Lok Sabha Question No. 3596 (UNSTARRED), answered on 2023-08-10
Subject: Separate Division for Micro-Enterprises
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: Dayanidhi Maran

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

## LOK  SABHA UNSTARRED QUESTION NO. 3596 TO BE ANSWERED ON 10.08.2023

## SEPARATE DIVISION FOR MICRO-ENTERPRISES

## 3596. SHRI DAYANIDHI MARAN:

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

- (a) whether  there  is  any  proposal  or  plan  to  create  a  separate  division  for  micro-enterprises within the Micro, Small and Medium Enterprises (MSMEs) Ministry;
- (b) if so, the manner in which it would facilitate access to formal credit, technology, marketing and business development opportunities for micro-enterprises;
- (c) whether a separate division for micro-enterprises would  assist micro-enterprises in participating more effectively in Government schemes like the PMEGP which provides financial assistance for setting up new enterprises and if so, the details thereof;
- (d) the  insights  being  provided  by  the  Government  into  the  specific  policies  and  support mechanisms  that  would  be  put  in  place  to  enable  micro-MSMEs  to  scale  up  and  compete  with larger players in their industries;
- (e) the Ministry's projections and timelines for the growth of India's MSME sector; and
- (f) the steps taken to ensure coordination and collaboration among various stakeholders to drive the growth and success of the micro-MSME sector in the country?

## ANSWER

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

(a) to (c): No Sir. There is no proposal or plan to create a separate division for micro-enterprises within the Ministry of MSME.

(d) to (f): The  Ministry  of  MSME,  through  its  various  schemes  and  programmes  and  policy initiatives,  helps  the  micro,  small  and medium enterprises to scale up  and  to compete with large players.

The  schemes/programmes  inter  alia  include  Prime  Minister's  Employment  Generation Programme (PMEGP), Credit Guarantee Scheme for Micro and Small Enterprises, Micro and Small Enterprises-Cluster  Development  Programme  (MSE-CDP),  MSME  Champions,  Entrepreneurship Skill Development Programme (ESDP), Procurement and Marketing Support Scheme (PMSS) and National SC/ST Hub (NSSH). Growth of MSME Sector is an ongoing process and the Ministry of MSME  is  continuously  working  towards  the  growth  of  India's  MSME  sector  through  these schemes and programmes. The Ministry interacts with stakeholders on a regular basis. For micro enterprises various steps have been taken, including the following:

-  Public  Procurement Policy  order, 2012  (Amended in 2018) mandates that  a minimum 25 percent  share  out  of  the  total  annual  procurement  by  Central  Government  Ministries/ Departments / Public Sector Undertakings, is to be made from Micro and Small Enterprises.
-  Ministry  of  MSME,  under  PMSS,  provides  financial  assistance  of  80%  of  one-time registration fee and annual recurring fee (for first three years) to micro enterprises only, for obtaining up to 100 Nos. of bar codes.
-  For adoption of e-Commerce Platform by micro enterprises, financial assistance is provided for selling their products or services (up to 10 new products) through portal "MSME Global Mart".
-  The Ministry of MSME has launched Udyam Assist Platform (UAP) on 11.01.2023 to bring the Informal Micro Enterprises under the formal ambit for availing the benefit under Priority Sector Lending.

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