MSME Ministry sets target to enhance GDP contribution up to 50Pc by 2025: Science and Technology Minister

Science and Technology Minister Jitendra Singh on Thursday said new business enterprises are heavily dependent on scientific, technology and scientific temper and that attitude will be essential for entrepreneurs to succeed.

He also said that the MSME ministry has set a target to enhance its contribution to the GDP up to 50 percent by 2025 as India becomes a $5 trillion economy.

Delivering the keynote address at the 7th India International Medium Small and Micro Enterprises Expo Summit 2021 here, he said that micro, small, and medium enterprises (MSMEs) that are supported by competitive and cutting-edge technology will be the foundation for bigger industries in the country.

Singh urged the scientific community to share the successful research and development outcomes with the industries and corporate houses.

All future entrepreneurship will be driven by science and technology, he said and called for adding new avenues and enterprises in tune with the changing times.

"The new business enterprises are heavily dependent on scientific technology and for the industry as well as for big and small enterprises, to realise their optimum utilisation in contemporary India, not only the scientific applications but also scientific temper and scientific attitude will be essential for entrepreneurs to succeed," a statement quoted the minister.

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Singh said with around 36.1 million (3.61 crores) units, MSMEs contribute around 6.11 percent of the manufacturing GDP and 24.63 percent of the GDP from service activities. Moreover, it is the second-largest employment-generating sector in the country after agriculture as it provides employment to around 12 crore people, he added.

Referring to the unexplored business opportunities in the bamboo sector, he said a path-breaking decision was taken by Prime Minister Narendra Modi to exempt home-grown bamboo from the purview of the 100-year-old Indian Forest Act, which helped in bringing ease of doing business in the bamboo sector for young entrepreneurs.

The minister also pointed out that by increasing the import duty on bamboo sticks or "agarbatti" from 10 to 25 percent, domestic manufacturing got a huge boost as nearly 5,000-6,000 crore agarbatti were imported from countries such as Korea, Vietnam, and China every year.

But there has been no import of raw batti since September 2019 and local bamboo produce is being used for this, he added.

Singh said many startup avenues of self-employment are more lucrative than government jobs and the need is only to change the mindset, which is inclined to prefer a small-time government job with a meagre salary, instead of a self-employed startup initiative that could comparatively beget manifold returns from the beginning itself.

He said many agri startups through a suitable use of science and technology are not only providing lucrative livelihood for themselves but also for their peers.