To encourage entrepreneurship in India, the Union government has decided to ease the process of registration for micro, small and medium enterprises (MSME). Minister for Road Transport & Highways and MSME Nitin Gadkari announced on Tuesday that MSMEs would only require a PAN card and Aadhaar card to register, according to a press release from PIB.
The Minister was addressing a webinar of SMEStreet GameChangers Forum when he announced the simplification of the registration process. He added that after registration, the MSME unit would get priority and finance. The Minister also focused on the importance of imparting training to small businesses in entrepreneurship and other related aspects.
Generate Employment Opportunities
Reiterating the importance of MSMEs, the Minister said that they significantly contribute to economic and social development by fostering entrepreneurship and generating large-scale employment opportunities. While assuring full support from the MSME Ministry, Gadkari mentioned the incentive package 'Atmanirbhar Bharat Abhiyan' of ₹20 Lakh crore that the government announced last year.
The government has encouraged the growth of MSMEs in the country and has taken several measures for the same. An added focus is being paid on the MSME industry to increase their contribution in helping India realize the dream of becoming a five trillion-dollar economy.
In July 2020, the Centre had launched a new portal called Udyam registration easing the registration process for MSMEs. The registration portal was set up to replace Udyog Aadhaar Memorandum (UAM) after the government revised the definition of MSME in May 2020.
1 Crore MSMEs
As per a report by Financial Express, the number of MSME registrations on the Udyam Registration portal will match the one-crore mark of MSMEs registered under Udyog Aadhaar Memorandum (UAM) in around 2.5-3 years span. Within the first 11 months of its launch, the portal has seen 33 Lakh registrations.