After Years Of Decline, MSME Exports See Promising Growth In 2024

New Delhi, Nov 29 (KNN) In a significant development for India's economic landscape, exports from Micro, Small, and Medium Enterprises (MSMEs) have rebounded after experiencing a multi-year decline.

According to government data presented in the Lok Sabha by Shobha Karandlaje, Minister of State for Micro, Small and Medium Enterprises, the sector's contribution to national exports has begun to stabilise and show promising growth.

The export share of MSMEs had been progressively diminishing in recent fiscal years, dropping from 49.73 percent in fiscal year 2020 to a low of 43.59 percent in fiscal year 2023.

However, the current fiscal year 2024 marks a turning point, with MSME exports increasing to 45.79 percent of total national exports, signalling a potential recovery for the sector.

To support this resurgence, the government has implemented a comprehensive strategy aimed at bolstering MSME capabilities.

As of November 24, 3.11 crore MSMEs are registered on the Udyam Registration Portal, which provides crucial benefits including priority sector lending and access to various government schemes.

The ministry has rolled out multiple initiatives to stimulate MSME exports, including financial assistance for international trade fair participation, the Export Credit Guarantee Scheme, and the Interest Equalisation Scheme.

Additionally, targeted programs like the Trade Infrastructure for Export Scheme and Market Access Initiatives are designed to provide strategic support to exporters.

Specific financial measures include extending the Interest Equalisation Scheme for pre- and post-shipment rupee export credit until December 31, with a total allocation of Rs 12.88 crore.

The Rebate of State and Central Levies and Taxes scheme for the textile sector has also been implemented to further encourage export growth.

These concerted efforts reflect the government's commitment to strengthening the MSME sector, which plays a critical role in India's economic ecosystem and export potential.

(KNN Bureau)