Professional Documents
Culture Documents
Presented by:
Stuti Nuwal
Tushar Aggarwal
Content….
Meaning
Latest proposal- Meaning
Importance
Contribution to Indian economy
Problem MSME’s facing
Schemes for MSME’s
Awarded MSME’s India
Meaning at the time of introduction
The Government of India has enacted the Micro, Small and Medium Enterprises
Development (MSMED) Act, 2006.
Enterprises engaged in the manufacture, processing or preservation of goods as
specified below:
Micro enterprise - where investment in plant and machinery does not exceed Rs. 25
lakh;
Small enterprise- where the investment in plant and machinery is more than Rs. 25
lakh but does not exceed Rs. 5 crore;
Medium enterprise- where the investment in plant and machinery is more than Rs.5
crore but does not exceed Rs.10 crore.
In case of Service enterprises:-
Micro enterprises:-Investment thresholds upto Rs 10 lakh.
Small enterprises:- Investment between Rs 10 lakh to Rs 2 crore.
Medium enterprises:-Investment between Rs 2 crore to Rs 5 crore.
Latest Definition
The proposed thresholds are:
Micro enterprises- up to Rs5 crore.
Small enterprises- Rs5 crore-Rs75 crore.
Medium enterprises- Rs75 crore- Rs250 crore.
Importance
Create a large scale employment:
Employment opportunity has employed more than 50 million peoples. But India
produces 1.2 million graduates per year and out of total 0.8 million are engineer.
Economic stability in term of Growth and leverage exports:
MSME growth drivers contribute 8 % to GDP.
MNC’s are buying semi finished and auxiliary products from small enterprises
Its create a linkage between MSME and big companies. Even after the implementation
of the GST 40% MSME sector
It also applied GST Registration which increase the government revenue by 11%.
MSME is termed as “engine of growth”
Conti…
Encourages Inclusive Growth:
About 50% of wealth in India in owned by just 100 people which is due to
unequal distribution of wealth.
MSME is on the top in ministry of agenda on this IG for several years
Cheap Labour and minimum overhead:
Large organization requires effective and huge labour. But in MSME the
labour req is less and low skilled can also work.
Conti….
Simple Management Structure for Entreprises :
MSMEs do not require a huge capital to start. With limited resources available
within the control of the owner, decision-making becomes easy and efficient.
The owner himself/herself can manage it. Therefore, it can be run single-handedly.