Question 12GS3GS2

Discuss the role of Micro, Small, and Medium Enterprises (MSMEs) in fostering regional growth in India. How can MSMEs contribute to achieving industrial diversification and technological advancement?

Main Body

MSMEs contribute approx. 30% to GDP and have an export share of 45%. Role of MSMEs in fostering regional growth ①Economic development ⊢①Employment of people (②by textile industry). ⊢②Attracts investment and generate revenue. ②Social development ⊢①Source of income for local populace. ⊢②Positive externalities (③better healthcare, education etc improve). ②Infrastructure creation— ⊢Factor-regional connectivity. ①Balanced growth and regional development

①Sector specific growth— ①Food processingagricultural marketing FPOs ②Fill industry gap in backward regions. ③Labor intensive MSMEs absorbs excess workforce. MSMEs contribution in Industrial diversification— ①Informal sector - 90% workforce to MSMEs help in formalizing. ②Diversified activities like— Textile, MSMEs, Pharmaceuticals, Education sector industries. ③Big industries face issue of license compliance & inspection to MSMEs fill the gap.

116 words1 paragraphs

Conclusion

MSMEs contribution in Industrial diversification— ①Informal sector - 90% workforce to MSMEs help in formalizing. ②Diversified activities like— Textile, MSMEs, Pharmaceuticals, Education sector industries. ③Big industries face issue of license compliance & inspection to MSMEs fill the gap. Inclusive job growth will help harness demographic dividend & aim of 30 billion economy.

52 words

Open original scan

Page 27

Topper

Komal Punia

Subject & Paper

GS3GS2

Topic

Economic Development and Industrial Policy

MSMEs and Industrial Growth

Role of MSMEs in Regional Development

Writing Stats

168

Total words

Paragraphs