Development of SSIs

Bangalore December 19, 2013: The Micro, Small and Medium Enterprises(MSME) Development Act, 2006 provides for classification of MSME as: 

The Government of India supplements the efforts of the State Governments for development of MSME in the country including those in the rural areas. In particular, Government of India is striving to improve the rural non-farm sector through a host of measures including creation of productive employment opportunities based on optimum use of local raw materials and skills as well as undertaking interventions aimed at  improving supply chain, enhancing skills, upgrading technology, expanding markets and capacity building of entrepreneurs/ artisans and their groups/ collectives.

 The latest Census (Fourth All India Census of MSME) conducted (with base reference year 2006-07) wherein the data was collected till 2009 and results published in 2011-12, State-wise number of registered MSME in the country, investment made and the employment opportunities generated are:

Year-wise data is not captured in the Census.

 The Ministry of MSME has been implementing Marketing Development Assistance(MDA) Scheme for MSME to enhance their export through participation in international events. Government has also notified a Procurement Policy, according to which, Central Government Ministries, Departments and Public Sector Undertakings shall procure a minimum of 20 per cent of their annual procurement in value from the goods produced and services rendered by micro and small enterprises.

The Ministry of MSME has also been implementing a credit-linked subsidy programme named Prime Minister’s Employment Generation Programme (PMEGP) since 2008-09 with Khadi and Village Industries Commission (KVIC) as nodal agency at the national level for generating employment in the Country by setting up of micro-enterprises in the non-farm sector. Under PMEGP, general category beneficiaries can avail of margin money subsidy of 25% of the project cost in rural areas and 15% in urban areas.  For beneficiaries belonging to special categories such as scheduled castes, scheduled tribes, OBCs, minorities, women, ex-servicemen, physically handicapped, beneficiaries belonging to North Eastern Region, hill and border areas, etc.,  the margin money subsidy is 35% in rural areas and 25% in urban area. The maximum cost of project is Rs. 25 lakhin the manufacturing sector and Rs. 10 lakh in the service sector. During 2012-13,  57078 micro-enterprises have been setup with margin money assistance of Rs. 1080.25 crore to create employment for an estimated 4.28 lakh persons in the country.

Skill/entrepreneurship development programmes are conducted through three national level Entrepreneurship Development Institutes of this Ministry, namely National Institute for Entrepreneurship and Small Business Development(NIESBUD), Noida, National Institute for Micro, Small and Medium Enterprises(NI-MSME),Hyderabad and Indian Institute of Entrepreneurship(IIE),Guwahati and also by various field units of KVIC, Coir Board, Development Commissioner(MSME), including 10 MSME Tool Rooms. During 2012-13, 5.51 lakh persons have been trained against the target of 6 lakh persons.

This information was given by the Minister of State (Independent Charge) for Micro, Small and Medium Enterprises, ShriK. H. Muniyappa in a written reply to a question in the Lok Sabha today. CCI Newswire