MSME sector in India is contributing in a significant way to the growth of the economy, taking cognizance of this mention the challenges MSME sector is facing? Suggest measures to make MSME sector globally competitive.
Answer: MSME sector contribute around 30 per cent in nominal GDP. The share of this sector in total manufacturing is even higher at 45 percent.
According to 73rd round of National Sample Survey, MSME sector employs around 11 crore people.
Within MSME, there are three sub-sectors:
- Manufacturing
- Service
- Trade
All these sectors employ about one third of total population.
Further, around 50 per cent of the total MSMEs operate in rural area and provide employment to 45% of rural population.
Moreover, with respect to trade, share of MSMEs sector in India's Merchandise Export stood at 48% - which signifies that India's MSMEs are becoming ....
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