New Delhi[ India], Jan 7 (ANI): Commerce and Industry Minister Piyush Goyal has said the Micro Small and Medium Enterprises (MSME) sector has better adaptability to cater to the export market thanks to its smaller size and can adapt to market changes sooner.
He was speaking at a meeting held here on Monday to discuss industry issues with the MSME associations.
An official release on Tuesday said many issues pertaining to the MSME sector were put up for discussion through the Confederation of Indian Industry (CII), Federation of Indian Chambers of Commerce and Industry (FICCI), the Associated Chambers of Commerce and Industry of India (ASSOCHAM), SME Chamber of India and PHD Chamber of Commerce and Industry.
Among the issues discussed in the meeting included the problem faced by SME units in accessing credit from banks, delay in payments from Public Sector Units and government departments, issue of GST refund, a dearth of skilled manpower in the SME sector and different wages in states.
Goyal asked the Small Industries Development Bank of India (SIDBI) and the Credit Guarantee Funds Trust for Micro and Small Enterprises (CGTMSE) to set up a framework that will enable them to process loans to SME units faster and also provide insurance cover to the SME exporters.
He urged the SME sector manufacturers to produce high-quality goods in accordance with international standards.
On the issue of delayed payments, the minister examined the possibility of big companies making full payment to SMEs against delivery so that the working capital of SME units are not blocked.
In order to mainstream eight million Indian women who have started and are running their own businesses, Goyal directed that the government e-marketplace may handhold the women-led SMEs.
He said the government will give all support and help in the skilling of manpower required for the sector.
The release said that the MSME sector in India employs over 100 million people and accounts for 45 per cent of manufacturing output and more than 40 per cent of the country's exports.
With 63.4 million units throughout the country, MSMEs contribute around 6.11 per cent of the manufacturing GDP and 24.63 per cent of the GDP from service activities. (ANI)