Hotline: 1800 102 2007
Hotline: 1800 102 2007
Search Business Opportunities
2010-06-11

ASSOCHAM: MSMEs to contribute more to the economy

MSMEs contribute to economy

 

An increasing number of Indian MSMEs are embracing technology and this is what will surge the share of the sector in the nation’s economy; exports and manufacturing set to surge in the coming years, according to a new report,. The report had said that the credit availability is a concern for the sector.

 

According to the paper MSMEs cluster Development –Deepens Inclusive growth brought out by the associated chamber of commerce and industry (ASSOCHAM) the MSME sector that has been growing at 35 per cent over the last two years will register a 40 per cent growth that will be technologically driven and contribute to manufacturing outputs to an extent of 46 per cent from the present 40-42 per cent.

 

The paper says that MSMEs contribution, including agricultural as well, to national GDP is projected to go up by a minimum of 5 per cent and touch 55 per cent of India’s GDP by 2011 since over 55 percent of MSMEs are aggressively upgrading themselves technologically to reduce their input costs and increase production and exports.

 

The MSMEs share, including agriculture-share, in national GDP is measured around 45 per cent.

 

The ASOCHAM says that the recent downturn has strengthened the MSME sector and specifically the SME segment that supplies critical components and ancillary parts to a host of large industries like Auto,Agro Implements,Construction Equipments,Electronics,etc.

 

The credit that MSMEs get are at a high cost the ASSOCHAM paper says and it points out that over 55 percent of SMEs have done technological tie –ups with their counterparts to upgrade their production facilities.

 

The ASSOCHAM chief said that the proposed SME exchanges will provide opportunities to SMEs to raise capital for the capacity building as well as price preference. He said that the recent high power committee’s recommendations and procurement policy of the government to source 20 percent of its requirements of goods and services from MSME sector would be crucial to the sector.

 

MSMEs produce over 7500 items and provide employment to more than 600 lakhs people. About 60 lakh MSM units are spread across the country.

 

 

 

Related opportunities
  • Bakery & Confectionary
    About Us:  Established in 2006, Oya kekars is hugely popular pastry..
    Locations looking for expansion Maharashtra
    Establishment year 2006
    Franchising Launch Date 2018
    Investment size Rs. 20lac - 30lac
    Space required 400
    Franchise Outlets -NA-
    Franchise Type Unit
    Headquater Mumbai Maharashtra
  • After School Activities
    About Us: Brightt kids began its journey from Pune and over..
    Locations looking for expansion Maharashtra
    Establishment year 2009
    Franchising Launch Date 2017
    Investment size Rs. 2lac - 5lac
    Space required 200
    Franchise Outlets -NA-
    Franchise Type Unit
    Headquater Pune Maharashtra
  • Others Food Service
    About Us: Thindi Xpress with its rich ingredients and unique dishes..
    Locations looking for expansion Karnataka
    Establishment year 2017
    Franchising Launch Date 2019
    Investment size Rs. 20lac - 30lac
    Space required 400
    Franchise Outlets -NA-
    Franchise Type Unit
    Headquater Bangalore Karnataka
  • Quick Service Restaurants
    About Dumpling MomoPartner with the emerging Tibetan snack brand of..
    Locations looking for expansion West Bengal
    Establishment year 2014
    Franchising Launch Date 2015
    Investment size Rs. 10lac - 20lac
    Space required 100 - 700 Sq.ft
    Franchise Outlets -NA-
    Franchise Type Unit, Multiunit
    Headquater Kolkata West Bengal
Insta-Subscribe to
The Franchising World
Magazine
For hassle free instant subscription, just give your number and email id and our customer care agent will get in touch with you
OR Click here to Subscribe Online
Daily Updates
Submit your email address to receive the latest updates on news & host of opportunities

Free Advice - Ask Our Experts