Nitin Gadkari: Centre Aims to Enhance MSME Sector Contribution to GDP up to 50%

Hyderabad: On Tuesday Nitin Gadkari Union Minister of Road Transport, while expressing the significant of Micro, Small and Medium Enterprises (MSME) as the backbone of Indian economy, said the government's goal is to expanding the sector's contribution to the GDP to 50% from the current 30%.

At the first session of the three-day virtually- held  TiE Global Summit (TGS), in the inaugural speech, , Gadkari said "the MSME sector currently constitutes 48 per cent of total exports from India and the government aims to take it to 60 per cent in future."

"MSME is the backbone of Indian economy...a total 30 per cent of the GDP in Indian economy is contributed by the MSME. Out of our total exports, 48 per cent is also from MSME. At the same time up till now MSME created 11 crore jobs. And that is one of the reasons why MSME is the backbone of the country," added Gadkari.
 

He stated that "Now we have decided to make this 30 per cent contribution to GDP to 40 per cent and 48 per cent of the exports contribution to 60 per cent. And we want to create five crore jobs."

According to Gadkari's statement, for now village industries such as handlooms, handicrafts, Khadi Gram Udyog are generating Rs. 80 thousand crore income which needs to be taken up to Rs. 5 lakh crore in the next few years.

Asking industrialists for investing in India, the union minister said that "the country currently has an excellent network of roads, abundantly available power and water and reformed labour and other administrative laws."

He added his ministry was planning to practice 22 new green highway road projects all over the country.

As per his viewpoint, in spite of the impact of COVID- 19 all around the world, the Indian industry may still grab some opportunities out of it.

While admiring the achievements of the Indian automobile industry, Gadkari stated "the sector witnesses Rs 4.5 lakh crore turnover annually and the country can become a global hub for automobile manufacturing."

He said currently research is going on to use hydrogen fuel cells as an alternative source of energy for automobiles.