Of the 4.5 crore MSMEs, 4.4 crore or 98.1 per cent enterprises were micro units followed by 7.04 lakh small enterprises and 67,266 medium enterprises.
The total number of micro, small and medium enterprises (MSMEs) in the country registered with the MSME Ministry has crossed the 4.5 crore mark. According to the data from the government’s Udyam registration portal launched on July 1, 2020, to ease registration of small businesses in the country, 4,50,64,147 units were registered with the MSME Ministry, at the time of filing this report.
Of the 4.5 crore MSMEs, 4.4 crore or 98.1 per cent enterprises were micro units followed by 7.04 lakh small enterprises and 67,266 medium enterprises. The micro enterprise count also included 1.86 crore micro enterprises outside the ambit of the Goods and Services Tax (GST) such as street vendors, registered via the Udyam Assist Platform launched in January 2023.
Importantly, according to the 2015-16 national sample survey by the government, India has 6.33 lakh crore unincorporated non-agriculture MSMEs. The current count of registered MSMEs indicates that 71 per cent of unincorporated non-agri MSMEs are now in the formal economic fold.
Before Udyam registration, the government had the Udyog Aadhaar Memorandum (UAM) and prior to that Entrepreneurs Memorandum (EM-II) in place for MSME registration. According to the MSME Ministry’s 2020-21 annual report, 21,96,902 EM-II filings were recorded during the 2007-2015 period while from September 2015 till June 30 2020, there were 1,02,32,451 (1.02 crore) UAM registrations.
The Udyam registration for MSMEs offers benefits including registration on the government’s e-commerce marketplace GeM, delayed payment monitoring portal Samadhaan, onboarding on the TReDS platform for invoice discounting, availing schemes such as credit guarantee scheme, public procurement, priority sector lending from banks and more.
However, wholesale and retail traders registering for Udyam certification are limited to the benefits of priority sector lending.
According to the details from the Udyam portal, the registered MSMEs have so far reported 19.5 crore jobs and the number of women employees is over 4.3 crore.