ONDC to add insurance component into the network soon: CEO, ONDC
“Manufacturing will play a major role in the structural transformation of the Indian economy and electronics will be an important sector driving this transition. We should enhance domestic value-add in electronics from 18-20% to 35-40% within the next five years. MSMEs will play a crucial role in this effort and have a huge role to play in electronics components manufacturing” said Mr S Krishnan, Secretary, Ministry of Electronics & Information Technology, Government of India, during his address at the CII MSME Growth Summit in New Delhi.
He emphasized the huge potential that digitisation holds to be a game changer for the MSME segment. Adoption of technology by smaller players through cluster-based facilities and retrofitting existing facilities are cost effective ways to go digital for this segment. Underling the importance of a digital economy, he said that MeitY is working to assess the size of digital economy in the country.
Dr Ishita Ganguli Tripathy, Additional Development Commissioner, Ministry of MSME, Government of India, highlighted that women’s participation in registered MSMEs needs to be increased from 39%. She emphasized leveraging the “7 As” to empower women: Availability, Accessibility, Affordability, Awareness, Accountability, Alliance, and Achievement. Further she added that educating MSMEs about regulatory requirements and ESG compliances is essential for their sustainable growth. In this government and large enterprises can play an important role to support MSMEs.
Addressing the summit, Mr T Koshy, Managing Director & CEO, Open Network for Digital Commerce (ONDC) said, “We need to help MSMEs to leverage the digital ecosystem. ONDC network providing a level playing field to small retailers and access to credit, access to market, and access to skill. CII can be a significant partner in onboarding small, unserved and under-served businesses and creating a holistic digital ecosystem. The network is also adding insurance as a new component which will be visible soon.”
Mr Sameer Gupta, Chairman, CII National MSME Council said “Empowering SMEs is more than just a business strategy; it is a pathway to economic vitality, job creation, and sustainable development. Innovative financing mechanisms can act as powerful catalysts, unlocking the untapped potential of SMEs and driving them towards remarkable growth and success.”
Mr M Ponnuswami, Co-Chairman, CII National MSME Council, said that the Government can play a pivotal role in driving technology adoption across MSMEs by providing financial incentives, framing supportive policies, and setting up an R&D fund for MSMEs.
Mr Vikas Varma, Chief Operating Officer, South Asia, Mastercard, said that the three key challenges constraining sustainable growth in the MSME sector are – ‘Get Paid, Get Capital, Get Digital’. Digitization can help MSMEs with access to formal credit, streamline untimely payments, and expand market access.
Mr Ashok Saigal, Co-Chairman, CII National MSME Council, stated that Government initiatives to enhance the Ease of Doing Business (EoDB) for MSMEs, along with the support of all stakeholders, will help achieve quality manufacturing and price competitiveness in India’s MSME sector.
