Friday, December 29 2023 Breaking News

HOME HSC PROJECTS CBSE PROJECTS MBA PROJECTS ENGINEERING PROJECTS BLOGS Search for

Advertisement

Home / CBSE Projects / CBSE 12th Commerce / Micro And Small Scale Industries Project Class 12

CBSE 12th Commerce CBSE Projects Economics

Micro And Small Scale Industries Popular Recent

Project Class 12 Economics Project on Money

And Banking – CBSE Class
12
December 18, 2019
Table of Contents
1. INTRODUCTION Marketing Management
Project on Chocolate – Class
2. ROLE OF INDIAN ECONOMY
12
3. MAJOR CHALLENGES FACED
February 8, 2020
4. IMPACT OF COVID-19 ON MSME
5. SURVIVAL OF MSME SECTOR THROUGH COVID-19 Marketing Management Of
6. RECENT DEVELOPMENTS Biscuits – Business Studies
7. RECENT INITIATIVES BY THE GOVERNMENT Project
December 13, 2021
8. BENEFITS OF GETTING Ss1/MSME REGISTERED IN INDIA
9. MSME ON THE INTERNET English Project Work On
10. SHARE OF SMALL ENTERPRISES IN THE MARKET Rattrap – Class 12 CBSE
11. NEWS AND STATISTICS ABOUT GOVERNMENT BUDGET May 20, 2023

11.1. UPCOMING DEVELOPMENTS AND POST-PANDEMIC PLAN

12. ACKNOWLEDGEMENT Project On Social Issues
13. CERTIFICATE Class 10
14. BIBLIOGRAPHY June 9, 2023

15. DOWNLOAD THE MICRO AND SMALL SCALE INDUSTRIES PROJECT PDF
15.1. Download Micro And Small Scale Industries Project Class 12 PDF

INTRODUCTION
Essentially the small-scale industries are generally comprised of those industries which manufacture,
produce, and render services with the help of small machines and less manpower. These enterprises must
fall under the guidelines, set by the government of India.

The SSIs are the lifeline of the economy, especially in developing countries like India. These industries are
generally labor-intensive and hence they play an important role in the crucial sector of the economy both
from a financial and social point of view, as they help with per capita income and resource utilization in the
economy. The best way for the youth to learn about this is via a micro and small scale industries project
class 12.

Loss Of Small Scale Industries

 micro and small scale industries images

In small-scale industries manufacturing industries grow very fast due to the natural supply of raw materials
and huge demand from the public. In south India, the summit held where KSSIA (Karnataka small scale
industries association ) was also present in January 2019 had a motive to discuss the key issues and find a
solution to them at the same time provide the right environment.

The major small-scale industries in Tamil nadu and small-scale industries in Kerala are spinning and
weaving, coconut oil making, cashew nut processing clay products, etc. small scale ancillary industries in
Hyderabad have vast employment due to various multinational companies. Foreign investment is essential
as it creates a huge no. of ancillary small-scale industries and thereby creating work.

Some examples of small-scale industries are Agarbatti making chalk making Biodiesel production sugar
cany manufacturing wood making Rice mill, potato chips making, toys making, microbrewery, liquid soap
making, honey processing, slippers making, detergent powder making, fruit juice production plant, spices
making and chocolate making. These are some of the ideas from different industries and a variety of
products. There are many micro and small scale industries project in india taking place every minute.

ROLE OF INDIAN ECONOMY

EMPLOYMENT: SSIs are a major source of employment for developing countries like India. Because of
the limited technology and resource availability, they tend to use labor and manpower for their
production activities.

TOTAL PRODUCTION: these enterprises account for almost 40% of services in India. They are one of
the main reasons for the growth and strengthening of the economy.

MAKE IN INDIA: SSIs are the best examples of the make in India initiative. They focus on the mission to
manufacture in India and sell the products worldwide. This also helps create more demands from all
over the world.

EXPORT CONTRIBUTION: India’s expert industry majority relies on these small industries for their
growth and development nearly half of the goods that are exported from India are manufactured or
produced by these industries.

