Lok Sabha Question No. 148 (UNSTARRED), answered on 2023-02-02
Subject: Industrial Corridor/Cluster
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: L.S. Tejasvi Surya

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

## LOK SABHA UNSTARRED QUESTION NO. 148 TO BE ANSWERED ON 02.02.2023

## INDUSTRIAL CORRIDOR/CLUSTER

148. SHRI L.S. TEJASVI SURYA:

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

- (a) whether  the  Government  proposes  to  introduce  scheme  for  developing  industrial corridor or cluster only for the Micro, Small and Medium Enterprises (MSMEs) and if so, the details thereof;
- (b) the  policies  and  schemes  available  for  entrepreneurs  to  develop  clusters  under  PPP model;
- (c) the  Vendor  Development  Programmes  (VDPs)  conducted  by  the  Government  at National and State level along with the outcome thereof during each of the last three years;
- (d) the details of the initiatives taken under VDPs by the leading PSUs in the Karnataka; and
- (e) the  steps  taken  by  the  Government  to  provide  business  opportunities  to  MSMEs  to expand their market base?

## ANSWER

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

- (a): For development of clusters, Ministry  of  MSME is  implementing  Micro and Small Enterprises - Cluster Development Programme (MSE-CDP). The objective of the scheme is to enhance the productivity and competitiveness of Micro and Small Enterprises (MSEs) by extending financial assistance for establishment of Common Facility Centers (CFCs) in the existing clusters. The scheme also extends support to project of State Government to establish / upgrade the Industrial Areas / Estates / Flatted Factory Complexes. MSE-CDP is a demand driven scheme wherein financial assistance is provided as Government of India's grant.
- (b): There is no scheme of Ministry of MSME to develop clusters under PPP model.
- (c): Details  of  State  level  &  National  level  Vendor  Development  Programmes  (VDPs) organized under Procurement and Marketing Support (PMS) Scheme of Ministry of MSME during each of the last three years are tabulated below:-

| Year                    | Number of State level Vendor Development Programmes (SVDPs)   | Number of National level Vendor Development Programmes (NVDPs)   |
|-------------------------|---------------------------------------------------------------|------------------------------------------------------------------|
| 2019-20                 | 48                                                            | 10                                                               |
| 2020-21                 | --                                                            | --                                                               |
| 2021-22                 | --                                                            | 01                                                               |
| 2022-23 (till 3 rd Qtr) | --                                                            | 10                                                               |

Outcome:  -  The  Vendor  Development  Programmes  (VDPs)  have  benefitted  MSEs  in facilitating  market  linkages  for  effective  implementation  of  the  Public  Procurement  Policy (PPP). The details of overall Procurement by Central Ministries / Departments / CPSEs are available on Public Procurement Policy monitoring portal: https://sambandh.msme.gov.in/PPP\_Index.aspx

- (d): To  enhance  participation  of  Micro  and  Small  Enterprises  (MSEs)  in  procurements made by CPSEs (Including CPSEs in Karnataka) 11,309 Vender Development Programmes including  1,859  Vendor  Development  Programmes  of  SC/ST  owned  MSEs  have  been organized by CPSEs since 2019-20. The year-wise details are as under:
- (e): The Procurement and Marketing Support (PMS) Scheme of Ministry of MSME helps in enhancing the marketability of products and services of the MSMEs. The scheme extends benefits to MSMEs for creating new market access initiatives like:
- i. Organizing  /participation  in  national  /  international  Trade  Fairs  /  Exhibitions  / MSME Expo, etc. held across the country.
- ii. Creating awareness and educating MSMEs about importance / methods/ process of packaging  in  marketing,  latest  packaging  technology,  import-export  policy  and procedure,  GeM  portal,  MSME  Conclave,  latest  developments  in  international  / national trade and other subjects / topics relevant for market access developments etc.
- iii. In  order  to  provide  an  easy  on-line  access to  all  the  procurement needs/demands from Government Buyers, an on-line portal Government e-marketplace (GeM) is in place.  This  portal  is  meant  for  all  the  vendors  including  MSMEs.  An  MoU  has been  signed  between  Ministry  of  MSME  and  GeM  for  mobilizing  maximum number of MSEs on GeM platform. Bulk mail was sent to all UAM holders for registering  themselves  at  GeM  portal  for  availing  the  benefits  of  the  Public Procurement Policy.

| S. No.   | Financial Year             | No. of VDPs for Gen. MSEs   | No. of VDPs for SC/ST owned MSEs   |
|----------|----------------------------|-----------------------------|------------------------------------|
| 1.       | 2019-20                    | 2,280                       | 472                                |
| 2.       | 2020-21                    | 2,517                       | 503                                |
| 3.       | 2021-22                    | 2,527                       | 506                                |
| 4.       | 2022-23 (as on 30.01.2023) | 2,126                       | 378                                |
| Total    | Total                      | 9,450                       | 1,859                              |

(Source of Information: Sambandh portal of Ministry of MSME)

*****