Empowering MSMEs Through Justice: An Analysis of the MSME Samadhaan Portal

Micro, Small and Medium Enterprises (MSMEs) form the backbone of the Indian economy. They contribute significantly to employment generation, innovation, industrialisation, and exports. However, despite their critical role, MSMEs often face one persistent issue—delayed payments from buyers, including large corporations and government departments. These delays can severely impact their cash flow, operations, and sustainability. To address this challenge, the Government of India launched the MSME Samadhaan portal on October 30, 2017. The platform was envisioned as a digital mechanism to empower MSMEs to file cases against delayed payments and seek redress under the Micro, Small and Medium Enterprises Development (MSMED) Act, 2006.

Since its launch, the MSME Samadhaan portal has grown to become a key instrument in ensuring financial justice for small businesses across India. The platform not only facilitates the submission of complaints but also tracks the progress of these complaints through the respective state-level Micro and Small Enterprises Facilitation Councils (MSEFCs). As of April 2025, the data from the portal reflects a significant level of engagement and utility among the MSME community.

To date, over 2,31,356 applications have been filed by MSMEs seeking recovery of dues for delayed payments. This number demonstrates the scale of the problem as well as the level of awareness and trust the portal has generated. Among these applications, approximately 21,608 cases have been settled mutually, indicating a positive trend toward dispute resolution without prolonged legal battles. However, around 57,096 applications are still awaiting action from the MSEFCs, and 64,025 have been rejected, underscoring the complexity of the issue and the need for enhanced capacity within the facilitation mechanism.

The legal and procedural arm of the portal—the MSEFCs—has also shown commendable activity. Approximately 46,933 cases have been disposed of through the councils, and another 41,694 cases are currently under consideration. These figures highlight the steady pace at which justice is being delivered, though the backlog remains a concern that calls for further streamlining and resource allocation.

One of the most telling aspects of the MSME Samadhaan initiative is the financial value involved in these cases. Since October 2017, 88,627 cases involving a cumulative claim of ₹26,379.15 crore have been filed. Out of these, claims amounting to ₹7,638.13 crore have already been addressed. In addition, 4,913 cases concerning grievances before the launch of the portal, involving ₹1,962.02 crore, were filed, of which ₹1,350.49 crore worth have been resolved. Moreover, the councils themselves have initiated 337 cases post-August 2018, amounting to ₹259.35 crore, with partial resolution worth ₹59.67 crore.

In total, the MSEFCs have handled 93,880 cases involving claims of over ₹28,600.55 crore, out of which ₹9,048.30 crore has been successfully resolved. These numbers reflect the platform's growing importance as a facilitator of economic justice for MSMEs.

However, despite these achievements, several challenges persist. A large number of pending cases highlight the need to enhance the efficiency and responsiveness of the MSEFCs. There is a pressing need for better digital infrastructure, increased manpower, and stronger enforcement mechanisms to ensure the timely disposal of complaints. Moreover, awareness campaigns and legal support for MSMEs, especially in rural and semi-urban areas, can further strengthen the impact of the portal.

The MSME Samadhaan portal represents a significant step forward in ensuring that small businesses are not left vulnerable to payment delays. It empowers MSMEs with a formal avenue to seek justice, promotes accountability among buyers, and upholds the spirit of equitable economic growth. As India moves forward with its vision of Atmanirbhar Bharat, strengthening such mechanisms will be essential to unlock the full potential of the MSME sector.