One Lakh Micro & Small Businesses have Benefited from Government Policy

In the current financial year, over 1 lakh Micro and Small Enterprises (MSEs) in India have benefited from the government's public procurement policy, with a total procurement value of Rs 31,428 crore. This constitutes 34.60% of the government's total purchases of Rs 90,829 crore during the same period. The policy mandates central government ministries, departments, and public sector enterprises to procure 25% of their annual goods or services from MSEs, including specific percentages for SC/ST and women-owned units.

The data reveals that Rs 558 crore worth of products, constituting 0.62% of MSE procurement, were purchased from 4,694 SC/ST-owned MSEs. Additionally, Rs 918 crore worth of products, accounting for 1.01% of total MSE procurement, were acquired from 8,201 women-owned MSEs. In the fiscal year 2023, the government surpassed its procurement target by 42%, amounting to Rs 1.79 lakh crore, of which Rs 63,834 crore came from MSEs, including contributions from SC/ST and women-led units.

The MSME ministry, under Minister Narayan Rane, highlighted the government's commitment to promoting small-scale enterprises through the Public Procurement Policy, creating a transparent environment for MSMEs. Furthermore, in October of the previous year, the ministry expanded the list of items reserved for exclusive procurement from MSEs to 469 items, including both goods and services, as part of efforts to boost support for small businesses.