Question

To make India a globally competitive economy, there must be a larger focus on exporting to the most demanding markets. A stronger participation of Indian Micro, Small and Medium Enterprises (MSMEs) in the global market can accelerate such a growth. This will lead to more opportunities in scaling up production, will speed up innovation and productivity. The MSME sector in India is the backbone of our country's economic structure and without this the country cannot progress. With over 63 million, MSME units, this sector covers 80% of the industries. This sector accounts for 31 % of GDP and 45% of total exports. It is also thee second largest employer in India providing jobs to over 120 million people. The MSME's should work towards becoming a part of global value chains (GVCs). It must also, find new opportunities to integrate themselves with the GVCs as exporters.

Identify the incorrect statements from the following:

Options

• MSMEs covers 80 percent of industries in the country.

• MSMEs accounts for more than 50 percent of exports.

• MSMEs provides job to over 120 million people.

• MSMEs accounts for 31 percent of Gross domestic product.

Answer 1

MSMEs accounts for more than 50 percent of exports.

Explanation:

MSME exports make up only 45% of total exports.