The state accounts for six.89 lakh registered enterprises comprising 15 per cent of the entire MSME sector current within the nation. Considering this, the disruption attributable to the COVID-19 is a significant concern, a press launch mentioned. The study would recommend speedy and long-term coverage initiatives to the federal government for the sector.
It is predicted to be accomplished in three-four weeks, the discharge mentioned. The study follows the stimulus packages introduced by the Finance Ministry to revive the sector. IIT-M would collaborate with ConsoTree, engaged in analysis and industry growth, Tamil Nadu Small and Tiny Industries Association and district-level bodies, together with the Coimbatore District Small Industries Association.
“The survival of these enterprises are at stake due to the pandemic. There is an urgent need to undertake research to analyse the challenges of the enterprises in detail,” the IIT’s affiliate professor of economics Subash Sasidharan was quoted as saying within the launch.
The phases of lockdown introduced by the federal government witnessed a income shortfall of greater than 60 per cent for the sector, creating an unprecedented disaster to the industry. The MSME sector confronted a extreme scarcity of working capital, together with delay in payments, scarcity of labour and disruption in provide chain, the discharge mentioned.