National Small Industry Day: India commemorates National Small Industry Day on August 30 as a tribute to the invaluable role played by small-scale industries in the country’s progress. The day serves as a platform to encourage and bolster growth in enterprises within the MSME sector, foster the establishment of new businesses and create job opportunities.
Notably, on August 30, 2000, the government had reportedly unveiled an extensive policy package aimed at bolstering the small-scale industry, a pivotal moment that led to the annual observance of National Small Industry Day. The terms Small Scale Industry (SSI) registration and micro, small, and medium enterprise (MSME) registration are used interchangeably, with the MSME Development Act of 2006 designed to facilitate the advancement, expansion, and competitive edge of MSMEs or SSIs.
On May 9, 2007, the former Ministry of Small-Scale Industries and the Ministry of Agro and Rural Industries were amalgamated to establish the Ministry of Micro, Small, and Medium Enterprises (MSME).
On the other hand, the United Nations General Assembly has officially designated June 27 as MSME Day with the aim of amplifying public recognition of the significant role that MSMEs play in advancing sustainable development and the overall global economy.
Also read: MSME share recovers to near 30% in India’s GDP after significant decline in FY21
The day has been observed since 2017 subsequent to the passage of a resolution within the Assembly during the year. As per a blog post by the United Nations, the combined count of formal and informal MSMEs constitutes more than 90 per cent of all businesses globally. Additionally, these enterprises collectively contribute, on average, to 70 per cent of total employment and 50 per cent of the world’s Gross Domestic Product (GDP).
India’s MSME sector had a contribution of nearly 30 per cent to India’s gross domestic product (GDP) in FY22 and a 43.6 per cent share in exports in FY23. The number of Indian MSMEs is expected to grow from 6.30 crore to around 7.50 crore in the coming times, growing at a CAGR of 2.5 per cent, as per a recent SIDBI-TransUnion CIBIL report.