What is the full form of MSME?
Micro, Small and Medium Enterprise is the full form of MSME. As per the Micro, Small and Medium Enterprises Development (MSMED) Act, 2006, enacted by the Government of India, the Central Government notifies the following criteria for the classification of micro, small and medium enterprises based on investment and annual turnover.
|Manufacturing and services enterprises||– Investment in plant & machinery (equipment) should not exceed Rs. 1 cr.|
– Turnover should not exceed Rs. 5 cr.
|– Investment in plant & machinery (equipment) should not exceed Rs. 10 cr.|
– Turnover should not exceed Rs. 50 cr.
|– Investment in plant & machinery (equipment) should not exceed Rs. 50 cr.|
– Turnover should not exceed Rs. 250 cr.
MSME sector is the backbone of Indian economy, contributing substantially in the socio-economic development of the nation. As per the Government’s annual report of 2018-19, there are presently 6,08,41,245 MSMEs in India.
Ministry of Micro, Small and Medium Enterprises
A division of the Government of India, the Ministry of Micro, Small and Medium Enterprises works for the welfare of MSMEs by:
- Providing credit limit or funding from lenders (banks and NBFCs)
- Promoting entrepreneurship development and skill upgradation via specialized training centers
- Offering help to access domestic and export markets
- Offering modern testing facilities and quality certification
- Providing marketing assistance
Here are some of the entities working under the Ministry of MSME:
- Khadi and Village Industries Commission (KVIC)
- Mahatma Gandhi Institute for Rural Industrialization (MGIRI)
- National Institute for Micro, Small and Medium Enterprises (NIMSME)
- National Small Industries Corporation (NSIC)
- Scheme of Funds for Regeneration of Traditional Industries (SFURTI)
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