Only 2% unincorporated units received govt aid, says survey

Barely 2 per cent unincorporated non-agricultural enterprises received financial assistance from the government during July 2015 to June 2016, an official survey said.

It also found that just one per cent of these units received assistance from the government in the form of financial loans, stated the National Sample Survey report on Operational Characteristics of Unincorporated Non-Agricultural Enterprises (Excluding Construction) in India.

It further stated in its findings that the percentage of these enterprises did not receive any assistance from government is marginally higher in urban areas (99%) than in rural areas (98%).

At all India level, it found that 5 per cent of the enterprises reported having used computer and 4 per cent of those used Internet for entrepreneurial activities during the previous 365 days/year of their operation.

About 46 per cent of the unincorporated non-agricultural enterprises did not have toilet facility at workplace. This percentage was higher in rural areas (55.1%) than in urban areas (36.7%).

This report is based on the Survey on Unincorporated Non-Agricultural Enterprises (Excluding Construction) conducted in the 73rd round of NSS during July 2015 to June 2016.

The survey, covered a sample of 290,113 enterprises (143,179 enterprises from 8488 villages and 146,934 enterprises from 7860 urban blocks).

During 2015-16, 6.34 crore unincorporated non-agricultural enterprises excluding construction were estimated at the all-India level. Out of them, 31 per cent enterprises were engaged in manufacturing, 36 per cent enterprises were in trading and 33 per cent enterprises were in service sector.

Of the total number of unincorporated non-agricultural enterprises estimated, about 51 per cent were located in rural areas.

It stated that about 66 per cent of unincorporated non-agricultural enterprises were owned by persons belonging to Scheduled Tribes (ST), Scheduled Castes (SC) and Other Backward Classes (OBC).

This proportion was more in case of OAEs (69%) than establishments (52%). Again, more OAEs ( own account enterprises) in the rural areas (75%) were run by entrepreneurs from the backward sections than OAEs in urban areas (62%).