2012: Achievements and initiatives of the Min. of MSME

BANGALORE, INDIA: Micro, Small and Medium Enterprises has proved to be an engine of growth in the economic development of the country.

The Ministry of Micro, Small and Medium Enterprises (MSME) has been implementing various programmes and schemes for their promotion and development.

Recently, press information bureau released the achievements and initiatives of the Ministry of Micro Small & Medium Enterprises for the year 2012.

According to the release, the Ministry of MSME has adopted the cluster approach for holistic development of micro and small enterprises in a cost effective manner. Soft Interventions are undertaken in the existing clusters/new industrial areas/ estates or existing industrial areas/estates.

To ensure the transparency and speedy implementation of MSE-CDP office has started online application system from 1st April 2012, the release added.

The release further added, promotion of Information and Communication Technology (ICT) in MSME sector is one among the key component of the National Manufacturing Competitiveness Programme (NMCP) for the MSMEs.

The Government has notified a Public Procurement Policy for goods produced and services rendered by Micro & Small Enterprises (MSEs) order, 2012 effective from 1st April, 2012.

The policy mandates that all the Central Ministries / Departments / CPSUs shall procure minimum of 20 percent of their annual value of goods / services required by them from Micro and Small Enterprises.

Further, policy has earmarked a sub-target of 4 percent procurement out of this 20 percent from MSEs owned by SC / ST Entrepreneurs.

For developing MSEs vendors, the Ministry through the field offices i.e. Micro, Small and Medium Enterprises - Development Institutes has planned for the year 2012-13 to organize 50 national vendor development programmes and 350 state vendor development programmes throughout the country in order to develop MSE vendors.

Prime Minister's Employment Generation Programme(PMEGP)

According to the Ministry, under PMEGP programme, financial assistance is provided for setting up of micro enterprises each costing upto Rs.10 lakh in service sector and Rs.25 lakh in manufacturing sector.

The assistance is provided in the form of subsidy upto 25 per cent (35 per cent for Special category including weaker sections) of the project cost in rural areas while it is 15 per cent (25 per cent for Special category including weaker sections) for urban areas.

During 2012-13 (upto 31.10.12), Out of allocations of Rs.12.38 crore as margin money under PMEGP, Rs.7.24 crore have been released which have benefited 13,868 units, said the release.

Skill Development

The MSME ministry claims that skill development has been taken up as a high priority area by Ministry of MSME through various measures like enhancing the training capabilities of the Tool Rooms, MSME Development Institutes and other organizations under the Ministry of MSME.

The agencies under the Ministry of MSME conducted programmes for skill development for nearly 4.29 lakh trainees during 2011-12 and the targets set for 2012-13 is 4.94 lakh persons.

The Ministry of MSME provides all such trainings for SCs/STs free of cost, added the release.

The ministry further added that a dedicated call center for MSME's -Udyami Helpline - with toll-free number 1800-180-6763 is in operation to provide information, support, guidance and assistance to first generation entrepreneurs as well as other existing entrepreneurs.

The Udyami Helpline has become a useful tool for entrepreneurs and general public to gather information about various schemes of the Ministry, said the press release and further added the target for 2012-13 is to assist 3000 udyamis under the Scheme.

Click here to read complete list of achievements and initiatives of the Ministry of Micro Small & Medium Enterprises for the Year 2012.