He further stated that India would also like to learn from other Asian and European countries about their experience in cluster development so that “we may improve our methods and imbibe the best practices in the world.”
Pointing out that Micro, Small & Medium Enterprises sector has been an integral part of the industrial resurgence of India, Shri Prasad said that the credit policy helped in linking the Indian MSMEs with almost 55000 bank branches and have given loan (outstanding) of over US$ 55 billion.
In 2006-07, advances to MSMEs from the public sector banks in India have registered a record growth of over 27 per cent. He further informed that the number of SMEs in India is estimated to be around 13 million while the estimated employment provided by this sector is over 31 million.
The export from the SME sector is estimated at US $ 50 billion in 2005-06. Further, the SME sector accounts for about 45 per cent of the manufacturing output and over 40 per cent of the national exports of the country.
Accounting for more than 95% of all enterprises in most of Asia-Europe Meeting (ASEM) countries, SMEs act as a main driving force of technological innovation, expanding employment and boosting economic growth.
ASEM members pay great attention to SMEs development. In the Hanoi Declaration on closer ASEM Economic Partnership adopted at Fifth ASEM Summit, ASEM members have strong political will to promote SMEs cooperation under the ASEM framework.
Against this background, China hosted the ASEM SMEs Ministerial Meeting, which aims at deepening dialogue among governmental agencies of ASEM members in charge of SMEs, discussing policies and measures for better adapting to globalisation, creating sound SMEs social service policy and supporting system, improving SMEs capacity of innovation and competitiveness,enhancing cooperation among SMEs in ASEM members, strengthening regional cooperation of industrial clusters, and expanding mutual investment areas.
Press Information Bureau Government of India
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