Question : Revival of Sick-Closed MSMEs

(a) the number of Micro, Small and Medium Enterprises (MSMEs) setup/ operational in the country during each of the last three years State/UT-wise;

(b) the number of MSMEs in financial distress, sick and closed and the reasons therefor, since January, 2016, month-wise;

(c) the number of individuals employed by MSMEs and the share of MSMEs in exports each month since January, 2016; and

(d) the corrective steps taken/ proposed to be taken by the Government to revive the sick/closed MSMEs in the country?

MINISTER OF STATE (INDEPENDENT CHARGE)
FOR MICRO, SMALL AND MEDIUM ENTERPRISES
(SHRI GIRIRAJ SINGH)

(a): The number of MSMEs registered on Udyog Aadhaar Memorandum (UAM) portal of the Ministry of Micro, Small and Medium Enterprises (MSME) during 2015-16 (since Sep. 2015), 2016-17 and 2017-18 (till 14.03.2018) is 4.96 lakh, 23.74 lakh and 14.24 lakh, respectively. The State/UT wise number of MSMEs registered on UAM portal is given in Annexure-I. As per the data received from 73rd round of the National Sample Survey on “Unincorporated Non-Agricultural Enterprises (excluding Construction)”, conducted by National Sample Survey Office (NSSO), Ministry of Statistics & Programme Implementation (during July 2015 to June 2016), the total number of MSMEs in the country was 633.88 lakh. The State/UT wise number of MSMEs as per this survey is given in Annexure-II.

(b): As per the information received from the Reserve Bank of India on Framework for Revival and Rehabilitation of MSME, stressed accounts referred to the Corrective Action Plan Committee during the half-year ended March 31, 2017 and September 30, 2017 are 1,00,803 and 87,062, respectively and the number of sick MSMEs in the year 2016 was 4,86,291.

As per the final report of Fourth All India Census of MSMEs, the main reasons for closure of enterprises are stated to be Lack of demand, Shortage of working capital, Non availability of raw materials, Power shortage, Marketing problems, Labour problems, Management problems, and Equipment problems.

(c): As per the data received from 73rd round of the National Sample Survey on “Unincorporated Non-Agricultural Enterprises (excluding Construction)”, conducted by National Sample Survey Office (NSSO), Ministry of Statistics & Programme Implementation, during July 2015 to June 2016, the total employment in the MSME sector was 1109.89 lakh.

As per the information received from Directorate General of Commercial Intelligence and Statistics, M/o Commerce and Industry, the share of 453 MSME related products at the 4-digit Indian Trade Classification (Harmonised System) (ITC-HS) in the exports for the years 2016-17 and 2017-18 (till November, 2017) are 49.69% and 49.49% (provisional), respectively.

(d): Framework for revival and rehabilitation of the MSME units has been put in place under the Micro, Small and Medium Enterprises Development Act, 2006.