The ecommerce industry is expected to be the key driver for unleashing the potential of Indian micro, small, and medium enterprises (MSMEs), according to industry experts. The recent 'national workshop on growth of retail and ecommerce in India' hosted by FISME highlighted the need to identify policy obstacles that prevent small businesses and retailers from joining the digital retail and ecommerce sector. Here are some expert insights on the potential of ecommerce and online selling for MSMEs in India:
The Role of Ecommerce in Unleashing the Potential of MSMEs
Rajneesh, Additional Secretary and DC, MSME Ministry, emphasized that ecommerce is a disruptive force for unleashing the potential of MSMEs in India. He stated that relying on traditional ways of doing business alone would not help India become a $5 trillion or $10 trillion economy. The government is aware of the relevance and importance of ecommerce, and there is a need to integrate offline and online retail channels.
Benefits of Online Selling
Anil Bhardwaj, Secretary General, FISME, highlighted the urgent need to educate MSMEs on the benefits of online selling. He mentioned that online selling provides access to a wider audience and nuanced market intelligence. However, Bhardwaj added that India needs to establish a level-playing field between online and offline businesses and limit the additional compliance burden imposed on online sellers.
Key Recommendations for Empowering MSMEs
The consultation identified some key recommendations, including GST parity, MSME empowerment, enabling ecommerce policy, and driving awareness. It is crucial to drive awareness about the benefits of ecommerce and online selling for MSMEs to help them leverage the opportunities presented by the digital marketplace.
Final Thoughts
The ecommerce industry is poised for growth and is expected to unlock the potential of MSMEs in India. However, there is a need to address the challenges faced by small businesses and retailers in joining the digital retail and ecommerce sector. The government and industry bodies need to work together to create an enabling environment that empowers MSMEs and ensures that they are not left behind in the digital age.