Question : Employment Generation in MSME Sector

(a) the contribution of MSME sector in India’s GDP and its export during the last three years and the current year;

(b) the details of employment generated by MSME sector during the last three years and the current year and the target fixed for the next five years;

(c) the details of the important steps taken and achievements made in the aforesaid sector during each of the last three years and the current year;

(d) whether the Government’s attention is drawn to small business owners not getting their payments in time leading to demise of their enterprises;

(e) if so, whether the Government has set up any committee to study this aspect and to get their payments faster and if so, the details thereof;

(f) whether the Government has also created a website where entrepreneurs can raise his/her problems and if so, the details thereof along with the traditional industries supported by the Ministry; and

(g) whether rate of employment generation in the Micro, Small and Medium sector is not in sync with the investment growth rate and if so, the details thereof?

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

(a): As reported by Central Statistics Office (CSO), Ministry of Statistics & Programme Implementation (MOSPI), the Share of MSME in All India GDP during 2015-16 and 2016-17 and 2017-18 has been 29.5% and 29.3% and 29.7%, respectively. As reported by Directorate General of Commercial Intelligence and Statistics (DGCIS), the share of MSME related products in total exports during 2016-17, 2017-18, 2018-19 and 2019-20 (Apr-Aug,2019) has been 49.69%, 48.56%, 48.10% and 49.66%, respectively.

(b): Under the Prime Minister’s Employment Generation Programme (PMEGP), the estimated employment generated (number of persons) in micro enterprises during the years 2016-17, 2017-18 and 2018-19 has been 4.08 lakh, 3.87 lakh and 5.87 lakh, respectively.

(c): The Ministry of Micro, Small and Medium Enterprises (MSMEs) implements various schemes to support promotion & development of MSMEs. These include Prime Minister’s Employment Generation Programme (PMEGP), Micro and Small Enterprises-Cluster Development Programme (MSE-CDP), Scheme for Promotion of MSMEs in North Eastern Region and Sikkim, Tool Rooms and Technology Centers, Mission Solar Charkha (MSC), Scheme of Fund for Regeneration of Traditional Industries (SFURTI), Procurement and Marketing Support Scheme, Entrepreneurship & Skill Development Programme (ESDP), Credit Guarantee Scheme for Micro and Small Enterprises (MSEs) and Credit Linked Capital Subsidy and Technology Upgradation Scheme (CLCS-TUS).

(d) to (f): The Micro, Small and Medium Enterprise Development (MSMED) Act, 2006 contains provisions to address the issue of delayed payment to Micro and Small Enterprises (MSEs). In line with this, Ministry of MSME has launched MSME Samadhaan Portal to ease filing of application under Micro and Small Enterprise Facilitation Council (MSEFC), set up in States for settlement of disputes related to delayed payments. In order to support traditional industries, Ministry of MSME implements Scheme of Fund for Regeneration of Traditional Industries (SFURTI).

(g): Employment generation in Micro, Small and Medium Enterprises per investment is more than that in large enterprises.