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National Institute of micro, small and medium enterprises

1. NATIONAL INSTITUTE FOR MICRO, SMALL,AND MEDIUM ENTERPRISES(NIMSME) BY ANISH KUMAR

2. INTRODUCTION Small & medium Enterprises are the back bone of Industrial Development. Ministry of Micro Small & Medium Enterprises Contributes Nearly 8% in GDP, 40% in Manufacturing output & 45% in Exports. They provides the largest share of employment after agriculture They have emerged as a dynamic and vibrant sector of economy.

3. They are widely dispersed across the country and produces a diverse range of product and service. It helps in the growth of a country They are the nursery for entrepreneurship and innovation

4. EMERGENCE OF MSME Based on Gandhi an model Encouraged by MSME act 2006 During pre liberalization before 1991 India adopted Industrial policy resolution 1948 that defined the role of state in industrial development for the first time At that time India accorded high priority to small and medium enterprises Despite numerous protection and policy measures MSME has remained mostly small & technologically backward

5. The scenario of small scale sector changed with industrial policy establishment in 1991 Liberalization came into existence It was the post liberalization era (1991 to 2006) This reflected the growth of SSI’s In 1991 the growth rate of SSI was almost 3 times of the total industrial sector from 1992 to 1995 However in 1995 the growth rate was slightly lower but again it increased in 1996

6. OVERVIEW OF TYPES

7. MANUFACTURING ENTERPRISES MICRO ENTERPRISE Micro enterprise generally refers to a small business employing 10 people or less It is an enterprise in which investments in plant and machinery is between 5lakh to 25 lakh. These enterprises works and operates not by choice but out of necessity

8. SMALL ENTERPRISE Small enterprise generally refers to a business employing 50 persons or less It is an enterprise in which investments in plant and machinery is between 25 lakh to 5 crores. These enterprise works and operates to earn a small amount of profit.

9. MEDIUM ENTERPRISE Medium enterprise refers to a business employing maximum to 250 employees It is an enterprise in which investment in plant and machinery is between 5 crores to 10 crores These enterprises works and operates to earn a fair amount of profits to increase their standard of living.

10. SE R VIC E E NTERPRIS E S MICRO ENTERPRISE An enterprise in which investment in plant and machinery is up to 10 lakhs SMALL ENTERPRISE An enterprise in which investment in plant and machinery is from 10 lakhs to 2 crores MEDIUM ENTERPRISE An enterprise in which investment in plant and machinery is from 2crores to 5 crores.

11. CHARACTERISTICS Low c o s t production of Greater flexibility Hig h c apacity to innovate exports Hig h employme n t generation R educt i o n of r egional imbalance OF MSME’S

12. ROLE OF MSME’S IN INDIA EMPLOYMENT GENERATION PRODUCTION EXPORT CONTRIBUTION UTILISING RESOURCE OPTIMALLY INCREASE GDP

13. PROBLEMS OF MSME’s Financial Problem- Credit facility only up to 30% Raw material improper Technological problem – Less Advertisement Managerial problem of MSME

14. SUGGESTIONS FOR IMPROVEMENT Supply of technology Conduct of survey Awareness creation Involvement of stakeholders Venture capital Interaction with research and development sector Incrimination vehicle

15. CONTRIBUTION & PERFORMANCE OF MSME’s 31 Million Empl o ym e n t 13 Million MSME’s producing more than 8000 Products 10 % Exports 45 % Industrial production MS M E ’ s

16. Leading banks providing loans to MSME’s

17. EMPLOYMENT IN MSME’s SECTOR 700 600 500 400 300 200 100 800 2009-10 2010-11 2012-13 2013-14 EMP L O YME N T number in lakh person 595.66 626.34 6 9 5.38 6 9 5.40 732 . 24 2011-12 Y E AR

18. NUMBER OF EMPLYOMENT GENERATION IN MSME 7% 69% 24% 2009-10 M E DIUM MIC R O SMALL

19. S E C T O R O F MS M E This chart shows the percentage of types of MSME enterprises 13% enterprises are engaged in service sector and 87 % enterprises are engaged in manufacturing sector SE R VICE MANUFACTURING 13% 87%

20. MSME’s CLIPS…..

21. Manipur handicraft factory…..

22. RUGS FACTORY- JAIPUR

23. BANGELS FACTORY……

24. Paper Mache small enterprise