Question

What is meant by MSME?
1. Medium, Small and Marginalized Enterprises
2. Micro, Small and Marginalized Enterprises
3. Medium, Strategic and Micro Enterprises
4. Micro, Small and Medium Enterprises

Answer 1

Correct Answer - Option 4 : Micro, Small and Medium Enterprises

The correct answer is Micro, Small and Medium Enterprises.

• The Micro, Small and Medium Enterprises (MSME) sector has emerged as a highly vibrant and dynamic sector of the Indian economy.
• The Micro, Small and Medium Enterprises Development (MSMED) Act was notified in 2006 to address policy issues affecting MSMEs as well as the coverage and investment ceiling of the sector.
• The Minister of Micro, Small and Medium Enterprises is Narayan Rane and the Minister of State is Pratap Chandra Sarangi.

 

• Micro, Small, and Medium Enterprises (MSMEs) play a vital role in the growth of the Indian economy by contributing 45% of industrial output, 40% of exports.
• It employs 60 million people, creates 1.3 million jobs every year, and produces more than 8000 quality products for the Indian and international markets.
• There are approximately 30 million MSME Units in India and 12 million persons are expected to join the workforce in the next 3 years.
• It is very important to empower the SME sector to utilize the limited resources (human & economic) they have in an optimum manner.
• The SMEs need to be educated and informed of the latest developments taking place globally and helped to acquire skills necessary to keep pace with the global developments.
• To counter the challenges faced by the SME sector and grab the opportunities in the market, various key strategies need to be adopted to promote and support the SME sector.
• Thus the only way to create millions of jobs with decent wages is a policy re-imagination of the rights, needs, and treatment of formal MSME entrepreneurs.