Extolling the MSMEs, Centre favors it's 31.8% contribution to economic growth in term of GDP, exports, employment

New Delhi, July 23: Waking ahead to make India a 5 trillion USD economy by 2022, the MSME sector within has contributed significantly to the Indian economy in terms of Gross Domestic Product, exports and employment generation, it’s contribution of the total Gross Value Added standing at 31.8 per cent. 

 

While, the share of MSME related products in total export from India during year 2018-19 was 48.10 per cent, Shipping Minister for MSME, Nitin Gadkari informed the parliament on Monday that the MSME sector was an important pillar of Indian economy as it contributed greatly to the commercial growth with a vast network of around 30 million units.

 

“MSMEs have created employment of about 70 million, manufacturing more than 6000 products, contributing about 45 per cent to manufacturing output and about 40% of exports, directly”, he said.

 

Expressing concern over the problems faced by the MSMEs, he said that the sector continued to face certain constraints regarding availability of adequate and timely credit, high cost of credit, collateral requirements, access to equity capital and rehabilitation of sick enterprises, and more, despite of its significant contribution.

 

Referring to the 73rd round of National Sample Survey (NSS), conducted by the Centre during 2015-16, he eventually slated the estimated number of workers in unincorporated non agriculture MSMEs in the country to be 11.10 crore.