Growth and Performance of Small Scale Industries/Micro Small and Medium Enterprises in Kerala-Region Wise Analysis

Abstract

Industrial development is inevitable in the economic development of a nation. Employment generation to satisfy the requirement of educated youth is one of the challenges faced by the Government of India. Industrialization is one among the best way to create employment opportunity to fulfil the requirement of youth. Government of India has undertaken various policy measures to promote industrialisation in the country. Incentives and subsidies has been provided, changing the policies periodically inorder to motivate entrepreneurs. The Government support is essential to stimulate entrepreneurial spirit. This induce many people to enter in the field of entrepreneurship especially in Micro, Small and Medium Enterprises. So Micro Small and Medium enterprises (MSME) is considered as a vibrant and active sector in Indian economy as compared to large scale enterprises. Small scale industries are more attracted in the context of India because it requires less capital, ensure balanced regional development and also create employment opportunity. Small scale industries also work as ancillary unit of large scale industries. Except large scale industry, micro, small and medium enterprises are now under Micro, Small and Medium Development Act 2006.MSME sector shows consistent growth in terms of number of entrepreneurs memorandum filed every year. Kerala has been included in top ten in terms of number of entrepreneurs memorandum filed. This paper analyse the region wise growth and performance of small scale industries/MSME in Kerala by considering the variables number of units, employment, goods and services produced and investment.