I am looking for like-minded individuals to work on a think tank together focused on documenting data, researching and advocating for MSME’s based in the textile Industry of India. Happy to have a chat with anyone who is interested.
In recent times, I’ve become increasingly concerned about the lack of representation for small-scale businesses and Micro, Small, and Medium Enterprises (MSMEs) in India, especially when it comes to policy and government initiatives. It’s evident that the voices of these enterprises are rarely heard at the policy-making table. Instead, many government initiatives on sustainability seem more like PR exercises—superficial activities designed to portray that the millions spent on consultants are actually resulting in tangible outcomes. Unfortunately, this narrative leaves MSMEs out of the picture entirely.
One sector where this is most glaringly visible is the textile industry. The policies being rolled out by the government not only fail to maintain a balanced and equitable industry, but they are also contributing to the growing centralization of power within the hands of large corporate players. This trend is becoming more apparent with every new policy that seems to favour the giants of the industry, granting them more control and influence, while smaller enterprises struggle to maintain their footing.
After discussing these issues with various associations representing the textile industry, it is clear that many of the leaders of these associations are driven by political motives rather than a genuine concern for the long-term welfare of small businesses. What we are witnessing is the gradual dismantling of India’s textile MSMEs in favour of a centralized, China-like model where the industry is controlled by just a few massive players.
This situation is not just alarming; it’s deeply damaging. MSMEs, though often unorganized, are crucial to the livelihood of millions in rural India. These small businesses, with average annual revenues ranging between $100,000 to $120,000, distribute wealth amongst a vast network of stakeholders. A typical MSME creates jobs for 10 to 120 employees—providing livelihoods, opportunities, and hope to local communities. Rather than focusing on creating a few hundred giant enterprises with sprawling facilities, I envision a future where a million small businesses thrive, each contributing to the economy in a meaningful and decentralized way.
When it comes to sustainability, there’s enormous potential for positive change, but it requires more than just talking points. Sustainability needs to be grounded in real, on-the-ground initiatives that involve businesses in the process. However, before we can expect MSMEs to adopt sustainable practices, we must first address the systemic challenges they face daily. These businesses are often fighting battles on multiple fronts, and sustainability is not the first issue they’re concerned with.
Take the typical textile businessman, for example. Ask him about his concerns, and you’ll likely hear about credit issues, fraud, lack of skilled labour, and other immediate business survival challenges. It’s only after addressing these fundamental concerns that we can shift the conversation towards sustainability. For MSMEs to truly embrace sustainable practices, they need to first have the breathing room to survive and thrive. Without support on critical issues like access to credit, fair labour practices, and tackling fraud, sustainability will remain a distant dream for many.
I recently had the opportunity to engage with several bureaucrats at an event in New Delhi, hoping for some clarity on these pressing issues. Unfortunately, I left the event more frustrated than ever. The responses I received were generic, regurgitated answers straight from a brochure, offering no real insight into how the government plans to address the challenges MSMEs face. This lack of genuine engagement is symptomatic of the larger problem: there is a growing disconnect between policymakers and the realities faced by small businesses on the ground.
If we truly want to build a future where MSMEs thrive, we need a shift in policy—one that prioritizes equitable growth, decentralization, and addresses the fundamental issues of credit, labour, and fraud. We need to amplify the voices of small businesses in policy discussions and ensure that their needs are not overshadowed by the interests of the few. Only then can we hope to create a truly sustainable and inclusive economy, where small businesses and MSMEs are empowered to contribute meaningfully to the nation’s growth.