PUBLIC WELFARE: these industries have an opportunity to earn wealth and create employment. SSIs
are also important for the social growth and development of our country.

MAJOR CHALLENGES FACED

MSME as a whole has lots of potential for growth, innovation, contribution to the economy, and further job
creation. Unfortunately, these enterprises also face challenges that keep threatening their survival and
restrict their ability to grow. The key challenges faced by the sectors :

1. Inadequate market access: MSME in India has struggled to have access to wide markets for various
reasons like lack of adequate capital, inadequate use of marketing tools, and lack of awareness of the
larger economic environment. They have not been able to scale the business for want of access across
the domestic and the global market. The case continues to be so capping the growth potential.

2. Adoption of technology: Technology advancements can make or break their ability to adopt new
technologies can make them more competitive, cost-effective, and accessible to the market can be
easier. But day to day urgencies of these businesses hinder their long term perspective lack of
adoption will make them absolute and existence will be under threat.

3. Access to credit: Another significant constraint to the growth of MSMEs is the lack of quality credit
infrastructure. Overall credit infrastructure has various bottlenecks; long sanction process high rates,
collateral requirements delay in disbursements. The inability to access funds at a good rate and
promptly hinders growth.

4. Quality human Resources: One of the perennial issues faced by the MSME is their inability to attract
and devote quality human Resources to the growth agenda. Most of these MSMEs are often in the
stage of frequent fire fighting and shortage of manpower given that they are so thinly staffed. This
makes it very difficult for them to allocate these resources to work on long and midterm projects.

5. Lack of experience in using external experts a good consultant or a vendor often saves time and effort.
They help by way of bringing expertise and talent. However, most MSMEs largely depend on the
capabilities of the founders of the core team. The common build or buy dilemma makes them feel it is
better to do things in-house with their staff. Many a time house teams may not have the required
experience and knowledge the time, effort and costs escalate.

6. Over-reliance on existing clients: Some of these companies once having acquired some large or key
clients let the business run on autopilot. This can limit their business and ability to maximize their
potential. This also results in high concentration risk as overreliance can prove disastrous if the
existing clients were to move away. These businesses should always look to add clients across sizes,
geographies, industry wherever possible.

IMPACT OF COVID-19 ON MSME

The coronavirus crisis has spelled crisis across the world as several countries now focusing on curbing the
rapid spread of the virus while dealing with the economic ramifications. With governments around the world
imposing lockdown and social distancing becoming the new norm, the post-pandemic world will take up a
new norm, the post-pandemic world will make up for a new trading culture. On the home grounds, the
COVID-19 pandemic has battered all sectors of the economy with the micro small, and medium enterprises
(MSMEs) among the worst hit.

Considered the growth engine of the nation, the MSME sector accounts for 33.4% of India’s manufacturing
output, employing about 120 million and generating 45 % of India’s export. However, the pandemic outbreak
and the consequent stoppage of economic activities have triggered panic across the nation. With business
activities facing extinction risks. Although some business activities in the non-essential category were
resumed as the Lockdown extended, economic activity, except for agriculture and essential activities
remains halted.

The MSME sector, the majority of which relies on day to day business to stay afloat, continues to be the
most vulnerable owing to the lockdown and a decrease in demand, according to a survey covering 5000
MSMEs, conducted by all Indian manufacturing organizations (AIMO) has revealed that 71% of the business
weren’t able to pay salaries in March.

The survey further revealed that a whopping 43% would shut shop if panic extends beyond eight weeks it is
unfathomable that a vast number of MSMEs will be choked, perhaps to the point of permanent closure.

SURVIVAL OF MSME SECTOR THROUGH COVID-19

The MSME sector which forms the backbone of the Indian economy was hit due to the blows of
demonetization and GST implementation. However as the situation began to show signs of improvement,
the pandemic outbreak, and the consequent lockdown additionally, factors like credit deficit shortage of
working capital, and a decrease in demand for no-essential goods paint a grim picture.

