MSMEs Are Backbone Of Indian Economy: Chief Minister Dr. Yadav

Chief Minister Dr. Mohan Yadav has said that the state government is promoting entrepreneurship to make the youth self-reliant. He said that this year is being observed as the Year of Investment and Employment. Investing in youth, their dreams, and their future is the top priority, Chief Minister Dr. Yadav said. He highlighted that the Udyam Kranti Yojana has encouraged thousands of youth to start their own businesses with banking support. Youth are no longer job seekers but are becoming job creators, he added.

Chief Minister Dr. Yadav said that MSMEs are the backbone of the Indian economy. Youth strengthen the nation’s treasury, create employment opportunities, and strengthen the foundation of Atmanirbhar Bharat. Chief Minister Dr Yadav said that before Diwali, the light of New India is spreading all around. This is a Diwali celebration for a new India – the festival of confidence and self-respect, he added.

Chief Minister Dr. Yadav was addressing a conference of micro, small, and medium entrepreneurs at Bhopal on Monday.

Chief Minister said that ₹197 crore incentives have been distributed to 700 MSME units, and ₹1 crore has been distributed to 63 start-ups. Land allotment letters were issued to 237 MSME entrepreneurs to ease industrial establishment. Under Mukhyamantri Udyam Kranti Yojana, over ₹347 crore bank loans have been given to 5,084 youth. Chief Minister personally interacted with entrepreneurs, sharing government efforts to boost the MSME sector.

Chief Minister Dr. Yadav said that around 80 crore people in India are associated with MSMEs, which are not just businesses but the foundation of hope, dignity, and self-reliance for millions of families. With over 6 crore MSMEs in India, they contribute about 30% to the GDP and account for 45% of exports. He said that local products like Maheshwari sarees, Sehore’s Sharbati wheat, Raisen’s Basmati rice, Bhopal’s zari work, Jhabua dolls, and Dindori’s millets have the potential to become international brands.

Chief Minister Dr. Yadav said that Startup Policy 2025 offers ₹10,000/month support for a year to approved startups. Over 4 lakh MSME manufacturing units are currently registered in MP.

Over 6,000 startups are active in the state, 47% owned by women. As many as 102 incubation centers help youth develop ideas into viable businesses. MP has earned a "Leader" rank in Startup India Rankings 2022. Over 800 industrial plots have been allotted in 2025, and 19 new industrial areas are being created, and 10 more are proposed. Loans of up to ₹50 lakh without collateral are available under the Udyam Kranti Yojana.

Simplified digital return filing and GST have improved the ease of doing business. Inspired by PM Shri Modi’s "Vocal for Local", Dr. Yadav urged people to turn the slogan into an economic independence movement. Self-reliant India will be built by small businesses.

Minister for MSME Shri Chaitanya Kumar Kashyap praised Dr. Yadav’s leadership and highlighted that the ₹200 crore incentive has been distributed up to August 2025. First time ever, a 50% subsidy has been given for exporters in a landlocked state. Investment summits have been held as far as Guwahati. As many as 1,080 plots have been allotted to entrepreneurs this year. The state aims to set up industrial units in every block. Approved startups get ₹10,000/month for 1 year.  

Principal Secretary Industry Shri Raghvendra Kumar Singh informed that 18 new industry-related policies launched in February 2025 are the most beneficial. MSMEs now receive a flat 50% incentive for investments up to ₹83 crore. A sum of ₹2,162 crore financial assistance has been given to over 2,500 units in 2024-25.

As many as 820 units have received land allotments in the past 6 years; with 237 more today, the total now exceeds 1,100 units. Of 6,000 startups in MP, 2,800 are run by women. Under Startup Policy 2025, 83 startups have received assistance of over ₹1 crore.

Chief Minister Dr. Yadav also interacted via video conferencing with MSME entrepreneurs from Balaghat and Tikamgarh districts. The conference was attended by Commissioner Shri Dilip Kumar, senior officials, entrepreneurs, startup representatives, and members of industrial organizations.