‘We will be finished’: Modi manufacturing plan squeezes small Indian firms
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Small businesses like cycle parts factories in India have faced multiple shocks (demonetization, new taxes, COVID-19) and declining demand.
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MSMEs account for 30% of India's GDP and 45% of exports but many closed during COVID. Survival depends on operating daily.
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MSMEs must adapt offerings to changing consumer preferences but many lack resources to invest in upgrades.
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Some MSMEs are preparing for potential growth by investing in new technology, though government policies favor large firms.
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MSME representatives are meeting with PM Modi to voice concerns that incentives for big companies will squeeze smaller suppliers.