The share of manufacturing MSMEs in India’s GDP is expected to grow 100% by 2025, according a top official of Laghu Udyog Bharati (LUB) that is working to uplift and strengthen the MSME sector in the country.
“In the past 2-3 years, the sentiment was low since the unfolding of COVID. We are excepting the MSME sector to grow 100% in the next 3 years,” said Bhushan Marde, Maharashtra State Secretary, LUB.
“We are working on industry policy which is to be announced soon. We are focusing on challenges, and issues faced by the conventional MSME sector. We are making them aware of the opportunities and helping them in branding their products,” he added.
Ravindra Vaidya, Maharashtra State, President LUB, said, the MSME sector was growing rapidly and creating employment opportunities in India.
“During the pandemic several companies were forced to rework their plans. While many perished, others are bouncing back. Our objective is to help them to grow to the next level. We are guiding the MSMEs to shift to the higher orbit,” said Mr. Vaidya.
Ravindra Sonawane, All India Vice President, LUB, said India has a total of 1 lakh registered and active members with LUB.
“Manufacturing MSME sector has a GDP share of 6% in India which is expected to grow to 20% in near future,” he said.
Based on the SBI Research Report, Credit growth to the MSME sector expanded by ₹52,800 crores in the current fiscal. According to the Reserve Bank of India’s data on sectoral credit, gross bank credit deployed to micro and small enterprises (MSEs) had jumped 27% in May from 19.7% in April.
But more needs to be done in terms of diversification, exports and branding to help them achieve their true potential.
The Maharashtra arm of LUB is organising a summit in Mumbai on September 16 which will be addressed by Finance Minister Nirmala Sitharaman who will also interact with the MSME members on various aspects.