Micro Small and Medium-sized Enterprises (MSMEs) Day
Source : Hindustan Tmes
GS III : Indian Industry

Content for Micro Small and Medium-sized Enterprises (MSMEs) Day Article

1. About the day
   
2. About MSME Around the Globe
3. MSME in India

Why in News ?

Micro, Small and Medium-sized Enterprises (MSMEs) Day is celebrated every year on June 27.

Key Facts

• To recognise the contribution of these industries in the implementation of the Sustainable Development Goals (SDGs).

  

• United Nations (UN) as many as 90 per cent of businesses are generated from MSMEs and these businesses provide 60 to 70 per cent of employment.
• The contribution of MSME to Gross Domestic Product (GDP) worldwide is 50%.
• UN and its partners celebrate the important role that the entrepreneurs play in strengthening the global economy.
• Micro Small and Medium-sized Enterprises Day through a resolution passed in the UN General Assembly in April 2017.
• 2021 theme is “MSME 2021: Key to an inclusive and sustainable recovery.”
• About MSME Around the Globe
  • Formal and informal MSMEs make up over 90% of all firms and account, on average, for 70% of total employment and 50% of GDP.
  • They are key actors in achieving a green recovery.
  • COVID Impact : Nearly 62% of women-led small businesses have been strongly affected by the crisis
    • Firms led by men, and women-owned are 27% more likely not to survive the pandemic.

MSME in India

• India has approximately 6.3 crore MSMEs.
• The number of registered MSMEs grew 18.5% Year on Year to reach 25.13 lakh (2.5 million) units in 2020 from 21.21 lakh (2.1 million) units in 2019.
• The Indian MSMEs sector contributes about 29% towards the GDP through its national and international trade.
• Criteria for Micro, Small and Medium
  • Micro : For Manufacturing Less than Rs. 25 lakh and for Service Less than Rs. 10 lakh.
  • Small : For Manufacturing More than Rs. 25 lakh but less than Rs. 5 crore and for service More than Rs. 10 lakh but less than Rs. 2 crore.
  • Medium : More than Rs. 5 crore but less than Rs. 10 crore and more than Rs. 2 crore but does not exceed Rs. 5 crore.
• MSME Ministry has four statutory bodies
  • Khadi and Village Industries Commission (KVIC)
  • National Small Industries Corporation Limited (NSIC)
  • National Institute for Micro, Small and Medium Enterprises (NI-MSME)
  • Mahatma Gandhi Institute for Rural Industrialisation (MGIRI)

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