Despite the fact, that the government is taking countermeasures to combat the loss incurred due to the
pandemic MSMEs are struggling for stability as sales and revenue remain at a halt. As per, all CEOS snap
polls on the impact of COVID-19 on the economy and industry 54% of company heads predict job losses in
their respective sectors post the lock-down whereas 45% foresee 15-30% layoffs.

Additionally, 33% of the firms are expecting a fall in revenue for FY21. For instance, auto manufacturers like
Maruti Suzuki said the production for April was ‘zero’ whereas, during February the company produced
1,40,933 cars. This is the plight across the manufacturing industries, including textiles, and chemicals
among others. What makes the situation worse is that with a decrease in demand and no possible rebound
in the future it may get increasingly challenging for most businesses to adhere to their obligations.

According to Trans Union civil, MSME loans worth Rs 2.3 lakh crores are at higher risk of becoming non-
performing further, the need for working capital will increase as payment cycles are likely to be extended,
generating cashflow issues. The situation is expected to prevail even if the government relaxes restrictions.

RECENT DEVELOPMENTS
The number of registered MSMEs in FY20 has increased by 18.49 percent to 23.15 lakh units from 21.21
lakh in FY19, according to government data. The growth rate, however, declined from 39.7 percent in the last
financial year which had increased from 15.17 lakh MSMEs registered in FY18 the data shared by the
MSMEs Minister Nitin Gadkari in the Rajya Sabha on Monday showed. Overall the number of registered
MSMEs in India in the past five years stood at 90.19 lakh. According to the MSME Ministry’s FY19 annual
report, the MSME sector is dominated by micro-enterprises.
India has 6.33 crore MSMEs out of which 6.30 crore-99.4 percent are micro-enterprises while 0.52 percent-
3.31 lakh are medium and 0.007 percent-5,000 are medium enterprises. While an increase in the registered
number of small businesses would help the government in measuring their contribution to the sector’s share
in the country’s GDP along with offering various tax investment benefits the current scenario of coronavirus
outbreaks might impact MSMEs hard given the disruption caused in the supply chain, warehousing, export
credit, etc.

Also the government’s decision to lockdown 75 districts where coronavirus cases have been reported might
prove to be a double whammy for MSMEs. These districts are based in Haryana, Himachal Pradesh, J&K,
Karnataka, Kerala, Andhra Pradesh, Delhi, Gujarat, UP, Telangana, Rajasthan, and more.

“The new restrictions on movement within the country will make it even harder. For sectors heavily
dependent on labor for manufacturing and production, especially in the largely unorganized MSME sector In
the coming months, these firms are likely to suffer a dual shock of supply and demand along with
constraints of capital as well as labor, “ Pushkar makeover, Co-Founder, Drip Capital told financial express
online. The company offers trade finance to small and medium-sized exporters.

RECENT INITIATIVES BY THE GOVERNMENT

The Government of India has developed key strategies to promote and support the MSME sector to promote
competitiveness this has resulted in a dramatic positive change in the sector. Key characteristics of Indian
MSMEs such a high contribution to domestic production, significant export earnings, low investment
requirements, operational flexibility, location wise mobility, capacities to develop appropriate indigenous
technology import substitution, contribution towards defense production, technology-oriented industries,
and competitiveness in domestic and export markets help them top opportunities in various sectors. Some
of the key announcements for MSMEs in the Union Budget, 2010-11 are :

Allocation for MSMEs to be increased from Rs 1,794 crores to Rs 2,400 crore for the year 2011

Corpus for microfinance Development and equity fund to be doubled to Rs 400 crore for 2011

Extension of existing interest subvention of 2 percent for one more year for exports covering
handicrafts, carpets, handlooms, and small and medium enterprises

Limit of turnover for presumptive taxation of small businesses enhanced to Rs 60 lakh

The increase in the extension of existing interest subvention of 2 percent to the small and medium
enterprises is a positive development by setting up a high-level council on MSME to monitor the
implementation of the recommendations of the prime minister’s high-level task force and increase the
allocation development of this sector.

