Lok Sabha Question No. 1744 (UNSTARRED), answered on 2024-08-01
Subject: Skills Gap in MSMEs Sector
Ministry: MICRO, SMALL AND MEDIUM ENTERPRISES
Asked by: Shri Shyamkumar Daulat Barve, Shri Arvind Ganpat Sawant, Shri Shrirang Appa Chandu Barne

1744.

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

## LOK  SABHA UNSTARRED QUESTION No. 1744

TO BE ANSWERED ON 01.08.2024

## SKILLS GAP IN MSMEs SECTOR

SHRI SHYAMKUMAR DAULAT BARVE: SHRI SHRIRANG APPA CHANDU BARNE: SHRI ARVIND GANPAT SAWANT:

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

- (a) whether it is a fact that Micro, Small and Medium Enterprises (MSMEs) are significantly facing serious hurdle due to gap in skills in MSME sector;
- (b) if  so,  whether  the  skills  required  by MSME businesses do not match up with those available among currently employed labour workforce;
- (c) if so, the details thereof and the response of the Government in this regard; and
- (d) the steps taken by the Government to address the issues being faced by the MSME Sector?

## ANSWER

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

(a) to (d): National  Skill  Development  Corporation  (NSDC)  under  the  aegis  of  Ministry  of  Skill Development  and  Entrepreneurship  has  formed  various  Sector  Skill  Councils  (SSCs),  which  are industry led bodies.  They inter-alia carry out assessment of requirements of skilled manpower for their respective sectors, create  occupational  standards,    and  develop  competency  framework  as  per requirements of the industry as well as assess and certify trainees. 36 SSCs, in the respective sector have been set up by NSDC, which are mandated to identify the skill development needs of respective sectors as well as to determine skill competency standards.

Under  Skill  India  Mission  (SIM),  the  Ministry  of  Skill  Development  and  Entrepreneurship (MSDE) delivers skill, re-skill and up-skill training through an extensive network of skill development centres/ institutes etc. under various schemes, viz. Pradhan Mantri Kaushal Vikas Yojana (PMKVY), Jan  Shikshan  Sansthan  (JSS),  National  Apprenticeship  Promotion  Scheme  (NAPS)  and  Craftsman Training Scheme (CTS) through Industrial Training Institutes (ITIs) across the country.

Further,  to  meet  the  skill  requirement  of  the  industry  particularly  the  MSMEs  for  the  skilled workforce,  the  Ministry  of  Micro,  Small  and  Medium  Enterprises  conducts  various  skilling  and upskilling training programmes for youth and industry workforce through following organizations and schemes:

## Organizations:

- (i) Technology  Centres and their Extension Centres set up across the country,
- (ii) National Small Industries Corporation (NSIC),
- (iii) Khadi and Village Industries Commission (KVIC),
- (iv) Coir Board,
- (v) National Institute for Micro Small and Medium Enterprises (NiMSME),
- (vi) Mahatma Gandhi Institute for Rural Industrialization (MGIRI)

## Schemes:

- (i) National Scheduled Caste and Scheduled Tribe Hub Scheme,
- (ii) Assistance to Training Institutions (ATI) Scheme,
- (iii) A Scheme For Promotion of Innovation, Rural Industry & Entrepreneurship (ASPIRE),
- (iv) Coir Vikas Yojana,
- (v) Entrepreneurship and Skill Development Programme (ESDP).

The courses offered by Ministry are generally National Skills Qualifications Framework (NSQF) compliant, All  India  Council  for  Technical  Education  (AICTE) /  National  Council  for  Vocational Education  and  Training  (NCVET)/  State  Council  for  Technical  Education  &  Vocational  Training (SCTE&VT) approved besides customized as per the industry requirements.  These  courses  are  also reviewed and upgraded as per the needs of the industry.

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