- NEW DELHI — The NITI Aayog on Monday released a report offering a
comprehensive six-point road map for transforming India’s medium enterprises
into future growth engines of the economy.
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- The report highlights that medium enterprises comprise a
mere 0.3 per cent of the country’s MSMEs but account for 40 per cent of the
sector’s exports, and outlines targeted interventions to unlock their full
potential.
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- The report delves into the structural skew in the MSME
sector, which contributes approximately 29 per cent to India’s GDP, accounts
for 40 per cent of exports, and employs over 60 per cent of the workforce.
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- Despite its critical role, the composition of the sector
is disproportionately weighted: 97 per cent of registered MSMEs are micro
enterprises, 2.7 per cent are small, and only 0.3 per cent are medium
enterprises, the report states.
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- The report underscores key challenges faced by medium
enterprises, including constrained access to tailored financial products,
limited adoption of advanced technologies, inadequate R&D support, lack of
sectoral testing infrastructure, and a mismatch between training programmes and
enterprise needs. These limitations hinder their ability to scale and innovate.
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- To address these issues, the report outlines a
comprehensive policy framework with targeted interventions across six priority
areas. These include introduction of a working capital financing scheme linked
to enterprise turnover; a INR 5 crore credit card facility at market rates; and
expedited fund disbursal mechanisms through retail banks, overseen by the
Ministry of MSME.
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- Upgradation of existing Technology Centres into
sector-specific and regionally-customised India SME 4.0 Competence Centres to
promote the adoption of Industry 4.0 solutions.
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- Establishment of a dedicated R&D cell within the Ministry
of MSME, leveraging the Self-Reliant India Fund for cluster-based projects of
national significance.
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- Development of sector-focussed testing and certification
facilities to ease compliance and enhance product quality.
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- Alignment of skilling programmes with enterprise-specific
needs by region and sector, and integration of medium enterprise-centric
modules into existing Entrepreneurship and Skill Development Programmes (ESDP).
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- Creation of a dedicated sub-portal within the Udyam
platform featuring scheme discovery tools, compliance support, and AI-based
assistance to help enterprises navigate resources effectively.
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- The report emphasises that unlocking the potential of
medium enterprises requires a shift toward inclusive policy design and
collaborative governance. With strategic support in finance, technology,
infrastructure, skilling, and information access, medium enterprises can emerge
as the drivers of innovation, employment, and export growth. This
transformation is pivotal to realising the vision of 'Viksit Bharat @2047'.
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- The report, titled ‘Designing a Policy for Medium
Enterprises.’ was launched by Suman Bery, Vice Chairman, NITI Aayog in the
presence of V.K. Saraswat, Member, NITI Aayog and Arvind Virmani, Member, NITI
Aayog.
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