Bikky Khosla | 01 Nov, 2022
Lack of reliable data about Micro, Small and Medium
Enterprises (MSMEs) is a major roadblock in the growth of the sector, according
to a latest report. Time and again, experts have raised this issue, but
unfortunately not much efforts have been put in this direction. There is no
dearth of schemes for MSMEs, but without enough data about the sector itself,
it is difficult to expect informed decision-making by our policy makers.
year, while replying to a question in the Upper House on loss of employment in
the MSME sector during Covid-19, the MSME minister stated, “As MSMEs are present
in both formal and informal sector, data regarding job loss is not maintained
by the government of India in Ministry of Micro, Small and Medium Enterprises.”
In such a situation, it is difficult to expect adequate and comprehensive
policy measures for the sector.
the U.K. Sinha Expert Committee on MSMEs' report, there is a massive credit gap
of Rs 20 lakh crore to Rs 25 lakh crore in the MSME sector. Also, experts often
point out that due to lack of registration, a major portion of MSMEs cannot benefit
from the plethora of schemes available for the sector. If we want to address
these challenges, there is no way out but first to bring these firms now
operating in the informal sector under official count.
MSME survey was conducted by National Sample Survey Office (NSSO) in 2015-16 –
some six years ago. It has been a long time. In addition, considering the
devastating impact of the pandemic which ravaged the sector, forcing thousands
of MSMEs to close down permanently, it seems the right time is now for the
government to consider conducting an MSME sector survey.