The MSME Ministry has authorised its development and facilitation offices (DFOs) in various state capitals and industrial cities across the country to resolve issues pertaining to cancellation or amendments of the Udyam registration certificate of MSMEs.
The ministry said the move has been to “facilitate the speedy disposal of grievances related to discrepancy or complaints pertaining to updating requests and to take action on the recommendations of Directorate of Industries for cancellation/amendments of the Udyam Registration Certificate within 48 Hours,” the memorandum read.
The DFOs will now be able to take action “to resolve the issue in the State/UTs of their jurisdiction on behalf of this Ministry.”
According to the ministry, the main activities for DFOs are assistance to prospective entrepreneurs and existing units, preparation of state industrial profiles, district industrial potential surveys, project profiles, entrepreneurship development programmes, and motivational campaigns along with management development programmes, skill development programmes, linkage with state government functionaries, implementation of various scheme, coordination with state government departments/ agencies, and more.
As per the details available on the ministry’s website, there are 32 DFOs and 27 branch DFOs set up in state capitals and other industrial cities.
The current Udyam portal allows MSMEs to change details in their certificate or cancel it online.
As of December 8, 2023, 32,298 MSMEs had cancelled their Udyam registration due to the shutdown of their businesses since the launch of the Udyam registration portal on July 1, 2020, till December 8, 2023, as per the data shared in the Lok Sabha by the minister of state in the MSME Ministry Bhanu Pratap Singh Verma in a written reply to a question.
12,611 units had cancelled their registration due to business closure as of December 8 in the current fiscal, nearing the FY23 count of 13,290 MSMEs withdrawing their registrations. 6,222 MSMEs in FY22 and 175 MSMEs in FY21 had cancelled their registrations due to shutting down of their businesses.
As of Friday, 3.47 crore businesses were registered with the Udyam portal involving 3.40 crore micro units, 5.95 lakh small enterprises and 54,790 medium units with a total of 16.45 crore employment reported, as per data from the portal.