Question : Performance of MSMEs

(a) the details of Micro, Small and Medium Enterprises (MSMEs) functioning in the country along with those MSMEs which are lying closed at present, State/UT-wise;

(b) the details in regard to the share of MSME products in the country''s export during each of the last three years;

(c) the details of employment opportunities provided by MSMEs to the people including the women of rural and tribal regions of the country during the said period State/UT-wise;

(d) the measures taken by the Government to provide employment/resettlement of persons affected by the closed MSMEs in the country; and

(e) the roadmap drawn by the Government to improve the performance of MSME sector?

Answer given by the minister

MINISTER OF STATE IN THE MINISTRY OF
MICRO, SMALL AND MEDIUM ENTERPRISES
(SHRI HARIBHAI PARATHIBHAI CHAUDHARY)

(a): The total Number of registered Micro, Small and Medium Enterprises (MSMEs) in the country as on 29.11.2016 (FN) is 57.22 lakh. The number of MSME units registered as Udyog Aadhar Memorandum till 29.11.2016 is 19.61 lakh. Earlier till 29.09.2006, MSME units were registered as Small Scale Industry and from 29.09.2006 to 18.09.2015 as Enterprise Memorandum (Part-II) [EM-II]. As per the last Census of MSME (data collected with reference to base year 2006-07), the total number of working registered MSME units were 15.64 lakh and as EM-II registration is 21.97 lakh. To put it in a slightly more detailed manner, the last Census as mentioned above arrived at the figure of 22.48 lakh MSME units, out of which 1.88 lakh were in the non-traceable category and 4.96 lakh in the closed category, leaving 15.64 in the working category. The State-wise numbers of registered MSMEs as on 29.11.2016 in the country are given at Annexure –I. The State-wise numbers of closed MSMEs in the country are given at Annexure-II. This is as per the said Census (Fourth) of MSMEs.

As per the last Census (Fourth) of MSMEs (data collected with reference to base year 2006-07), as well as data extracted from the Economic Census 2005, conducted by Central Statistics Office (CSO), Ministry of Statistics & Programme Implementation (MoSPI), for activities excluded from Fourth Census, namely wholesale / retail trade, legal, educational and social services, hotel & restaurants, transports and storage & warehousing (except cold storage), the total Number of estimated unregistered MSMEs in the country was 346.12 lakh. The State-wise numbers of estimated unregistered MSMEs as per the data sources mentioned above, in the country are given at Annexure –III.


(b): As per the Directorate General of Commercial Intelligence and Statistics (DGCI&S) data, Department of Commerce, M/o Commerce & Industry the estimated share of MSME products in the country’s exports during 2013-14, 2014-15 and 2015-16 are 42.42%, 44.76% and 49.86%, respectively.

(c): Government in the Ministry of Micro, Small and Medium Enterprises(MSME) has been implementing a credit-linked subsidy scheme named PMEGP since 2008-09 through Banks with Khadi and Village Industries Commission (KVIC) as nodal agency at the national level for generating employment in the Country by setting up of micro-enterprises in the non-farm sector.

Under PMEGP, general category beneficiaries can avail of margin money subsidy of 25% of the project cost in rural areas and 15% in urban areas. For beneficiaries belonging to special categories such as scheduled castes, scheduled tribes, OBCs, minorities, women, ex-servicemen, physically handicapped, beneficiaries belonging to North Eastern Region, hill and border areas, etc., the margin money subsidy is 35% in rural areas and 25% in urban area. The maximum cost of project is Rs. 25 lakh in the manufacturing sector and Rs.10 lakh in the service sector.

State-wise allocation of margin money subsidy which is treated as target as also the achievements in term of the margin money subsidy utilized, the corresponding number of projects assisted and estimated employment generated during the last three years and current year is given at Annexure-IV.

(d): The information to provide employment/resettlement of persons affected by closed MSMEs in the country are not centrally maintained.

(e): There is, as such, no specific roadmap drawn by the Ministry of Micro, Small & Medium Enterprises to improve the performance of MSME sector. However, all the promotional activities undertaken by the M/o MSME, Govt. of India are in pursuance of the MSME Development (MSMED) Act, 2006. All the schemes of the Ministry of MSME are geared towards promotion and development of the MSME sector and are designed to improve the performance of MSME sector. List of the major such schemes of the Ministry {including those of Office of Development Commissioner (MSME)} is given as Annexure-V. In a way, the MSMED Act, 2006, in conjunction with the schemes of the Ministry of MSME (including those of the O/o DC-MSME) constitute the roadmap of development in the MSME Sector.

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