Udyam portal: Micro enterprises dominate registration count on Modi govt’s digital platform

Ease of Doing Business for MSMEs: The highest number of MSME registrations was recorded in Maharashtra with 12.30 lakh units followed by Tamil Nadu (6.30 lakh), Gujarat (4.90 lakh), Rajasthan (4.72 lakh), and Uttar Pradesh (4.50 lakh).

5.1 per cent were small enterprises, and 0.57 per cent were mid-sized businesses. (Image: Udyam registration)

Ease of Doing Business for MSMEs: Micro enterprises have dominated registrations on the new business registration portal Udyam launched on July 1, 2020, analysis of the latest official data showed. As of November 23, 2021, small enterprise registrations stood at 2,93,226 while only 32,938 medium businesses had registered themselves on the portal, according to the data shared by the MSME Minister Narayan Rane in Rajya Sabha on Monday. The total registrations on the Udyam portal as of November 23 were 57 lakh, indicating that the remaining around 53.9 lakh units (94 per cent) were micro enterprises while 5.1 per cent were small enterprises, and 0.57 per cent were mid-sized businesses.

“On 1st July 2020, after the adoption of the new definition of MSMEs, a new registration portal ‘Udyam Registration’ has been launched by M/o MSME and so far 2,93,226 and 32,938 classified enterprises are registered in India as Small and Medium respectively on the portal (from 01.07.2020 to 23.11.2021),” Rane told Parliament in his reply to a question. The total registration count as of November 30, 2021, was 58.26 lakh.

The highest number of MSME registrations was recorded in Maharashtra with 12.30 lakh units followed by Tamil Nadu (6.30 lakh), Gujarat (4.90 lakh), Rajasthan (4.72 lakh), and Uttar Pradesh (4.50 lakh) in the top-five states’ bracket, Udyam data showed. The ratio of registration between micro, small, and mid-sized enterprises is reflective of the share of micro enterprises in India’s overall MSME base. Out of 6.33 crore MSMEs, over 99 per cent or 6.30 crore are micro businesses. 0.52 per cent and 0.01 per cent were shares of small and medium enterprises respectively, as per MSME Ministry annual report 2020-21.

Subscribe to Financial Express SME newsletter now: Your weekly dose of news, views, and updates from the world of micro, small, and medium enterprises

“The pandemic has underscored the need to move to a digital platform. This move hasn’t been easy and a lot of adjustment has been required. For some MSMEs, this has become the only mode of surviving. We are getting a good response on the Udyam portal. If you look at the earlier model, it had taken around five years to reach 10 million (registrations), here in 14-15 months, we are reaching almost 6 million,” MSME Secretary BB Swain had said last week addressing the CII Global MSME Business Summit.

There were 1.02 crores Udyog Aadhaar Memorandum (UAM)-registered MSMEs between September 2015 and June 2020 apart from nearly 22 lakh units registered under Entrepreneur Memorandum (EM) II between 2007 and 2015, according to the MSME Ministry annual report 2020-21. Udyam portal had achieved the 50-lakh registration mark in nearly 15 months since its launch. While the first 25 lakh registrations came in eight months (on March 5, 2021), the next 25 lakh registrations were recorded in less than seven months.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, Check out latest IPO News, Best Performing IPOs, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express Telegram Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.