As per data from the Ministry of Micro, Small & Medium Enterprises, as of July 2024, the number of MSMEs registered on the Udyam portal, including the Udyam Assist Platform (UAP), has reached 4.77 crore, with continual growth observed.
MSMEs are being encouraged to market their products on the e-commerce site, especially through Government e-Marketplace (GeM), owned and run by the government, wherefrom Ministries and PSUs (public sector undertakings) source their procurement.
In January 2024, UPI processed over 16 billion transactions, totalling Rs. 23. 48 lakh crore (US$ 270.3 billion), marking a 27% year-on-year increase.
MSME-SAMBANDH scheme has positively impacted target beneficiaries by providing professional support in upgrading their skills, facilitating market linkages and handholding support which resulted in a 17-fold increase in public procurement from SC/ST MSEs (in terms of value) i.e., Rs. 99 crore (US$ 11.4 million) in FY16 to Rs. 1,722 crore (US$ 198 million) in FY24 as reported on the portal.
As of December 2024, 32 states and union territories have submitted Strategic Investment Plans (SIPs), with 31 of these plans evaluated. Over 200 proposals, amounting to approximately Rs. 3,000 crore (US$ 345.3 million) have been approved for the states and union territories. Since its inception, all initiatives under RAMP have positively impacted more than 4,00,000 MSMEs.
Total 2,792 programmes have been conducted, benefiting 1,40,738 persons, under the scheme, ESDP from January to December 2024.
Scheme of Fund for Regeneration of Traditional Industries (SFURTI) from January to December 2024, 18 clusters have become operational, benefiting a total of 11,810 artisans across 11 states. Additionally, 15 clusters were approved in FY23, with total assistance of Rs. 40.0 crore (US$ 4.6 million) from the Government of India, directly benefiting 8,875 artisans.
From January to November 2024, tool rooms and technical Institutions have supported 44,223 units.
In alignment with the Atmanirbhar Bharat initiative, significant import substitution efforts have been implemented. As a result, several tool rooms have successfully developed and manufactured indigenous components tailored for Micro, Small, and Medium Enterprises (MSMEs).
Under the 'IPR' component, the Intellectual Property Facilitation Cell (IPFC) has approved a total of 73 patents, 616 trademarks, 37 designs, and 1 geographical indication (GI) registration as of September 2024.
In Union Budget FY26, the government mentioned to support for 5 lakh first-time women entrepreneurs from scheduled castes and scheduled tribes, providing up to Rs. 2 crore (US$ 0.2 million) in term loans along with online training. This represents a significant advancement toward gender inclusivity in business.
As of March 2024, the Government e-marketplace (GeM) portal served 5.8 million orders worth Rs. 3,87,006 crore (US$ 46.67 billion) with 148,245 primary buyers and 215,743 secondary buyers.
As of December 14, 2023, under the top five state-wise Udyam registrations, Maharashtra recorded the maximum number of registrations with 37.12 lakh units, followed by Tamil Nadu (21.74), Uttar Pradesh (20.28), Gujarat (15.53), Rajasthan (15.57).
The number of MSMEs in the country is expected to grow from 6.3 crore, of which only 2.5 crore have ever availed credit from formal sources to approximately 7.5 crore in the coming times, growing at a projected CAGR of 2.5%.
Jammu and Kashmir leads in employment generation under the Prime Minister’s Employment Generation Programme (PMEGP), with 44,542 projects assisted between 2021-22 and 2023-24, receiving a margin money subsidy of Rs. 921.38 crore (US$ 110 million) and creating an estimated 3,56,336 jobs, accounting for 18% of nationwide employment generated under the scheme during this period.
Domestic business requires a strong financial stimulus with concessional working capital loans to ensure adequate liquidity is maintained in business operations from the government and financial institutes.
Indian Micro, Small and Medium Enterprises (MSMEs) are rapidly adopting digital payments over cash, with 72% payments done through the digital mode compared with 28% cash transactions. Rise in digital adoption presents prospects for further growth in the sector. In FY23 till December 31, 2022, the number of digital transactions stood at 9,192 crore and worth Rs. 2,050 trillion (US$ 24.73 trillion).