Home India MICRO, SMALL AND MEDIUM ENTERPRISES Parliament Question: Development of MSMEs...
Date: 2026-03-12 Category: LOKSABHA_QNA State: Union Government Country: India

Parliament Question: Development of MSMEs

Issued by MICRO, SMALL AND MEDIUM ENTERPRISES · Not Applicable

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GOVERNMENT OF INDIA MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES LOK SABHA UNSTARRED QUESTION NO. 3289 TO BE ANSWERED ON 12.03.2026 DEVELOPMENT OF MSMEs 3289. SHRI GANESH SINGH: Will the Minister of MICRO, SMALL AND MEDIUM ENTERPRISES be pleased to state: (a) the major initiatives and achievements recorded so far under programmes such as Scheme of Fund for Regeneration of Traditional Industries (SFURTI), Micro and Small Enterprises - Cluster Development Programme (MSE-CDP), One District One Product (ODOP) and Common Facility Centres (CFCs) to accelerate infrastructure development and cluster-based growth; (b) whether the Government is promoting digitalisation, Industry 4.0 adoption, AI/IoT-based solutions, e-commerce onboarding and technology upgradation to enhance MSME productivity, competitiveness and global market access and the concrete measures undertaken in this direction; and (c) whether the Government is considering launching cluster-based digital MSME hubs or pilot projects in emerging industrial districts, particularly Satna district in Madhya Pradesh, to further strengthen local employment, innovation and export potential? ANSWER MINISTER OF STATE FOR MICRO, SMALL AND MEDIUM ENTERPRISES (SUSHRI SHOBHA KARANDLAJE) (a) to (c): Micro and Small Enterprises-Cluster Development Programme (MSE-CDP) of Ministry of Micro, Small and Medium Enterprises, Government of India establish Common Facility Centers (CFCs) and create/upgrade Infrastructure Facilities (ID Projects) providing financial support to enhance the productivity and competitiveness of Micro and Small Enterprises (MSEs) in the existing cluster. Total 606 projects have been approved since inception of the scheme out of which 242 projects are ongoing and 364 projects are completed. Under the Scheme of Fund for Regeneration of Traditional Industries (SFURTI), significant progress has been made in promoting cluster-based development, strengthening traditional industries, and enhancing rural livelihoods. A total of 513 clusters has been approved across the country since 2015-16, with a approved committed Government of India assistance of ₹1,332.95 crore. These clusters are proposed to benefit approximately 3.03 lakh traditional artisans engaged in diverse sectors such as handicrafts, handloom, agro-processing, coir, honey, and related activities. Of the total clusters approved, 378 clusters are currently functional, while 135 clusters are under various stages of implementation as on date, contributing to infrastructure development, skill enhancement, value addition, and improved market linkages at the grassroots level. Under Micro and Small Enterprises-Cluster Development Programme (MSE-CDP), the admissible components/area for setting up of Common Facility Centres (CFCs) inter alia include:: 2 : i. Industry 4.0 and its Learning Facilities, Additive Manufacturing Facilities, Digital Infrastructure. ii. Design/Incubation Centres. iii. Training Centre / Skill Upgradation Facilities. iv. R&D Centres. v. Common Renewable Energy Generation (Solar, Wind, Bio) and Energy Management equipment. vi. CFC for Greenfield clusters for holistic developments of MSME sector. MSE-CDP is a demand driven Central Sector Scheme wherein, State Governments send proposals as per common needs of existing cluster in their States/UTs. The following projects have been approved under MSE-CDP for Satna district in Madhya Pradesh: Total Project Approved Status S. No. Name of projects Cost GoI (Ongoing/ (Rupees in lakh) completed) Up-gradation for Industrial Area 1 1074.39 595.7 Ongoing at Matehana New Industrial Estate at 2 502.96 201.19 Completed Nadantola, Distt. The industrial landscape in the country has witnessed increased digitalisation in recent years, with enhanced operational efficiency for MSME in value creation and competitiveness. There is increasing participation in digital payments, e-commerce transactions, IOT enabled production tools and AI based technologies for improved business operations. To promote digital upgradation and adoption of emerging technologies for greater productivity and competitiveness among MSME, Government has taken several initiatives. These include Ministry of Electronics and Information Technology platforms like DigiLocker and IndiaAI Datasets Platform aimed at empowering MSME to become resilient, competitive and sustainable by leveraging digital technologies, and Department of Telecommunications networks like BharatNet and PM-WANI for affordable access and last mile connectivity. Ministry of Micro, Small and Medium Enterprises is supporting digital empowerment of MSME through digital registration under Udyam, training in Tool Rooms /Technology Centres for technology adoption, incubation of new ideas and technologies through MSME Innovative scheme and MSE Green Investment for Financing Transformation scheme for promoting investment in green technologies. Components of financial incentives, capacity building and awareness are suitably embedded in the design of the above Government funded schemes. The Ministry has launched Trade Enablement and Marketing (TEAM) scheme which aims at facilitating Micro and Small Enterprises for onboarding onto Open Network for Digital Commerce (ONDC) by providing financial assistance to Seller Network participants (SNPs) for onboarding, cataloguing, account management, logistics, packaging material and design. Notably, half of these beneficiary MSMEs will be women-owned enterprises. *******

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