Micro, Small and Medium Enterprises (MSME) sector has emerged as a highly vibrant and dynamic sector of the Indian economy over the last five decades. MSMEs play crucial role in providing large employment opportunities at comparatively lower capital cost than large industries.
It also helps in industrialization of rural & backward areas, thereby, reducing regional imbalances, assuring more equitable distribution of national income and wealth. MSMEs are complementary to large industries as ancillary units and this sector contributes enormously to the socio-economic development of the country. MSMEs consist of 36 million units, as of today, provides employment to over 80 million persons. The Sector through more than 6,000 products contributes about 8% to GDP besides 45% to the total manufacturing output and 40% to the exports from the country.
The MSME sector has the potential to spread industrial growth across the country and can be a major partner in the process of inclusive growth Legacy of MSME Sector - Khadi and Village Industries (KVI), Coir Industry as agro-based traditional industry
On India's 68th Independence Day, PM Modi urged the industry, especially the MSMEs of India, to manufacture goods in the country with "zero defects" and to ensure that the goods have "zero effect" on the environment.
To enable the advancement of Indian industry to a position of eminence in the global marketplace and leverage India’s emergence as the world’s supplier through the ‘Made in India’ mark.
While the Department of Industrial Policy and Promotion took the responsibility of creating an atmosphere of Ease of doing business, Quality Council of India(QCI) along with the M/o MSME started exploring the idea of creating a holistic scheme to engage the MSME sector, long considered as a propellant for sustained growth, by improving their quality and competitiveness.
The ecosystem around ZED model is calibrated to make aware, assess, rate, counsel, handhold, re-assess & certify MSMEs and ensure that they rise up the ZED ladder, thus enhancing their competitiveness in the global marketplace and making them an important cog in the wheel in the “MAKE-IN-INDIA” campaign. It also, as a consequence, provides career opportunities for the youth in India.