MSME R&D and Technology Upgradation for Global Competitiveness
Source:PIB ↗

हे का महत्त्वाचे आहे
The article highlights policy directions for the MSME sector, emphasizing R&D and technology upgradation as key drivers for manufacturing growth, defence indigenisation, and overall economic self-reliance.
सारांश
Raksha Mantri urged MSMEs to prioritize R&D, technology upgradation, and strategic partnerships to scale up globally, contribute significantly to economic growth, and aid India's self-reliance in the defence sector toward achieving Viksit Bharat.
मुख्य मुद्दे
- Raksha Mantri emphasized that MSMEs must invest heavily in Research and Development (R&D) and technology upgradation to transition into global enterprises.
- Stressed the importance of fostering public-private partnerships and international collaborations to achieve the goal of 'Viksit Bharat' (Developed India).
- Highlighted the critical role of MSMEs in strengthening India's defence industrial base and achieving self-reliance (Aatmanirbharta) in manufacturing.
महत्त्वाच्या संज्ञा
Viksit Bharat
Viksit Bharat 2047 is the Government of India's long-term vision and roadmap to transform India into a fully developed, self-reliant, high-income nation by the centenary of its independence in 2047.
UPSC context
UPSC GS Paper III (Economy - Growth, Development, and Mobilization of Resources); tests knowledge of India's long-term developmental goals and economic strategy.
MSMEs
Micro, Small and Medium Enterprises (MSMEs) are business entities engaged in manufacturing or service provision, classified by investment and turnover ceilings; they form the backbone of India's economy, manufacturing output, and employment.
UPSC context
UPSC GS Paper III (Indian Economy & Inclusive Growth); tests the role of MSMEs in employment generation, manufacturing, and industrial indigenisation.
Ministry of Defence
The Ministry of Defence is the apex central government body charged with coordinating and executing policy regarding national security, the armed forces, and domestic defence production and indigenisation.
UPSC context
UPSC GS Paper II/III (Government Policies & Internal Security); tests policy frameworks governing defence procurement, indigenisation, and national security.
पूर्वपरीक्षा सापळा
MSME classification is based exclusively on investment in plant and machinery or equipment.
MSMEs are not classified solely on investment anymore; the turnover criterion was added in 2020 to create a composite measure.
संबंधित स्थिर संकल्पना
What are the classification criteria for Micro, Small, and Medium Enterprises (MSMEs) in India?
- Micro Limits: Micro enterprise investment does not exceed Rs 1 crore and annual turnover does not exceed Rs 5 crore.
- Small Limits: Small enterprise investment does not exceed Rs 10 crore and annual turnover does not exceed Rs 50 crore.
- Medium Limits: Medium enterprise investment does not exceed Rs 50 crore and annual turnover does not exceed Rs 250 crore.
What are the key policy instruments used to promote domestic defence indigenisation in India?
- Import Bans: Positive Indigenisation Lists (PIL) notify items that cannot be imported by the armed forces.
- Innovation Support: iDEX (Innovations for Defence Excellence) engages startups and MSMEs for technology development.
- Strategic Partnerships: Strategic Partnership Model facilitates long-term tie-ups between Indian private firms and global OEMs.
आंतर-विषय नमुने
Defence Indigenisation + MSME Manufacturing Growth
Defence indigenisation relies on MSME technology upgradation, mirroring how Make in India targets high-value manufacturing across civilian and strategic dual-use sectors.
Defence PPPs + Global Value Chains
Public-private partnerships in defence tech connect industrial policy with export-led growth, echoing past shifts toward global value chain integration.
MSME definitions, Defence acquisition procedure (DAC), and Aatmanirbhar Bharat fund mechanisms are high-yield static/dynamic crossover areas.
संबंधित PYQ · 2
संबंधित PYQ · 2
- 2023MainsGS3
Faster economic growth requires increased share of the manufacturing sector in GDP, particularly of MSMEs. Comment on the present policies of the Government in this regard.
- 2014MainsGS3
Foreign Direct Investment (FDI) in the defence sector is now set to be liberalized. What influence this is expected to have on Indian defence and economy in the short and long run?