World SME Day: Nitin Gadkari highlights steps India’s small business should take to fulfil potential

• Follow

Viewed as the sector key to unlocking India’s true economic potential, it is imperative to provide small and medium-sized enterprises the required support and incentives to flourish so that it can help the country address unemployment woes. This was the broader message spelt out at the World SME Conclave presented by the TV9 Network.

Nitin Gadkari, Union Minister for Micro, Small & Medium Enterprises, said the sector is the backbone of India’s economy and can help address the problem of unemployment.

“MSMEs have created 11 crore jobs. Unemployment is the biggest challenge this country is facing. Providing fillip to this sector is the only way we can tackle this problem. We are targeting to contribute 40% to GDP growth, increase our exports to 60% and generate an additional five crore jobs. I believe every stakeholder’s co-operation is necessary to help India overcome the challenges brought by the pandemic. We need to establish co-operation, co-ordination and communication. We need to boost our exports and reduce imports. For instance, in the automobile industry, my target is to take it to Rs 12 lakh crore in three years and from here, we can become the world’s manufacturing hub for electric cars, trucks, buses and bikes. But for that to happen, we need the assistance of stakeholders. Otherwise, this dream will not become a reality.

“I want MSMEs to tap stock exchanges and export-oriented entities can grow with the help of foreign investors. Upgradation of investment along with foreign funding can help our SMEs reach the next level of growth,” said Gadkari.

Speaking on the network’s vision in supporting the government’s determination to build a truly empowered Atmanirbhar Bharat, Barun Das, CEO, TV9 Network, stressed on the importance of having a robust SME sector in place.

“I believe the MSME sector is a lever that will help India achieve its true economic prowess.  According to a report by UNICEF, India will have  an estimated 31 crore secondary school graduates by 2030 ready to join the job market. Will we be able to create that many jobs? What will happen to these educated youths? The only way out for us is that we will have to provide job seekers into job providers. TV9, the largest news network in our country, will be keen to play our role in this. As part of powering this faculty, we have taken our first step to bring about financial inclusion at the grassroots level by launching Money9, India’s first multi-lingual Personal Finance platform, earlier this year. It is a modest effort to drive the bottom of the pyramid change. Recognising the power of small businesses in India’s language market is an imperative. As a media platform, we are committed to the idea of discovering such entrepreneurial talent.

“I am happy to announce the launch of nationwide regional startup awards. I would like to take this opportunity to reiterate TV9 Network’s resolve to assist you and the government’s determination to build globally competitive SMEs across all verticals. I request you to see us as a facilitator in this great national resolve to build a truly empowered Atmanirbhar Bharat,” he said.

Ashishkumar Chauhan, Managing Director & CEO, BSE, noted SMEs have historically been plagued by the lack of expert financial professionals who can help them in scaling their businesses.

“Majority of the entrepreneurs themselves take on the mantle of steering the company’s financial functions as they cannot afford to hire a CFO or a CA. We have a SME platform in BSE where 336 companies have already raised Rs 3,500 crore and their m-cap has touched Rs 27,000 crore in the last seven years. The companies can raise additional money from banks besides selling equity. So, depending on their size and aspirations, they can uitilise this avenue,” he said.

Aditya Shah, Executive Director, V-Trans, highlighted how his company’s growth story can be an example for MSMEs.

“A lot of changes have happened in the MSME sector and we can identify them as we have also grown over the years. V-Trans has logged in compounded growth of 20% in the last 20 years. In 2000, our turnover was Rs 19 crore. Today, the company’s revenue stands at Rs 1,000 crore. We can be a great example for other SMEs who can see our transformation and our growth journey over the years,” he said.