India concludes MoU on MSME Cooperation with IORA

India concludes MoU on MSME Cooperation with Indian Ocean Rim Association (IORA) Member Countries  IORA Special Fund Created to Carry Out Activities Under this MoU . Ministry of MSME, Government of India finalised MoU on MSME Cooperation with Indian Ocean Rim Association (IORA) member countries. The MoU will take effect for each party upon signature by 5 countries. The

MoU finalized would be signed soon at an appropriate forum.

The focus areas of the Memorandum of Understandings (MoUs) are:

1.      To finalise linkages and alliances amongst MSMEs organizations, associations and various institutions engaged in MSME development in their countries.

2.      Exchange best practices, policies and programs for MSME development

3.      Exchange greater involvement of MSMEs in the global supply chain, increase their market access.

4.      Promote youth and women’s economic empowerment.

5.      Encourage synergies with the IORA forum.

IORA Secretariat at Mauritius will be the coordinating agency for the implementation of the MoU. IORA special fund created for the member countries to use it for to carrying out activities envisaged under this MoU.

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Representatives of IORA member countries

Background:

Workshop on MSME Cooperation amongst IORA member countries was organized in pursuance of the commitment made by India in the Economic Business Conference - II (EBC- II) held in Dubai in April, 2016. The Ministry of MSME, Government of India in consultation with the Ministry of External Affairs, Government of India and IORA Secretariat organized this Workshop, wherein 29 representatives from 14 member countries, viz., Mozambique, Madagascar, Sri Lanka, South Africa, Comoros, Kenya, Seychelles, Malaysia, Mauritius, Singapore, Australia, UAE and Yemen participated.

MoU for MSME Cooperation amongst Indian Ocean Rim Association member countries will provide an appropriate platform to IORA MSMEs to interact with each other, participate in trade fairs, facilitate buyer-seller meetings and visits of delegations, acquire appropriate technology and explore trade and investment opportunities. The MoU will enhance market access, promote access to finance, promote innovation as a key competitive advantage for MSME, build capacity in management and entrepreneurship.

MSMEs constitute more than 90% of all business enterprises in the world and provide nearly 70% of global employment. The overwhelming majority of MSMEs in the developing world are micro-enterprises with fewer than 10 employees. India has more than 48 million MSMEs. These contribute more than 45% of India’s industrial output, 40% of the country’s total exports and create 1.3 million jobs every year.

India has already signed Memorandum of Understandings (MoUs) with 18 countries for cooperation in MSME sector. The National Small Industries Corporation of India, Public Sector Enterprise under the Ministry of MSME has 34 MoUs with its counterpart organizations of foreign countries for cooperation in MSME sector.