Parliament Question: Delayed payments faced by small enterprises

GOVERNMENT OF INDIA MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES RAJYA SABHA UNSTARRED QUESTION NO. 2660 TO BE ANSWERED ON 16.03.2026 DELAYED PAYMENTS FACED BY SMALL ENTERPRISES 2660. SHRI PRAMOD TIWARI: SHRI G. C. CHANDRASHEKHAR: Will the Minister of MICRO, SMALL AND MEDIUM ENTERPRISES be pleased to state: (a) whether the issue of delayed payments faced by small enterprises has been a persistent challenge; (b) if so, the total number of applications/cases filed with MSME Samadhaan portal for delayed payments and till December 2025, the total outstanding amount; (c) whether a substantial percentage of delayed payments is owed by Government agencies/ departments and Public Sector Undertakings; and (d) if so, steps taken by Government to mitigate payment delays including enforcement actions taken for non-compliance with statutory timelines? ANSWER MINISTER OF STATE MICRO, SMALL AND MEDIUM ENTERPRISES (SUSHRI SHOBHA KARANDLAJE) (a): Delayed payments to Micro and Small Enterprises (MSEs) is one of the concerns for the viability and growth of the MSMEs and poses challenge for availability of working capital. (b): As per the data available on MSME SAMADHAAN Portal, till December, 2025, total 2,56,892 cases have been filed by Micro and Small Enterprises (MSEs) on this Portal involving an amount of Rs.55,244.26 crore. Out of this Rs. 22,096.62 crore is outstanding amount. (c): The cumulative dues reported by Central Public Sector Enterprises (CPSEs) towards MSMEs on the Samadhaan Portal till the end of February 2026 are Rs. 21,137.88 crore. Out of this, Rs. 18,731.45 crore has been reported as paid by the CPSEs, resulting in total pending dues of Rs. 2,406.46 crore. (d): Micro, Small and Medium Enterprises Development (MSMED) Act, 2006 under Section 15–23 of Chapter V mandates payment to the MSEs to be made within 45 days. Under the provisions of the MSMED Act, 2006, Micro & Small Enterprises Facilitation Councils (MSEFCs) have been set up in the States/UTs to deal with cases of delayed payments of the Micro and Small Enterprises (MSEs).: 2 : For filing and monitoring pending payment cases by MSEs against the buyers of goods and services, Government launched SAMADHAAN Portal on 30.10.2017. The filed cases are then referred to the concerned MSEFC for resolution of dispute between the MSE seller and the buyer as per relevant provision made under the applicable laws. For efficient resolution of the pending payment cases, Government has launched Online Dispute Resolution (ODR) Portal on 27.06.2025 as a digital, technology-enabled mechanism to strengthen the existing SAMADHAAN Portal, with the objective of ensuring speedy, cost-effective, and transparent resolution of delayed payment disputes involving MSE. All fresh cases related to delayed payments filed by MSEs on the MSME ODR portal with effect from 15.10.2025. To address the issue of working capital, Government of India vide notification S.O. 4845(E) dated 07.11.2024 has directed CPSEs and all companies with the turnover of Rs. 250 Crore or more to on-board the Trade Receivables Discounting System (TReDS), an electronic platform for facilitating the discounting of trade receivables of MSMEs through multiple financiers. In order to unlock the potential of working capital for MSMEs through the TReDS platforms, the following four key measures have been announced in Budget Announcements 2026-27: i. Mandate TReDS as the settlement platform for all purchases from MSMEs by CPSEs, setting a benchmark for other Corporate. ii. Introduce CGTMSE-backed credit guarantee support for invoice discounting on TReDS platform. iii. Integrate GeM with TReDS to enable information-sharing with financiers on government MSME purchases, facilitating faster and cheaper credit. iv. Introduce TReDS receivables as asset-backed securities to deepen the secondary market, improve liquidity, and speed up settlements. ******