January 07, 2021

India has around 6.3 crores registered MSMEs. The number of registered MSMEs grew 18.5% Y-o-Y to reach 25.13 lakh units in 2020 from 21.21 lakh units in 2019. New online system of MSME/Udyam Registration launched by the Union MSME Ministry, w.e.f. July 01, 2020, successfully registered more than 1.1 million MSMEs until November 2020.

MSMEs have created more employment in rural areas where employment was a big challenge because of the lack of big industries and companies. MSMEs also play an important role when in need of low investment, flexibility in operations, cost-effective imports, and huge demand for production.

Moreover, MSMEs help entrepreneurs to learn new skills, adopt new technologies, and eventually help them set up a successful business and help in the nation's economy.

You may also like to read the new MSME definition and classification criteria applicable with effect from 01.07.2020 For Composite criteria of Net Investment for plant, machinery and Net turnover by visiting In our Newsletter Section.