BENEFITS OF GETTING Ss1/MSME REGISTERED IN INDIA

1. Loans without collateral: The government has introduced various initiatives for MSME/ss1 that allow
them to avail credit without collateral. One of the best MSME registration benefits, the initiative to
provide collateral-free loans is undertaken by G01 (Government of India) SIDBI ( small industries
development. Bank of India) and the ministry of micro, small and medium enterprise under the name
the credit guarantee trust fund scheme. This is by far the best MSME registration benefit for small
business owners.

2. Subsidy on patent Registration & Industrial promotion: Business enterprises registered under the
MSME act are given a hefty subsidy of 50 percent for patent registration. This can be availed by
sending an application to the respective ministry. In addition to this one of the great MSME, registration
benefits are getting a subsidy for industrial promotion suggested by the government.

3. Overdraft facility along with interest rate exemption: Businesses or enterprises registered as
MSME/ss1 under the MSME act are eligible to avail of a benefit of 1% on the overdraft as part of the
credit guarantee trust fund scheme. Although this can vary from bank to bank.
 4. Concession on electricity: One of the simplest MSME registration benefits, businesses registered under
the MSME act can avail of a concession on electricity bills. All they have to do is submit the bills along
with an application and a copy of the registered certificate by MSME.

5. Protection against delayed payments: Understanding the ambiguity lying with business revenues, the
government has extended a helping hand by providing a layer of protection against payments. As of
now the ministry of Micro, small and medium enterprises has given business owners and enterprises
have given business owners and enterprises to collect interest on payments delayed by the buyer.

6. ISO certification charges Reimbursement: A registered small or medium enterprise can claim the
expenses for reimbursement that were spent on Iso certification. The MSME industry is growing
significantly due to the constant support from the Indian government. This has further inspired
everyone, especially the youth, to explore their entrepreneurial side and start their venture. However, in
such cases, knowledge regarding MSME and MSME registration benefits is a must to know.

MSME ON THE INTERNET

• Facebook
• Twitter
• The Website
• Youtube

SHARE OF SMALL ENTERPRISES IN THE MARKET

MSMEs constitute over 90 percent of total enterprises in most economics and are credited with generating
high rates of employment and account for a major share of industrial production and exports in India too,
MSMEs play a pivotal role in the overall industrial economy of the country with its agility and dynamism, the
sector has shown admirable innovativeness and adaptability to survive the recent economic downturn and
recession.

Apart from providing support to large industries, MSMEs have played an important role in the development
of states in terms of employment generation. More than 55 % of these enterprises are located in six major
states of the country, namely, Utter Pradesh, Maharashtra, Tamil Nadu, West Bengal, Andhra Pradesh, and
Karnataka.

The MSME sector has slowly come into the limelight with increased focus from the government and other
government institutions corporate bodies and banks. Policy-based changes; investments in the sector;
globalization and India’s robust economic growth have opened up several latent business opportunities for
this sector.

India also enjoys favorable demographics the working-age population is likely to witness significant growth
this year leading to an increase in employment optimism level to 77% in 2011 as compared to 47% in 2019.

The survey also reveals that 93% of Indian business owners expected an increase in revenues in 2010 and
about 25% are positive about exports as compared to the global average of 22%.

With all these developments, there is a huge potential for MSME to enter the international markets and
create an upsurge in the employment opportunities for India it also provides an opportunity for the sector to
go international and market its made in India brand to explore more opportunities and enhance possibilities
globally.

NEWS AND STATISTICS ABOUT GOVERNMENT BUDGET

UPCOMING DEVELOPMENTS AND POST-PANDEMIC PLAN
Due to the lockdown, the Indian MSME sector suffered the most with its collective production decreasing by
more than 90%. This store comprises around 64 million enterprises and employs close to 120 million
people. It contributes 30% are women-led enterprises and close to 60% are based in rural areas. Hence its
importance to the Indian economy is quite significant and critical for bridging the growing rural-urban divide.

To help businesses get back on track, the prime minister of India announced a host of relief packages to
help India become ‘Atmanirbhar Bharat, or a self-reliant majority of the relief packages were targeted toward
MSMEs. This was either in the form of liquidity support loans or equity infusion support to help MSME
expand in size and capacity.

