Indian MSMEs Cite Inability To Access Markets, Retain Customer’s As Top Challenges Faced

Posted under: MSME
Date: 2023-10-12
Indian MSMEs Cite Inability To Access Markets, Retain Customer’s As Top Challenges Faced

A report by the ICRIER reveals that the majority of micro, small, and medium enterprises (MSMEs) in India face challenges in accessing markets, retaining customers, and marketing their products. To address these issues, the report emphasizes the need for government policy support. The survey, conducted between November 2022 and January 2023, covered 2,007 MSMEs, with 65% classified as micro, 19% as small, and 16% as medium-sized. It was found that export-oriented MSMEs more frequently integrate with e-commerce platforms, which results in better performance indicators. Integration with e-commerce not only improves market access but also access to finance. Besides market access, MSMEs cited challenges related to physical infrastructure, credit availability, skilled labor, and delayed payments. To mitigate these issues, various government schemes are in place, but respondents call for consolidation, rationalization, and comprehensive MSME policy to streamline support.

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