The economic growth of a country is often the reflection of effective performance by the services and manufacturing sector, among other drivers. According to a report by cll, the Indian MAMR sector is the backbone of the nation's economic structure and has unremittingly acted as the bulwark for the Indian economy providing it resilience to ward off global economic shocks and adversities.
With around 36.1 million units throughout the geographical expanse of the country, MSMEs contribute around 6.11 per cent of the manufacturing GDP and 24.63 per cent of the GDP from service activities as well as 33.4 per cent of India's manufacturing output, says the report. Employment has been provided to around 120 million people and contributes to around 45 per cent of the overall exports, the sector may undergo changers which are also to have far- reaching the effects on the economy following the introduction of a new industrial policy.
The policy is expected to focus on goods and products manufactured by medium- size companies. There is also expectation that the SMEs in developing countries will bridge the rich - poor divide while creating new networks within the sector to brainstorm ideats and finally implement the same.
The Indian MSME sector provides maximum opportunities for both self- employment and wage- employment ortsout the agricultural sector and contributes in building an inclusive and sustainable society in innumerable ways.
Many global companies are now looking to Indian MSMEs for strategic partnership of mutual benefit due to the innovative capabilities in niche manufacturing comparative advantages of advanced engineering, low- cost manufacturing and overheads,etc that set these enterprises apart from other national and international players in the sector.
