MSME sector continues to show resilience and growth: Minister

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New Delhi: The Micro, Small, and Medium Enterprises (MSME) sector in India has continued to demonstrate resilience and growth, as per the latest information received from the ministry of statistics & programme implementation and the Directorate General of Commercial Intelligence and Statistics (DGCIS), said minister of state for micro, small, and medium enterprises, Bhanu Pratap Singh Verma. In a written reply in the Rajya Sabha, the minister said, according to the data presented by the Ministry of Statistics & Programme Implementation, the share of MSME Gross Value Added (GVA) in India’s Gross Domestic Product (GDP) displayed a fluctuating trend over the last three years.

In the fiscal year 2019-20, the share stood at 30.5%, which slightly declined to 27.2% in 2020-21 but rebounded to 29.2% in 2021-22. Similarly, the share of MSME manufacturing output in the overall Indian manufacturing output remained relatively stable, accounting for 36.6%, 36.9%, and 36.2% during the fiscal years 2019-20, 2020-21, and 2021-22, respectively.

The export of MSME specified products also showed a similar pattern. Data from the Directorate General of Commercial Intelligence and Statistics indicated that the share of MSME products in India’s total exports experienced a decline over the past three years.

In the fiscal year 2020-21, MSME products constituted 49.4% of India’s exports, which decreased to 45.0% in 2021-22 and further to 43.6% in 2022-23. Furthermore, the MSME sector has been a significant source of employment in India.

As of August 2, 2023, the Udyam Registration Portal reported that the total number of persons employed in MSMEs registered between July 1, 2020, and August 1, 2023, amounted to an impressive 12,36,15,681. A