Current Affairs PDF

Nitin Gadkari Launched Portal With New Classification and Registration of MSMEs : ‘UdayamRegistration’

AffairsCloud YouTube Channel - Click Here

AffairsCloud APP Click Here

CONSOLIDATED NOTIFICATION FOR CLASSIFICATION AND REGISTRATIONMinister of Micro, Small and Medium Enterprises (MSME) Nitin Jairam Gadkari released the consolidated notification in the form of guidelines for classification and registration of MSMEs, which are facing several challenges due to the COVID-19 impact.The new process of Classification and Registration of MSMEs will be known as ‘Udyam Registration’.The MSME Ministry launched a new portal for Udyam Registration-

The steps and strategies involved in this notification are extremely simple resulting in Ease of Doing Business.

  • As per the notification, in exercising of the powers conferred by sub-section (1) read with sub-section (9) of section 7 and sub-section (2) read with sub-section (3) of section 8, of the Micro, Small and Medium Enterprises Development Act, 2006, here an enterprise will be called in the name  of ‘Udyam’, and accordingly, the registration process of any enterprise will be known as Udyam Registration w.e.f July 1, 2020.
  • This notification would supersede all earlier notifications with regard to classification or registration of MSMEs.

Udyam Registration; Establishment of Single Window System

Udyam Registration is to be done online (through portal) on the basis of Aadhaar number and other details can be given on self-declaration basis without any requirement of uploading or submitting any papers .

  • For the case, if entrepreneurs are not able to file the Registration or if they do not have a valid Aadhaar Number, then they can approach the District Industry Centres (DICs) who have been made responsible for facilitating the entrepreneurs at the district level. This process is in the form of Single Window System, a facilitation mechanism established by ministry at the district level and regional level. 
  • Ministry of Micro, Small & Medium Enterprises’ recent initiative of Champions Control Rooms across the country have been made legally responsible for facilitating Entrepreneurs in registration and even thereafter.
  • No enterprise will be allowed to file more than one Udyam Registration. Any number of activities including manufacturing or service or both may be specified or added under one Registration.
  • The MSMEs that have EM-II or UAM registration or any other registration issued by any authority under the Ministry of MSME, will also have to re-register themselves on the portal.

Udyam classification:

From now onwards, the basic criteria for MSME classification is investment in plant, machinery and equipment and turnover. As per the latest classification:

  • Micro enterprises– Investments not exceeding Rs one crore and turnover of Rs 5 crore.
  • Small enterprises– Investment above Rs.1 Crore & up to Rs 10 crore and turnover of up to Rs 50.
  • Medium enterprises – Investments above Rs.10 Crore & not exceeding Rs 50 crore and turnover of Rs 250 crore.

It should be noted that as per the notification, export of goods or services or both would be excluded while calculating the turnover of any enterprise.

Click Here for Official notification

About Ministry of Micro, Small & Medium Enterprises:
Nitin Gadkari constituency– Nagpur, Maharashtra
Minister of State (MoS)– Pratap Chandra Sarangi