The contribution and potential of the MSME sector is growing rapidly in India. MSMEs are the 2nd largest contributors to country’s economy. They can be considered as backbone to Indian economy, as they contribute to 45% of Industrial output and 40% of exports. The sector is providing employment to about 59 million persons across the country.
Out of all the 15.64 lakh working enterprises present in India, manufacturing enterprises accounted to about 67% and service enterprises to about 33% (Services 16.78% and repairing & maintenance 16.13).
According to the Ministry of Micro, Small and Medium Enterprises, most of the enterprises are managed by males. Male persons managed about 86.28% of the 15.64 lakh enterprises and 13.72% enterprises are managed by females. Interestingly, the number of women enterprises too accounted for 13.72%.
Enterprises managed by one or more women entrepreneurs in proprietary concerns or in which they individually or jointly have a share capital of not less than 51% as partners or shareholders or directors of private limited company or members of cooperative society are called women enterprises. So in India, there are only 2.15 lakh women entrepreneurs who are doing MSME businesses.