Complete List of Businesses That Fall Under MSME Sector

The Micro, Small & Medium Enterprises (MSME) sector forms the backbone of any thriving economy. These tiny giants contribute significantly to GDP, employment generation, and regional development. But with such an extensive list of MSME businesses under the MSME umbrella, it can be tricky to understand which ones qualify. Don’t worry, this guide will unlock the doors to the vibrant world of MSME, providing you with a comprehensive MSME list of businesses that flourish within this dynamic ecosystem.

Which sectors fall under MSME?

As per the government’s circular, MSME businesses fall under two main sectors

Manufacturing Sector

These are businesses that are engaged in producing finished goods from raw materials. They contribute a whopping 45% to the total manufacturing output and 40% of total exports. 

Servicing Sector

These businesses constitute a larger portion in comparison to the manufacturing sector as per the information sourced from UDYAM portal. There are about 8.65 lakh enterprises registered under the service category and 5.37 lakhs in the manufacturing sector.

Manufacturing:

1. Textile and garments: From traditional handlooms to modern garment factories, the textile and garment industry is a major player in the MSME sector.
2. Food processing: From preserving fruits and vegetables to baking delicious treats, food processing businesses ensure food security and culinary delights.
3. Leather products: From bags and wallets to shoes and belts, leather products are a popular choice for consumers, and MSME businesses play a key role in their production.
4. Engineering and fabrication: From small workshops to medium-sized factories, engineering and fabrication businesses create a wide range of metal and plastic products.
5. Pharmaceuticals and chemicals: From manufacturing basic medicines to producing essential chemicals, the pharmaceutical and chemical industry is crucial for healthcare and various other industries.

Services:

• Information technology and software: From developing mobile apps to providing IT solutions, the IT and software industry is a rapidly growing sector with numerous MSME businesses.
• Tourism and hospitality: From cozy homestays to local travel agencies, the tourism and hospitality industry thrives on the dedication of MSME businesses.
• Education and healthcare: From preschools to clinics, MSME businesses play a vital role in providing essential education and healthcare services to communities.
• Retail and wholesale trade: From local grocery stores to online fashion boutiques, retail and wholesale trade businesses bring convenience and variety to daily life.
• Professional services: From accounting firms to legal consultancies, professional service businesses provide valuable expertise to individuals and organizations.

Other Sectors:

1. Agriculture and allied activities: From organic farming to poultry farming, MSME businesses contribute significantly to the agricultural sector.
2. Transportation and logistics: From local delivery services to small trucking companies, the transportation and logistics sector relies on the agility of MSME businesses.
3. Construction and real estate: From small construction firms to local property developers, the construction and real estate sector benefits from the diverse range of MSME businesses.

Remember, this is not an exhaustive list of MSME businesses! The MSME sector encompasses a vast and ever-evolving landscape, with new and innovative ventures emerging all the time. The key takeaway is that if your business falls within the investment and turnover parameters, and contributes to the overall economic development, you might just be an MSME in the making!

What are the List of businesses that fall under MSME?

The list of businesses that fall under MSME are: 

1. Leather products
2. Moulding of items
3. Products associated with natural fragrances, and tastes
4. Consulting, management and placement services
5. Educational Training Institutes
6. Energy-saving pump manufacturers
7. Photocopying Agencies/ Centres
8. Crèches and beauty salons.
9. Garages and auto repair services.
10. X-ray machine manufacturers
11. Rental and leasing of equipment
12. Photographic lab
13. Maintenance of farm machinery for agriculture
14. Back-office operations
15. Local and International calling booths
16. Low-capital retail trade enterprise
17. Dish cable TV with multiple channels Using a dish antenna
18. Dry cleaning and laundry
19. Hardened metal ware
20. Electronic components for automobiles
21. Electronic monitoring and security
22. Engineering Mechanics
23. Engineering and manufacturing
24. VCRs, recorders, radios, transformers, motors, and watches
25. Plants' micronutrients
26. Ayurvedic items and active pharmaceutical components
27. Products made from Khadi and Hosiery
28. Businesses involved in crafting activities
29. Paper printing and other paper-based products
30. Coir Products
31. Furniture goods
32. Farming of poultry
33. bicycle components
34. Items of stationery
35. Contact Centre
36. Products made of rubber
37. IT services
38. Industry testing laboratories
39. Automobile companies
40. Ceramics and glass products
41. Retail Operations

What is the List of businesses that do not fall under MSME?

The list of businesses that do not fall under MSME are: 

1. Casinos or Gambling businesses and ventures
2. Businesses involved in wood harvesting and forestry
3. Fishing and aquaculture-based businesses
4. Trade and maintenance of motorbikes 
5. Retail trade apart from those of vehicles and motorcycles
6. Domestic staffing activities in households
7. Private household goods and services production
8. Extraterritorial groups and bodies' operations

Why join the MSME revolution?

Beyond the entrepreneurial freedom, MSMEs enjoy a wide range of benefits, including:

• Easier access to credit: Government schemes and dedicated financial institutions offer preferential loan terms and interest rates for MSMEs.
• Tax benefits: Various tax concessions and exemptions are available to boost MSME growth.
• Infrastructure support: The government provides subsidized industrial sheds, technology parks, and skill development programs to empower MSMEs.
• Public procurement opportunities: MSMEs are given reservations in government tenders, opening doors to larger contracts.

Conclusion

In conclusion, the MSME sector is a fertile ground for your dreams to take root and flourish. With the right vision, passion, and the government's supportive hand, you can build a thriving enterprise and contribute to India's economic powerhouse.

FAQs

Q1. How to get a list of MSME?

Ans. The list of all the businesses that fall and do not fall under the MSME category can be obtained from the official website of MSME which is https://udyamregistration.gov.in/Government-India/Ministry-MSME-registration.htm

Q2. What are some examples of businesses that fall under MSME?

Ans. Some examples of businesses that are classified under MSME include those dealing with manufacturing such as leather goods, farming equipment, bicycle components, engineering among others. There are also enterprises dealing with services of retail, drycleaning, beauty parlours, creches etc. 

Q3. Can a startup be classified as an MSME?

Ans. Yes a startup can be classified as an MSME if it comes under any of the 41 categories mentioned in the government circular of MSMEs