Further, the government also provided them with a level playing field by reserving government procurement
orders of up to Rs200 crores in value and commitment to clear invoices within 45 days. The pandemic
exposed issues with India’s fragmented supply chain. As a response, the government is in the process of
setting up an online platform that will have a robust listing of businesses and provide the means to directly
interact and transact without depending on intermediaries.

Other initiatives like the ONE NATION ONE CARD scheme and the Ajeevika app are in various stages of
implementation. This can help employers tap into the locally available labor workforce and restart
production activities that were hampered due to the migration of labor to their hometowns. The government
procurement of goods and services.

The MSMEs share in government procurement of goods and services. The MSMEs have benefitted with
orders worth Rs20,000 crore since the inception of Gem. Along with the PM’s call for a ‘self-reliant India,’ the
current face-off between India and China has led to an increased demand for locally manufactured goods,
unleashing new opportunities for Indian MSMEs. We believe MSME businesses that are willing to reimagine
their businesses and evolve with the changing times will be poised to leapfrog on the back of this unique
opportunity.

ACKNOWLEDGEMENT
I would like to express my special thanks of gratitude to my teacher as well as our principal of the school
who gave me the golden opportunity to do this wonderful micro and small scale industries project class 12 ,
which also helped me in doing a lot of research and I came to know about so many new things, I am thankful
to them. Secondly, I would also like to thank my parent and friends who helped me a lot In finalizing this
project within the limited time frame.

CERTIFICATE
This is to certify that of class, of —— has completed the project under my supervision. He has taken proper
care and shown almost sincerity in the completion of this micro and small scale industries project. I certify
that this project is up to my expectations and as per the guidelines issued by CBSE.

Teacher’s Signature

Examiner’s Signature

BIBLIOGRAPHY
Internet :

https://www.findevgateway.org/paper/2020/07/impact-covid-19-pandemic-micro-small-and-medium-
enterprises-msmes-kenya-reporthttps://en.m.wikipedia.org/wiki/ministry-of-micro-small-and-medium-
enterprises

https://www.toppr.com/guides/business-environment/scales-of-business/small-scale-industriws/

https://www.google.co.in/search?q=role+of+micro+=and+small+scale+industries&i.e.=UTF-
8&hl=en=in&client=safari

https://en.m.wikipedia.org/wiki/ministry-of-micro-small-and-medium-enterprises

https://www.toppr.com/guides/business-environment/scales-of-business/small-scale-industriws/

https://www.google.co.in/search?q=role+of+micro+=and+small+scale+industries&i.e.=UTF-
8&hl=en=in&client=safari

Teachers

Friends and family

 Books and CBSE guidelines

DOWNLOAD THE MICRO AND SMALL SCALE INDUSTRIES

PROJECT PDF

Password: hscprojects.com

Download

Click to rate this post!

[Total: 37 Average: 4.3]

Download Micro And Small Scale Industries Project Class 12 PDF

Share

Related Articles

Online Visiting Card Creator Digital Advanced Car Safety Protection Seamless Online Mobile Recharge
Elegance Project with an Airbag Notification System Portal Project
7 hours ago 8 hours ago 9 hours ago

The Advanced Motorized Solar

Scarecrow for Effective Repellent
Project
10 hours ago

One Comment
 Deepa says:
July 29, 2023 at 5:09 pm
Superb content
Reply

Leave a Reply

Your email address will not be published. Required fields are marked *

Name *

Email * Website

Notify me of follow-up comments by email.

Post Comment

About Last Modified Posts Newsletter Popular Categories

Check
CBSE Projects

HSC Projects
Subscribe to our mailing list to get MBA Projects
the new updates!
Engineering Projects
HscProjects publishes a wide range of HSC,
CBSE, engineering, MBA, and final year Blogs
 Enter your Email address
projects, designed to inspire creativity and
practical learning.
Subscribe

Area
class
2 day
© Copyright 2023, All Rights Reserved | Developed By CouchDeck Home Privacy Policy Disclaimer Contact Us