MSEs are very important in major contribution of GDP and overall growth of the economy of our country. In India, the Micro and Small Enterprises (MSEs) plays a significant role in sustaining the growth of economy and generating high employment in our country.
MSEs have the higher growth rate of 10.8% when compared to the overall industrial growth of 7.7% with reference to the year 2002-07.
In India there are around 13 million MSEs providing employment to 31 million people, which is almost 4 times higher than the large enterprises. In spite of that the sector contributing about 39% of the manufacturing output and around 33% of the total export of the country and 8% of the GDP.
Contribution of MSE (%)
| Year | Total Industrial Production | (GDP) |
| 1999-00 | 39.74 | 5.86 |
| 2000-01 | 39.71 | 6.04 |
| 2001-02 | 39.12 | 5.77 |
| 2002-03 | 38.89 | 5.91 |
| 2003-04 | 38.74 | 5.79 |
| 2004-05 | 38.62 | 5.84 |
| 2005-06 | 38.56 | 5.83 |
| 2006-07 | 38.57 | 5.94 |
Suggested Reading:
Financial Source To MSEs In India
Contribution Of MSEs To Employment In India
Contribution of MSEs to the Exports in India
SMBs in India Becoming More Concerned About IT Security
Development measures for MSEs in India
MSMEs-Being Major Contributors, Struggling to Survive and Sustain