67% Procurement from Women- led MSMEs under Public Procurement in FY21

According to Ease of Doing Business for MSMEs, the available government data shows that the value of public procurement of goods and services by ministries and central public sector enterprises (CPSEs) from women-owned micro and small enterprises (MSEs) have exceeded the FY19 procurement value; now also, it approaches FY20’s level. From procuring goods worth Rs 232.56 crore in FY19, ministries and CPSEs purchased goods amounting to Rs 321.74 crore in FY21 so far up – up 38.3 per cent and 82.3 per cent of FY20 procurement value at Rs 390.67, based on the data available on the public procurement from women MSEs on MSME Sambandh portal. The number of women-owned MSEs_ 1,980 benefitting in FY21 so far, under public procurement_ also jumped 40 per cent from 1,410 women-MSEs procuring goods in FY19. In FY20, 3,612 women- led MSEs had procured goods from ministries and CPSEs.

The annual public procurement target for the government organisations and departments from MSEs had been modified to 25 per cent from earlier 20 per cent of formers’ total annual purchases, by the government in 2018. 3 per cent out of the total target has to be allocated for purchases from women-led MSEs; also a sub-target of 4 per cent for procurement from MSEs owned by SC/ST entrepreneurs. However, in FY19, procurement from women MSEs was only 0.15 per cent; later, in FY20 it improved marginally to 0.32 per cent. In FY21, procurement from women MSEs so far stands at 0.67 per cent.