Question : Employment through MSMEs

(a) the details of the effects of COVID-19 epidemic on micro and small scale industries along with the number of people rendered jobless due to it;

(b) whether the Government proposes to employ such people;

(c) if so, the details thereof and if not, the reasons therefor;

(d) the steps being taken by the Government for the welfare of the people connected with medium and small scale industries;

(e) whether the Government proposes to give loan to the people engaged in micro and medium scale industries with a view to help them to run their business; and

(f) if so, the details thereof along with the manner in which it is likely to be provided?

MINISTER OF MICRO, SMALL AND MEDIUM ENTERPRISES
(SHRI NITIN GADKARI)

(a) to (c): COVID-19 epidemic has temporarily affected various sectors including micro, small scale enterprises which also affected job scenario.

Under the Prime Minister’s Employment Generation Programme (PMEGP), the estimated employment generated (number of persons) in micro enterprises during the years 2017-18, 2018-19, 2019-20 and 2020-21 (as on 31.08.2020) are 3.87 lakh, 5.87 lakh, 5.33 lakh and 1.10 lakh respectively.

(d) to (f): The Ministry of MSME implements various schemes and programmes for growth and development of MSME Sector in the country. These schemes and programmes include Scheme of Fund for Regeneration of Traditional Industries (SFURTI), A Scheme for Promoting Innovation, Rural Industry & Entrepreneurship (ASPIRE), Interest Subvention Scheme for Incremental Credit to MSMEs, Cluster Development Programme (MSE-CDP).

Recently, Post Covid-19, Government has taken a number of initiatives under Aatma Nirbhar Bharat Abhiyan to support the MSME Sector in the country especially in Covid-19 pandemic. Some of them are:
i) Rs 20,000 crore Subordinate Debt for MSMEs.
ii) Rs 3 lakh crores Collateral free Automatic Loans for business, including MSMEs.
iii) Rs. 50,000 crore equity infusion through MSME Fund of Funds.
iv) New revised criteria for 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 crores, this will help MSME.

Other credit linked scheme of Ministry of MSME include 2% Interest Subvention Scheme, Prime Minister Employment Guarantee Programme (PMEGP), Credit linked capital Subsidy and Technology Upgradation Scheme (CLCS-TUS) and Credit Guarantee Fund Trust for Micro and Small Enterprises.

An online Portal “Champions” has been launched on 01.06.2020 by Hon’ble Prime Minister. This covers many aspects of e-governance including grievance redressal and handholding of MSMEs. Through the portal, total 19,181 grievances have been redressed upto 14.09.2020.