The Economic Survey: Share of MSMEs in Manufacturing Output Stands at 35.4 Per Cent
The recent Economic Survey presented by Union Minister of Finance and Corporate Affairs, Smt. Nirmala Sitharaman in Parliament today, emphasizes the significant role of MSME sector in the Indian economy, contributing 35.4 percent to the all-India manufacturing output.
1. Increased Productivity and Labour Efficiency
The survey reveals that Gross Value Added (GVA) per worker has seen an increase from ₹1,38,207 to ₹1,41,769, while Gross Value of Output (GVO) per establishment has risen from ₹3,98,304 to ₹4,63,389, showcasing improved productivity and labour efficiency.
2. Success of Udyam Registration Portal
The Survey applauds the success of the Udyam Registration portal, with a staggering 4.69 Crore registrations as of 05 July 2024. This portal has played a pivotal role in formalizing MSMEs by offering a simple, online, and free registration process through self-declaration.
3. Growth in Credit Guarantee Fund Trust Allocations
The Survey highlights a significant growth in guarantees for MSMEs from FY20 to FY24, with Union Budget 2023-24 allocating ₹9,000 Crore to the Credit Guarantee Fund Trust. This initiative aims to facilitate an additional ₹2 Lakh Crore in credit with reduced costs.
4. Production Linked Incentive (PLI) Schemes
With an outlay of ₹1.97 Lakh Crore, Production Linked Incentive (PLI) Schemes for 14 key sectors have been announced to boost India’s manufacturing capabilities and exports. Over ₹1.28 Lakh Crore of investments have been reported until May 2024, resulting in production/sales of ₹10.8 Lakh Crore and employment generation of over 8.5 Lakh.
5. One District One Product (ODOP) Initiative
To promote the ODOP initiative, the Survey mentions the establishment of “Unity Malls” in state capitals or prominent tourism centers to showcase and sell ODOP products. Additionally, “PM-Ekta Malls” aim to connect artisans with consumers, creating a vibrant marketplace for unique Indian products.
6. ODOP Sampark Workshops
The Survey also highlights the organization of ‘ODOP Sampark’ workshops in 15 States to foster collaboration between the Centre and local sellers, with the aim of revitalizing indigenous industries.
In conclusion, the survey mentions that ODOP has showcased India to the world at G20 events during India’s G20 Presidency, providing visibility to artisans, sellers, and weavers on a global platform. Your journey to insightful judgements and news begins with Taxscan Premium. Support our journalism by subscribing to Taxscan premium. Stay updated with quick updates on Telegram.
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