UP govt aims to develop MSME export hubs to compete in global markets

The state government will develop local export hubs and nudge the e-commerce sector to double micro, small and medium enterprises (MSME) shipments to Rs 3 trillion in two-three years, according to sources.

The sector contributes 60 per cent to UP’s annual industrial output and is the leading employment generator after agriculture and allied activities.

The MSME department is working on a plan to promote 75 districts as potential export hubs for local industries to create jobs and contribute to the Rs 1 trillion dollar economy goal.

The state will invest in the promotion and online marketing of MSMEs, especially under the One District One Product (ODOP) scheme, to compete in the global markets.

The sector played a vital role in attracting private investment in the state, said Rakesh Sachan, the state’s MSME minister. The MSME department will send officials to Tamil Nadu and Odisha to study the mechanism of raw material banks set up in these states for possible replication.

However, these industries faced impediments to working capital, lack of marketing support, etc. In this regard, the UP government launched the ODOP scheme to revive traditional handicrafts and indigenous industries.

Addressing a recent MSME programme in Lucknow, Chief Minister Yogi Adityanath said that when indigenous products gain traction, it is imperative to nurture and incentivise them with a robust platform to flourish in the market.