Lok Sabha Question No. 4465 (UNSTARRED), answered on 2026-03-19
Subject: Development of MSMEs
Ministry: MICRO, SMALL AND MEDIUM ENTERPRISES
Asked by: Shri Anup Sanjay Dhotre

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

## LOK SABHA UNSTARRED QUESTION No. 4465 TO BE ANSWERED ON 19.03.2026

## DEVELOPMENT OF MSMEs

4465. SHRI ANUP SANJAY DHOTRE:

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

- (a) whether  the  Government  has  conducted  any  survey  for  development  of  Micro,  Small  and Medium Enterprises (MSMEs) in the country;
- (b) if so, the details and the outcomes thereof including the funds allocated for the purpose;
- (c) whether  the  Government  proposes  to  enhance  the  existing  investment  limits  in  plant  and machineries in MSME sector, if so, the details thereof and if not, the reasons therefor; and
- (d) the  other  steps  taken  by  the  Government  to  have  integrated  approach  for  development  of  the MSME sector in the country?

## ANSWER

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

- (a) & (b): Ministry  of  Statistics  and  Programme  Implementation  conducts  Annual  Survey  of Unincorporated Sector Enterprises (ASUSE) to capture the economic and operational characteristics of  unincorporated non-agricultural establishments in manufacturing, trade, and services sectors. As per the latest report of ASUSE 2023-24, out of 7.33 crore estimated establishments, 99.9 % classified as MSMEs in all India. As per Udyam Registration portal of Ministry of MSME there are 7.94 crore MSMEs registered as on 17.03.2026
- (c): A revised definition, based on the twin criteria of investment and turnover, was adopted on 01.07.2020 to define Micro, Small and Medium Enterprises (MSMEs). The investment and turnover limits have been further revised to 2.5 and 2 times respectively for classification of MSMEs vide Notification SO. 1364(E) dated 21.03.2025 with effect from 01.04.2025. The revised definition is as follows:

| Enterprise(Both Manufacturing and Services)   | Investment in Plant and Machinery or Equipment   | Turnover                    |
|-----------------------------------------------|--------------------------------------------------|-----------------------------|
| Micro                                         | Not exceeding Rs. 2.5crore                       | Not exceeding Rs. 10crore   |
| Small                                         | Not exceeding Rs. 25 crore                       | Not exceeding Rs. 100 crore |
| Medium                                        | Not exceeding Rs. 125 crore                      | Not exceeding Rs. 500 crore |

(d): The  Government  of  India,  through  the  Ministry  of  Micro,  Small  &  Medium  Enterprises (MSME),  implements  various  schemes  for  the  promotion  and  development  of  MSMEs  across  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 initiatives to support the MSME Sector across the country. Some of these are the 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 90 % 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 specified trades.

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