status of MSMEs.
- vi. Under Vivad se Vishwas - I, relief by way of refund of 95% of the deducted performance security, bid security and liquidated damages was provided to MSMEs.
- vii. Launch of Udyam Assist Platform (UAP) to bring the Informal Micro Enterprises under the formal ambit for availing the benefit under Priority Sector Lending (PSL).

****

Annexure referred to in reply to part (d) of the Lok Sabha Unstarred Question No. 3398 due for answer on 20.03.2025.

| District Wise Total Enterprises Registered In Kerala State Under Udyam Registration Portal and Udyam Assist Platform*   | District Wise Total Enterprises Registered In Kerala State Under Udyam Registration Portal and Udyam Assist Platform*   | District Wise Total Enterprises Registered In Kerala State Under Udyam Registration Portal and Udyam Assist Platform*   | District Wise Total Enterprises Registered In Kerala State Under Udyam Registration Portal and Udyam Assist Platform*   | District Wise Total Enterprises Registered In Kerala State Under Udyam Registration Portal and Udyam Assist Platform*   | District Wise Total Enterprises Registered In Kerala State Under Udyam Registration Portal and Udyam Assist Platform*   |
|-------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------|
| Sl. No.                                                                                                                 | District                                                                                                                | 2021-22                                                                                                                 | 2022-23                                                                                                                 | 2023-24                                                                                                                 | 2024-25 #                                                                                                               |
| 1                                                                                                                       | ALAPPUZHA                                                                                                               | 6,993                                                                                                                   | 10,134                                                                                                                  | 56,841                                                                                                                  | 31,641                                                                                                                  |
| 2                                                                                                                       | ERNAKULAM                                                                                                               | 17,725                                                                                                                  | 23,317                                                                                                                  | 74,690                                                                                                                  | 51,778                                                                                                                  |
| 3                                                                                                                       | IDUKKI                                                                                                                  | 2,809                                                                                                                   | 6,243                                                                                                                   | 15,542                                                                                                                  | 15,104                                                                                                                  |
| 4                                                                                                                       | KANNUR                                                                                                                  | 8,371                                                                                                                   | 13,929                                                                                                                  | 30,496                                                                                                                  | 31,197                                                                                                                  |
| 5                                                                                                                       | KASARAGOD                                                                                                               | 3,997                                                                                                                   | 6,738                                                                                                                   | 15,161                                                                                                                  | 13,858                                                                                                                  |
| 6                                                                                                                       | KOLLAM                                                                                                                  | 7,357                                                                                                                   | 13,182                                                                                                                  | 50,503                                                                                                                  | 40,692                                                                                                                  |
| 7                                                                                                                       | KOTTAYAM                                                                                                                | 6,688                                                                                                                   | 9,525                                                                                                                   | 33,926                                                                                                                  | 27,642                                                                                                                  |
| 8                                                                                                                       | KOZHIKODE                                                                                                               | 10,987                                                                                                                  | 17,646                                                                                                                  | 41,007                                                                                                                  | 47,648                                                                                                                  |
| 9                                                                                                                       | MALAPPURAM                                                                                                              | 9,217                                                                                                                   | 13,928                                                                                                                  | 37,341                                                                                                                  | 46,086                                                                                                                  |
| 10                                                                                                                      | PALAKKAD                                                                                                                | 9,139                                                                                                                   | 15,861                                                                                                                  | 73,509                                                                                                                  | 45,083                                                                                                                  |
| 11                                                                                                                      | PATHANAMTHIPTA                                                                                                          | 3,655                                                                                                                   | 6,383                                                                                                                   | 21,145                                                                                                                  | 16,589                                                                                                                  |
| 12                                                                                                                      | THIRUVANANTHAPURAM                                                                                                      | 15,298                                                                                                                  | 20,735                                                                                                                  | 94,338                                                                                                                  | 63,076                                                                                                                  |
| 13                                                                                                                      | THRISSUR                                                                                                                | 12,327                                                                                                                  | 17,250                                                                                                                  | 68,845                                                                                                                  | 46,439                                                                                                                  |
| 14                                                                                                                      | WAYANAD                                                                                                                 | 2,627                                                                                                                   | 4,920                                                                                                                   | 9,225                                                                                                                   | 12,855                                                                                                                  |
|                                                                                                                         | Total:-                                                                                                                 | 117,190                                                                                                                 | 179,791                                                                                                                 | 622,569                                                                                                                 | 489,688                                                                                                                 |

Annexure- II

## Annexure referred to in reply to part (f) of the Lok Sabha Unstarred Question No. 3398 due for answer on 20.03.2025

| Total MSMEs Shut Down Under Udyam Registration Portal   | Total MSMEs Shut Down Under Udyam Registration Portal   |
|---------------------------------------------------------|---------------------------------------------------------|
| Sl. No.                                                 | Total                                                   |
| 2020-21*                                                | 175                                                     |
| 2021-22                                                 | 6,222                                                   |
| 2022-23                                                 | 13,290                                                  |
| 2023-24                                                 | 19,828                                                  |
| 2024-25 #                                               | 37,467                                                  |

* from 01.07.2020 # upto 15.03.2025