Lok Sabha Question No. 2952 (UNSTARRED), answered on 2024-08-08
Subject: Registered/Closed  MSMEs
Ministry: MICRO, SMALL AND MEDIUM ENTERPRISES
Asked by: Shri Harish Chandra Meena, Shri Shafi Parambil, Smt. Jyotsna Charandas Mahant, Shri Murari Lal Meena, Shri Asaduddin Owaisi

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

## LOK SABHA

## UN STARRED QUESTION No. 2952

TO BE ANSWERED ON 08.08.2024

## REGISTERED/CLOSED MSMEs

2952.

SHRI ASADUDDIN OWAISI:

SHRI SHAFI PARAMBIL:

SMT. JYOTSNA CHARANDAS MAHANT:

SHRI MURARI LAL MEENA:

SHRI HARISH CHANDRA MEENA:

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

- (a) the  details  of  the  total  number  of  registrations  of  Micro,  Small  and  Medium  Enterprises (MSMEs) since 2019-2020, year-wise;
- (b) whether the Government is aware that more than 32,000 MSMEs closed operations/shut down during the last five years and the current year and 13290 MSMEs had to close in Financial Year 2023 and if so, the details thereof, year-wise;
- (c) the details of the total number of MSMEs that have shut down since 2019-2020, year-wise;
- (d) the steps being taken to stem the continuous decline of MSMEs Sector; and
- (e) the steps taken by the Government to prevent the closures of MSMEs and ensure their longterm sustainability?

## ANSWER

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

(a) to (e): Udyam Registration Portal was launched on 01.07.2020 with the new revised criteria for classification of MSMEs. As on 05.08.2024, the total number of MSMEs registered in all India on the Udyam Registration Portal and Udyam Assist Platform is 4.79 Crore while during the same period the total units deregistered due to shutdown is 51,077. Year-wise details are as follows:

| Year                               | Number of MSMEs registered Udyam Registration Portal and Udyam Assist Platform* in all India   | Number of MSMEs deregistered Udyam Registration Portal due to shut down in all India   |
|------------------------------------|------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------|
| 2020-21 (01.07.2020 to 31.03.2021) | 28,38,025                                                                                      | 175                                                                                    |
| 2021-22                            | 51,35,627                                                                                      | 6,222                                                                                  |
| 2022-23                            | 85,64,767                                                                                      | 13,290                                                                                 |
| 2023-24                            | 2,49,12,531                                                                                    | 19,828                                                                                 |
| 2024-25 (as on 05.08.2024)         | 64,86,029                                                                                      | 11,562                                                                                 |

The  Government  of  India,  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 (PMEGP), Credit Guarantee Scheme for Micro and Small Enterprises (CGTMSE), Micro and Small Enterprises-Cluster Development Programme (MSE-CDP), Entrepreneurship Skill Development Programme (ESDP), Procurement and Marketing Support Scheme (PMSS), Raising and Accelerating MSME  Performance (RAMP), International Cooperation scheme, Tool Rooms, Technology Centre System Programme (TCSP), National SC/ST Hub (NSSH), MSME Champions, PM Vishwakarma etc.

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

- i. Collateral free loan up to a limit of Rs. 500 lakh (w.e.f. 01.04.23) to MSEs with guarantee coverage up to 85 % for various categories of loan through Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) 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. New criteria  for  classification  of  MSMEs  with  higher  threshold,  based  on  Investment  and Turnover, to widen the ambit of the MSME sector.
- iv. New registration of MSMEs through ''Udyam Registration'' for Ease of Doing Business.
- v. No global tenders for procurement up to Rs. 200 crore
- vi. Inclusion of retail and whole sale trades as MSMEs w.e.f. 02.07.2021.
- vii. Non-tax benefits extended for 3 years in case of an upward change in status of MSMEs.
- viii. Roll  out  of  Raising  and  Accelerating  MSME  Performance  (RAMP)  programme  with  an outlay of Rs. 6,000 crore over 5 years.
- ix. Integration  of  Udyam  Portal  and  National  Career  Service  (NCS)  of  Ministry  of  Labour  & Employment, as an outcome registered MSMEs are able to search for jobseekers on NCS.
- x. 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.  Relief  was  also provided to MSMEs debarred for default in execution of contracts.
- xi. Launch  of  Udyam  Assist  Platform  (UAP)  to  bring  the  Informal  Micro  Enterprises  (IMEs) under the formal ambit for availing the benefit under Priority Sector Lending (PSL).
- xii. Launch of 'PM Vishwakarma' Scheme on 17.09.2023 to provide benefits to the traditional artisans and craftspeople engaged in 18 trades.

***