With over 33,000 jobs generated in the small and medium enterprises (SMEs) between April 2011 and February 15, 2012, Andhra Pradesh (AP) has emerged as the second leading state to facilitate growth in the SME sector, according to the apex industry body The Associated Chambers of Commerce and Industry of India (Assocham).
Utilising the margin subsidy money worth Rs 48.9 crore, AP assisted about 1,459 SME units across the state, Assocham, which conducted a state-wise analysis of the number of SMEs assisted, margin money utilised and estimated employment generation, stated in a release on Tuesday.
According to the Assocham study, West Bengal emerged as a front-runner state by generating over 43,000 job opportunities and assisting about 5,290 SME utilising about Rs 52.49 crore of the margin money subsidy.
“Over 325,000 jobs were generated in the SME sector by providing assistance to a total of 35,607 SME units across India utilising margin money subsidy worth about Rs 700 crore during the 11-month period,” secretary general of Assocham, DS Rawat, said.
While Uttar Pradesh ranked third with the generation of 30,880 jobs, Tamil Nadu emerged as the fourth leading state by creating about 27,138 jobs. The state of Odisha ranked fifth with the creation of 21,010 employment opportunities. Assam, Karnataka and Bihar created about 17,944, 15,442 and 15,423 jobs respectively, Assocham stated.
“The SME sector accounts for about 45 per cent of India’s manufacturing output and 40 per cent of the total exports of the country,” Rawat said, adding the sector was estimated to employ about 59 million persons in over 26 million units, which produce over 6,000 products ranging from traditional to high-tech items.