Saturday, December 27, 2014: According to a recent press release by PIB, the ‘Make in India’ campaign, which expects the MNCs to start their manufacturing units in the country, is the most relevant for the the micro, small and medium enterprise sector. The release further stated that the global MNCs can take advantage of a rapid-growing MSME sector and the depth it has in terms of products and services provided.
The biggest advantage for these firms would be to get a scenario wherein all they require is the technical knowhow and the investment. This is because the production process in this sector is not only under way, but the various networks required for undertaking the production process are already established.
When Prime Minister Narendra Modi had launched the campaign in September this year, as many as 25 25 sectors, including textiles, automobiles, chemicals, IT and pharmaceuticals were identified as the segments to focus on under the programme. The Indian MSME sector is already diverse in terms of its size, levels of technology employed and range of products and services produced. It brings out products right from the village industries to auto components, micro-processors, electronic components and electro-medical devices.
In recent years, the growth rate of MSMEs in India has been 10 per cent, which is much ahead of the large-scale corporate sector. Not only that, the sector also contributes 8 per cent of the country’s GDP, 45 per cent of the manufactured output and 40 per cent of its exports. They also provide employment to over 80 million people spread across 36 million enterprises.
