The Government had constituted a Prime Minister’s Task Force on Micro, Small & Medium Enterprises (MSME) on 2nd September, 2009, which submitted its report on 30th January, 2010. The report had made recommendations related to policy/programme support, institutional matters and legal/regulatory measures for the growth of MSMEs in the country. The recommendations cover the areas of credit, marketing, labour issues, rehabilitation and exit policy, infrastructure/technology/skill development, taxation and special measures for North-Eastern Region and Jammu & Kashmir.
The Task Force recommended, inter alia, for expanding the coverage and for strengthening the schemes/programmes of the Ministry of MSME. Following the Task Force recommendations, the allocation of Rs. 10,330 crore during 11th Five Year Plan for the Ministry of MSME was increased to Rs. 24,124 crore for 12th Five Year Plan. This has provided a boost for the better implementation of various schemes/programmes of the Ministry which is being done subsequently.
Performance of MSME Sector
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As per the revised methodology suggested by Central Statistics Office (CSO), Ministry of Statistics and Programme Implementation (MoSPI), on the basis of the data on Gross Domestic Product (GDP) published by CSO, MoSPI and final results of the latest Census (Fourth Census), conducted (with base reference year 2006-07), wherein the data was collected till 2009 and results published in 2011-12, the estimated contribution of manufacturing Micro, Small and Medium Enterprises (MSME) sector to GDP, during 2010-11, 2011-12 & 2012-13, are 7.39%, 7.27% & 7.04% respectively. The Government aims to increase the growth and performance of the MSME sector by implementing various schemes / programmes. The major schemes / programmes are Prime Minister’s Employment Generation Programme, National Manufacturing Competitiveness Programme, Credit Guarantee Scheme, Credit Linked Capital Subsidy Scheme, Cluster Development Programme, Market Development Assistance Scheme, and Vendor Development Programme for Ancillarisation
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