In News
- Recently, the Union Minister for MSMEs inaugurated the India Export Initiative and IndiaXports 2021 Portal of India in New Delhi.
About
- This initiative serves as a knowledge base for exports by Indian MSMEs with the required information related to export potential for all the 456 tariff lines along with the potential markets as well as trends in exports, export procedures and lots more.
- Apart from an export help desk, Instructor-led orientation will also be provided to MSMEs through a series of sessions for specific sectors highlighting the opportunities in specific products in international markets.
- The initiative targets 1 lakh+ MSMEs desirous of knowing more about exports and hand-holding 30,000+ MSMEs to start exporting, doubling the base of active exporters
- It aims to orient MSMEs free of cost, with the objective of focussing on the untapped export potential in existing tariff lines and supporting MSMEs in order to grow the number of exporting MSMEs and increase MSME exports by 50% in 2022.
About Micro, Small and Medium Enterprises (MSMEs)
- According to the recently proposed definition, Micro, Small and Medium Enterprises (MSMEs) will be classified as:
|
Classification |
Micro |
Small |
Medium |
|
Manufacturing Enterprises and Enterprises rendering Services |
Investment in Plant and Machinery or Equipment: Not more than Rs.1 crore and Annual Turnover; not more than Rs. 5 crore |
Investment in Plant and Machinery or Equipment: Not more than Rs.10 crore and Annual Turnover; not more than Rs. 50 crore |
Investment in Plant and Machinery or Equipment: Not more than Rs.50 crore and Annual Turnover; not more than Rs. 250 crore |
Significance & Role of MSMEs in India
- MSMEs are the second largest employer after the agriculture sector, giving employment to about 11 Crore people with low capital and technology requirements.
- MSME will play an important role and it can be done by increasing their manufacturing capabilities.
- The country has more than 63 million MSMEs. They account for nearly 40 per cent of India’s exports, about 6.11 per cent of the country’s manufacturing GDP and 24.63 per cent of the GDP from the services sector.
- They help in the promotion of industrial development in rural areas, capacity building and local resource mobilisation.
- They create an inclusive and sustainable society through the creation of non-farm livelihood, they promote balanced regional development and gender equity.
Source: PIB
