SME Times is powered by   
Search News
    
Just in:   • New bill on one-person corporate entity set for this session: Khursheed  • MSMEs for new stimulus package in Budget: FISME survey  • Markets crawl as investors await budget  • Kamal Nath great negotiator but opposed liberalisation: Mandelson  • India Inc welcomes 'forward looking' rail budget 
Last updated: 26 Jun, 2008  

China emerges as leading destination for Indian MSMEs

Staff Reporter | 26 Jun, 2008
A recent report says that China has emerged as the leading destination for MSMEs (Micro Small & Medium Enterprises) to set up operations abroad, due to low production cost, ease of setting up operations and cheaper manpower.

The report based on a survey conducted by SME advisory firm Milagrow says that the European Union comes in second. The reasons cited were a standardised production processes, even though it was accepted that labour rates are higher in the European Union.

The survey, conducted across 68 MSMEs in the NCR region, sought to understand the issues that MSMEs face when setting up operations abroad, and plans of these firms to expand their business globally.

In tune with the India growth story, 78% of the MSMEs confirmed that have plans of setting up operations abroad, and of these 50% plan to set up operations globally within a couple of years. Currently most of the MSMEs (81%) do not have a global presence. The rest have offices or representation in 1-3 countries only.

The MSMEs interviewed were chosen from a cross section of industries ranging from telecom equipment, to auto and electronic components. 51% of the MSMEs chosen for this survey have less than 30 employees while 16% have 30-50 employees. Close to 50% of the targeted MSMEs are into exports.

Of these, 27% export to 2-3 countries, 21% to 3-5 countries and 15% to more than 10 countries, the survey notes.
 
Print the Page Add to Favorite
 

Share your opinion about this story

  Top Stories
» New bill on one-person corporate entity set for this session: Khursheed
» MSMEs for new stimulus package in Budget: FISME survey
» India Inc welcomes 'forward looking' rail budget
» Growth in GDP declines to 6.7% in 2008-09
» 'Very competent' job by Mamata in short time: PM
 
Commented Stories
» L&T secures Rs.3.44 billion project from Power Grid(5)
» Good opportunities for SMEs in Paraguay: Pappalardo(3)
» Five things customers hate about you(3)
» Will Budget 2009 bring relief to MSMEs?(3)
» Primark scraps contract with three Indian suppliers(1)
  Customs Exchange Rates
Currency Import Export
US Dollar
48.95
48.05
UK Pound
80.80
78.80
Euro
68.55
66.90
Japanese Yen 51.20 49.80
As on 05 Jul, 2009
  Daily Poll
Do you agree that cheap imports from China are posing a threat to Indian SMEs?
 Yes
 No
 Can't say
 
 
 
About Us  |  Contact Us  |  Feedback |  Success Stories |  Tradeindia in News  |  Get Listed | 
Sitemap  |  Terms of Use |  Useful Links |  Trade Bodies