India Establishes Global Market Intelligence Network to Boost MSME Exports and Competitiveness

The Indian government is establishing a global market intelligence network to enhance exports from the micro, small, and medium enterprises (MSME) sector. Union Minister Narayan Rane announced this initiative, which aims to serve as a comprehensive repository of export-related information on international markets. This network will facilitate easier market access for MSME exporters.

According to estimates, the MSME sector contributes 45% to India's exports. However, there remains significant untapped potential in this segment. A major hurdle has been the lack of reliable trade data on foreign markets, which has hindered the sector's ability to explore new market opportunities and realise its full export potential.

Minister Rane emphasised the importance of making the MSME sector more competitive through easy credit access, better technology support, and improved market access. "Our focus is on providing easy credit, better technology support and access to the export markets. We want our MSME sector to become competitive and grow," he stated. The minister urged stakeholders to develop a roadmap to transform the MSME sector into a dynamic growth engine for India's economy.

Highlighting the sector's significance, Rane described MSMEs as crucial for India's economic growth and employment generation. He noted their key role in rural industrialisation and stated that the government, under Prime Minister Narendra Modi's leadership, prioritises MSMEs. "It (MSME sector) is the key to rural industrialization. Our government under the leadership of Prime Minister Narendra Modi attaches great importance to MSMEs," he said.

To boost competitiveness, Rane stressed the need for increased research and innovation within the MSME sector. He encouraged developing new business ideas and highlighted how institutions like the Entrepreneurship Development Institute of India (EDII) can assist MSMEs in scaling new heights.

The Global Entrepreneurship Monitor India survey 2021-22, led by EDII, revealed that India's entrepreneurial activity grew in 2021. The Total Entrepreneurial Rate, indicating adults starting or running new enterprises, rose to 14.4% in 2021 from 5.3% in 2020.

The establishment of a global market intelligence network is a strategic move by the government to address existing challenges faced by MSMEs in accessing foreign markets. By providing credible trade-related data, this initiative aims to unlock new opportunities for Indian exporters and strengthen their position globally.