Nitin Gadkari, the Bharatiya Janata Party (BJP) veteran, was appointed the Union Minister of the Ministry of Small, Micro, and Medium Enterprises (MSMEs) soon after the NDA (National Democratic Alliance) registered a landslide victory in the General Elections 2019.
After taking charge of the Ministry of MSMEs, Gadkari announced that he would do everything possible to improve employment opportunities in the MSME sector. He further added that he would come up with a series of measures which would boost the MSME sector, which in turn improve the nation’s growth rate and employment potential.
Here are some of the significant announcements made by the Union Minister for MSMEs to galvanise the sector:
MSMEs to Contribute 50% of the Country’s GDP
Nitin Gadkari laid out his plans to increase the present GDP contribution of MSMEs from 29% to 50% and increase employment in the sector to 15 crore people in the country.
To ensure that the target is achieved, the minister plans on improving the credit facility and technologies in the MSME ecosystem. He further added that the ministry would launch a website where people will be able to suggest innovative ideas to boost the sector simultaneously.
MSME eCommerce Portal
Gadkari also plans on launching an eCommerce portal for MSMEs in line with those of Amazon and Alibaba abroad. The portal shall allow small industries to sell their manufactured goods and products to any part of the world.
Gadkari stated that the portal would generate a turnover of up to Rs 10 lakh crore in two years. He added that it would also prove to be an excellent opportunity for MSMEs who contribute considerably towards growth and employment in the country.
Special Policies on Import-Substitute Products
With the MSME sector having a huge potential to contribute to the country’s economy, the Centre may come up with new policies to promote identified import-substitute goods and products. This will reduce imports to the country to a great extent.
Ban on Corporates in MSME Sector Lifted
In a move to bring down the dependence on imported products and improve employment opportunities in the country, the government has lifted the ban on big enterprise and corporates from entering the MSME sector. This will, in turn, make the MSME sector more competitive pave the way for innovative methods of financing in the country.
Employment Schemes for Scheduled Castes and Tribes
The Union Minister also announced that the government is trying to come up with a new scheme that focuses on scheduled castes and tribes for job creation in the MSME sector. SMEs will now be able to avail loans from the Asian Development Bank and the World Bank to create job opportunities for the underprivileged.