The Indian government’s online registration portal for Micro, Small, and Medium Enterprises (MSMEs) has achieved a significant milestone by surpassing 2.5 crore registrations. This achievement comes three years and two months after the portal’s launch on July 1, 2020. The portal, known as Udyam, has become a vital platform for MSMEs seeking registration and benefits in India’s dynamic business landscape.
As of the latest data available, Udyam boasts a total of 2.52 crore registrations. These include an impressive 63.48 lakh micro units that were registered via the Udyam Assist Platform (UAP). The UAP was introduced in January to facilitate the registration of micro-entrepreneurs, including street vendors, who operate outside the Goods and Services Tax (GST) framework. Registering on the Udyam platform enables these entrepreneurs to access priority sector lending.
Udyam holds the distinction of being the only platform authorized by the Ministry of MSME for registering enterprises with turnovers of up to Rs 250 crore. The portal’s registration statistics reveal the following breakdown: 2.45 crore micro enterprises, 5.68 lakh small enterprises, and 53,302 medium enterprises.
One of the most noteworthy aspects of this initiative is its impact on employment. As of September 3, 2023, the registered MSMEs have reported a total employment count of 13.52 crore. This includes 1.38 crore units operating in the services sector and 50.02 lakh in the manufacturing sector, with 3.13 crore women employees working with these registered units.
Regarding exports, 1.89 lakh units are engaged in export activities, contributing significantly with an export value of Rs 15.03 lakh crore.
To further bolster the growth of informal micro enterprises that are not GST-registered, the Ministry of MSME made Aadhaar authentication voluntary for Udyam registration. This change aims to make it easier for these enterprises to access the benefits of priority sector lending.
Additionally, the Ministry of MSME has fostered partnerships to support MSMEs. An MoU was established between Udyam and the Credit Guarantee Fund Trust for Micro and Small Enterprises. This collaboration enables the sharing of data of registered enterprises with the government’s collateral-free loan scheme for micro and small enterprises. The integration of Application Programming Interfaces (APIs) allows seamless data exchange between the two platforms, facilitating access to financial resources for MSEs.
The success of Udyam showcases the government’s commitment to supporting and nurturing the growth of MSMEs, which play a pivotal role in India’s economic development. This robust platform has not only simplified the registration process but also provided access to essential financial services, ultimately driving the expansion of MSMEs across the country.