Question : Study to Estimate the Impact of Covid-19 Pandemic

(a) the details of Micro, Small and Medium Enterprises (MSMEs) in the country, State/UT-
wise including Bihar;

(b) whether the Government has conducted/ commissioned a study to estimate the impact of COVID-19 pandemic on MSMEs across the country and if so, the details thereof, State/UT-wise including Bihar;

(c) whether the Government has evolved any scheme to help MSMEs to recover from the impact of COVID-19 pandemic with the funds sanctioned and disbursed and if so, the details thereof along with the number of beneficiaries, State/UT-wise and district-wise in Bihar; and

(d) whether the Government promotes the setting up of MSMEs and if so, the details thereof?

Answer given by the minister

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

(a): The number of Micro, Small and Medium Enterprises (MSMEs) which had registered on Udyam Registration (UR) portal since inception on 01.07.2020 till 15.07.2022, and had been classified as Micro, Small and Medium Enterprises was 95,91,422. Out of this 91,61,600 were micro; 3,91,742 were small and 38,080 were medium. State/UT-wise details including Bihar are at Annexure.

(b) & (c): The Ministry of MSME on 7th September, 2021 assigned a Study to Small Industries Development Bank of India (SIDBI) to assess the impact of change in MSME classification on the Sector. The terms of reference of the said study inter-alia also included assessment of losses suffered by MSME sector due to Covid-19 pandemic. The said study was based on the survey conducted by SIDBI taking a random sample pool comprising 1,029 MSMEs spread across the 20 States and 2 Union Territories. The report of the study submitted on 27th January, 2022, reveals that 67 percent of the respondent MSMEs were temporarily closed for upto a period of 3 months and more than 50 percent of the respondent units witnessed a decline of more than 25 percent in their revenues during the FY 2020-21. Around 66 percent of the respondents reported a decline in profitability on account of stable fixed costs and decline in revenue. The study reveals that around 65 percent of the MSMEs surveyed, have availed the benefits under Emergency Credit Line Guarantee Scheme and around 36 percent of the respondents (MSMEs) also availed loans under the Credit Guarantee Fund Trust for Micro and Small Enterprises scheme.



The Government of India, under Aatma Nirbhar Bharat, announced many measures to help micro, small and medium enterprises to tide over COVID-19 crisis. These include (i) Rs. 20,000 crore Subordinate Debt for stressed MSMEs; (ii) Rs. 3 lakh crore Emergency Credit Line Guarantee Scheme (ECLGS) for business, including MSMEs which has subsequently been increased to Rs. 5 lakh crore; (iii) Rs. 50,000 crore equity infusion through Self-Reliant India Fund; (iv) New revised criteria of classification of MSMEs; (v) New registration of MSMEs through ‘Udyam Registration’ for Ease of Doing Business; (vi) No global tenders for procurement up to Rs. 200 crore.

All the schemes of Ministry of MSME are Central Sector Schemes. Funds are not allocated State/UT-wise. The total BE of the Ministry for the FY 2022-23 is Rs.21,422 crore.

(d): Promotion and development of enterprises is a State subject. The Ministry of Micro, Small & Medium Enterprises supplements the efforts of State Governments/ UTs Administration through various schemes, programmes and policy initiatives for promotion, development and enhancing the competitiveness of Micro, Small and Medium Enterprises in the country. The schemes of the Ministry inter-alia include Prime Minister’s Employment Generation Programme (PMEGP), Scheme of Fund for Regeneration of Traditional Industries (SFURTI), Credit Guarantee Scheme for Micro and Small Enterprises, Micro and Small Enterprises Cluster Development Programme (MSE-CDP), etc.

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