Govt aims to raise MSME share in exports and GDP to 50% in next 5 years: MSME Minister

Minister urges key stakeholders to come together to boost the Khadi sector

The Union Minister for Micro, Small and Medium Enterprises and Road Transport and Highways, Nitin Gadkari has said that the Government has taken up a mission-mode project of creating 5 crore jobs in 5 years in the MSME sector. He said that the Government has decided to take the proportion of MSME exports to 50% and to increase the GDP contribution of the MSME sector from 29% to 50% in the next 5 years. The Minister said this while addressing a business summit "Globalizing the Brand Khadi: The Pride of India", organized by the Confederation of Indian Industry (CII), in Mumbai today.

Addressing the gathering of industry and other stakeholders, the Union MSME Minister, Nitin Gadkari also said: "A distinction is often made between India and Bharat. There are many problems in villages due to which people migrate from villages to cities in search of jobs. We need to stop this phenomenon; we want that people do not have to come to cities due to lack of jobs. This would happen when we are able to provide good roads, schools, hospitals, farm revenue and economic viability for occupations in rural areas. This is why Gandhiji used to say that we need maximum production with the involvement of maximum number of people. Along with modernization and mechanization, we need to look at employment opportunities as well. Innovation, entrepreneurship, science, technology, research and skill generate knowledge, which needs to be converted into wealth."

The Minister said we need to strengthen the Khadi sector, the turnover of Khadi and village sector needs to be further increased; a large segment of the population is dependent on this.

Nitin Gadkari informed that his Ministry is in talks with the Ministry of Railways to serve tea in kulhads made of terracotta. "Currently, this is available in two stations; I have written to the Railway Minister and to the Transport Ministers of all states to make these kulhads mandatory in all bus stations and railway stations," He said.

Nitin Gadkari further said that as the facilitator, the Government is working on policies to promote growth. The government will provide support in measures such as reducing cost of capital, in bringing in mechanization and modernization, and in reducing logistics and power costs.

He said the Government is developing an e-market portal like Alibaba, by the name of Bharat Craft. This will provide a direct interface between buyers and sellers. We are also launching a Bank of Ideas and Innovations.

Secretary, MSME, Dr. Arun Kumar Panda said: "Khadi is a cause which is important for the nation as well as for the people in the field. Khadi has great heritage and strengths. At the same time, Khadi faces a lot of challenges. I hope this platform with presence of experts from various verticals will help in coming up with a roadmap for Khadi. Please come up with ideas and solutions to strengthen the sector.

The government has decided to set up four design houses across the country, exclusively for Khadi. One challenge we need to address is how we attract young and aspirational people towards Khadi?

Chairman, KVIC, Vinay Kumar Saxena said: "From around 889 crore rupees in 2014, the turnover of KVIC has gone up to 3215 crore rupees now, thanks in large part to the appeal by Prime Minister Narendra Modi to adopt Khadi; through this summit, our objective is to find ways to take this turnover to take to the tune of 20,000 crore rupees.

The turnover of Khadi and village industry has increased from 32,000 crore rupees in 2014-15 to 74,000 crore rupees now. The acceptability of Khadi too has increased, which results in jobs for artisans. Khadi is the best example of Make in India.

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