Presentation on theme: "Building SMEs to win Global Markets"— Presentation transcript:
1 Building SMEs to win Global Markets NSICBuilding SMEs to win Global Markets
2 Scenario of SMEs in India NSICScenario of SMEs in IndiaOver 12.8 million Small Industries.31 million people are employed by SMEs.Contribute 40% of total Industrial Production.Accounts for 33% of India’s Exports.Contribute around 35% of total Exports.Contributes 8% of GDP.
3 Major sectors of Exports by SMEs of India NSICMajor sectors of Exports by SMEs of IndiaFood ProcessingMarine ProductsAgricultural InputsChemical & PharmaceuticalsEngineering, Electrical & ElectronicsTextile & GarmentsContd…/-
4 Major sectors of Exports by SMEs of India NSICMajor sectors of Exports by SMEs of IndiaLeather & Leather GoodsBio EngineeringSports GoodsPlastic & Rubber Products
5 SME’s & their contribution in Indian Exports NSICSME’s & their contribution in Indian ExportsProduct% of SME in total exportsSports GoodsReadymade GarmentsWoolen Garments, KnitwearProcessed FoodMarine ProductsLeather ProductsPlastic ProductsCosmetic, Basic Chemicals & Pharmaceutical productsEngineering Goods1009035652980455530
6 Effect of Globalization and Liberalization on SMEs in India NSICEffect of Globalization and Liberalization on SMEs in IndiaStiff competition both Quality wise and Price wise.Unprecedented opportunities with serious challenges.Emergence of new target markets.Opportunities to exploit technological advantages.Technological Obsolescence.
7 WTO norms and Indian SMEs NSICWTO norms and Indian SMEsEmergence of Global Village.Barriers free International Trade.Global Competition.Regulation of standards of quality & ownership (TPRIPS).Regulation of Investment Flow (TRIMS).Emergence of Service Sector.Erosion of restrictions of Entry.
8 Institutional Support and Government Policies for Indian SMEs NSICInstitutional Support and Government Policies for Indian SMEsFormulation of MSMED Act 2006Establishment of specific funds for SME’s promotion and development.Setting up of National Manufacturing Competitiveness Council (NMCC).Creating awareness about intellectual property rights for SMEs benefits.Contd…/
9 Institutional Support and Government Policies for Indian SMEs NSICInstitutional Support and Government Policies for Indian SMEsMarket Assistance and Export Promotion Support.Support for Credit Rating of SMEs.Benefit to SMEs under International Cooperation Scheme.Liberalizing FDI for SMEs.Setting up of Intellectual Property Advisory Council.
10 How to be competitive in the Global Market NSICHow to be competitive in the Global MarketAdoption to technological changes / Technology InfusionVertical Integration of SMEs with Global TNC’s.Creation of linkages, network with Foreign Buyers.Contd…/-
11 How to be competitive in the Global Market NSICHow to be competitive in the Global MarketAdoption to Quality Management Standards & Quality Technology Tools.Horizontal Cooperation through Clustering & Networking.Lean Manufacturing process.
12 Conclusion NSIC SME’s the largest business community. Post WTO – an opportunity for expanded International growth.To become global player SMEs need to Adopt, Re-vitalize and Reposition.Adoption of e.commerce as an important tool.Contd…/-
13 NSICConclusionAccess to markets and technologies in today’s globalized economy.Need for strategic approach for converting globalization challenges into opportunities.Identification of factors affecting international competitiveness in terms of quality and cost.SMEs to reach International market potential for their goods and services.