Overview
SIDBI’s MSME Samvaad highlighted that micro, small and medium enterprises (MSMEs) can achieve scalable growth by pursuing export markets and by leveraging the Government e‑Marketplace (GeM) to access institutional buyers across India.
Export Readiness
Exporting requires more than finding overseas buyers; MSMEs must ensure product quality, consistency, proper documentation, regulatory compliance and on‑time delivery to build trust. Digital tools such as the Import‑Export Code (IEC), GST registration, and platforms like ICEGATE and the DGFT portal facilitate smoother trade. Free Trade Agreements (FTAs) can grant reduced or zero customs duties for eligible markets, subject to the applicable rules. The Faridabad‑based Alpine Group illustrated this path, having moved from domestic leather‑accessories manufacturing to international markets, emphasizing that a competitive product must be supported by dependable systems and consistent execution.
GeM Opportunities
GeM connects MSMEs with government procurement. More than 12 lakh micro and small enterprises are registered on the platform, and public procurement for FY 2025‑26 is projected to exceed ₹5 lakh crore. MSMEs account for 68 % of the total orders and approximately 45 % of the procurement value. Registration alone is insufficient; firms must identify appropriate categories, understand buyer specifications, maintain required documentation, and verify eligibility before submitting bids.
Financial Discipline and Pricing
When bidding on GeM, MSMEs are urged to factor in production, overhead, logistics and delivery costs to determine a sustainable lowest price. Competing solely on price can erode profitability; sustainable growth stems from accurate cost knowledge and clear value proposition.
Strategic Imperatives
The discussion concluded that the expanding opportunity—whether through global demand via exports or institutional demand via GeM—requires more than a good product. Strong internal processes, compliance, technology adoption, disciplined financial planning and reliable execution are essential to convert these opportunities into lasting growth.
Additional Resources
Full conversations are available on SIDBI MSME Samvaad Episode 11 and Episode 12 (YouTube links provided).
Disclaimer
The press release is issued under an arrangement with NRDPL; PTI assumes no editorial responsibility.