* (New) Effectiveness of Government Policies for the MSME Sector in India

Edition: 2010                                                                                                                            No of Pages: 49
ISBN No.9788190832861                                                                                      Format: Single user PDF

The study titled ‘Effectiveness of Government Policies for the MSME Sector in India’ has been done with the objective of understanding the effectiveness of MSME Development Act 2006 at the grassroots level. After understanding the effectiveness of the policies and the schemes of the act, steps have been recommended to improve the same.

The study was carried out in four phases with the first phase being the literature study followed by the preparation for the primary research. The next phase was the factor analysis based on the feedback of the government and the apex-bodies, and finally the survey was conducted with the MSMEs to calculate the effectiveness of the policies. The analysis was followed by relevant recommendations.

The survey was carried out with about 200 MSMEs, equally distributed across geographic regions, and belonging to varied industries. This provided a wide spectrum and ensured that the evaluation is conducted at a macroscopic view.

Highlights:

• Though the awareness levels of Government MSME policies have improved from 25% to 35% over the last 1 year, but still 65% of the MSMEs on an all-India basis, are not even aware about the MSME Development Act 2006 and its policies and schemes. The awareness is lowest in west at 20% and highest in south at 50%.
• 95% respondents across the country say that the corruption levels are high or very high. The figure hasn’t changed over the last 1 year. 100% MSMEs feel the same in southern and eastern region, while in north 84% MSMEs feel this.
• The efficacy index of the Government MSME policies and ecosystem is as low as 35%.
• On an all-India basis 80% MSMEs who have availed any scheme of the Government feel that the policies/schemes are ineffective or less effective than expected.
• Amongst the schemes, ISO Certification Fee Reimbursement Scheme and the credit guarantee scheme have been availed by maximum respondents i.e. approximately 56%. 43% respondents have availed the benefits of MSME Cluster Development Programme. No other scheme has been availed by more than 30% respondents.

1 Introduction
   1.1 Need of the Study
   1.2 Objectives of Study
   1.3 Methodology
2 MSME Ecosystem in India: Pre to Post MSME DA 2006
   2.1 MSME and Government’s approach
   2.2 PESTAL Analysis: Pre-MSME DA
   2.3 Need for a new Act
   2.4 MSME Development Act, 2006
   2.5 Programmes/Schemes
   2.6 Challenges faced by the MSME sector
   2.7 Secondary Study Analysis
3 Survey findings and analysis: Policy makers and apex bodies
   3.1 Primary Study- Stakeholders
   3.2 Key Determinants of study
   3.3 Findings
   3.4 Analysis
4 Survey findings and analysis: MSMEs
   4.1 Sample description
   4.2 Index Analysis
   4.3 Perception mapping
   4.4 Weightage to schemes as per importance
   4.5 Government of India’s Effectiveness
5 Conclusions and Recommendations
   5.1 Conclusions
   5.2 Recommendations
6 References
7 Annexure
   7.1 Questionnaire for Government Agencies & Apex Bodies
   7.2 Questionnaire for MSMEs
   7.3 MSMEs contacted

How to buy this report

This report can also be obtained by sending a Demand Draft in favour of Milagrow Business and Knowledge Solutions Pvt Ltd, payable at Gurgaon, with a cover note mentioning the report title, SKU number, your complete address, email id and telephone numbers. The report would be mailed to your id at the earliest.  The amount payable is indicated at the start of this page.

Kindly mail the Demand Draft and the cover note to the Knowledge Solutions Department, Milagrow Business & Knowledge Solutions, 796, Udyog Vihar, Phase V, Gurgaon, 122016.