We have a large number of examples where small and medium enterprises have risen to great heights. Take for example of Infosys, Biocon etc. Today our country needs entrepreneurs who with knowledge and creative business ideas can help in strengthening the economy of the country.
The Government of India initiated the ‘Make in India’ Campaign in the year 2014. Main objective of this campaign has been to encourage the manufacturing of different products in India itself.
‘Make in India’ campaign targets different sectors including information technology (IT), automobile, consumer electronics, etc. With this campaign, GOI hopes to attract foreign manufacturers, technologies and expertise to India.
The rich demographics and population of able young workers are the prime motivation behind ’Make in India’ initiative.
Let us check if this campaign has been a boon or a blight for small and medium enterprises.
Promotional strategy of the campaign has been quite effective in spreading the awareness among SMEs and entrepreneurs. Various schemes for SMEs have always been in place. But with ‘Make in India,’ a lot more SMEs are now interested in being a part of it or benefiting from the initiative. It also increased the interest of the SMEs in the earlier programmes.
Focus on Different Industries
This campaign is not limited to just a few industries. The focus is on other industries like automobiles, industrial equipment, pharmaceuticals, textiles, food processing, chemicals etc. The campaign has given a boost to the ancillary industry.
To make India, a manufacturing hub importance has been given to cluster development.
Support from Government Sector
It has been made compulsory that at least 20% of the procurement by Central government departments and PSU’s has to be from SMEs. This helps the SMEs in having government as their customers. This gives them weightage in the industry and surety of customer base.
Good for the Service Sector
Since there is a boost to the manufacturing sector naturally, there will be a requirement in the service sector as well. With more manufacturing, there will be more requirement in logistics and other service industry segments.
The benefits are far more as compared to the drawbacks. There are chances that only a few SMEs might be able to get huge success. There may also be some taxation and financing issues for the SMEs. There is a need for the government to make financing better for these SMEs better.
This campaign aims at the growth of the manufacturing sector which will lead to more employment in the country. The campaign aims at an export-oriented growth model. It aims at improving the buying power of the common man. It aims at stopping expert brains from migrating to other countries. Overall it is a very good initiative by the Indian government which the SMEs must use it in the best possible way. In case they need small finances to support their business ideas then they can always opt for small business loans.
How to Get an SME Loan?
When we talk about business loans, many SMEs feel that it will be a tough task which involves a lot of documentation. But if you approach reputed and good financial institution, then it can be very easy. There are some financial institutes which provide small business loans without much paperwork. There is no need of giving security, and you do not even have to visit the branch. You can apply for the loan online, and you get the advantage of flexible tenure.
All you need to provide is some basic documents, and you will get your loan approval online. You need to provide your PAN number, Aadhar Number, current statement of account for one year and a valid business proof. Please note that your business has to be at least one year old.
The make in India campaign focuses on giving a big boost to the SMEs in India. One can always opt for some small loans to get the finances that are required to improve the overall condition of the company.