Contribution of Small and Medium Enterprises (SMEs) in the Indian economy, both in terms of employment and national production, is significant but the sector continues to face challenges in terms of raw material procurement, financial support and digital literacy. This gap, however, is being bridged by ‘SME Transformation camp’, a flagship event of Gurugram- based online raw material buying platform Power2SME.
These camps were rolled out pan-India in 2017, starting from Kolkata. Recently, the company extended these camps to Haryana by entering into an agreement with the state government.
What exactly does ‘SME Transformation Camp’ do?
‘SME Transformation Camp’ is a flagship event of Power2SME where hindrances faced by SMEs that hamper their operational efficiency are discussed and solutions are brought to the table. The main objective of the camp is to reach out and bring together a large base of SME groups and educate them on technological means to address the issues related to raw material procurement, working capital loans and use of digital technology to grow business.
Through its digital portal SMEShops.com, Power2SME brings small business owners and artisans onboard to enhance their visibility and tap new markets.
Haryana has several key industries such as automotive, agro and food processing industry, textiles, engineering with a significant presence of MSMEs.
How will the camps help SMEs in Haryana?
One of the biggest challenges faced by small businesses in Haryana is product visibility and market for sale due to lack of knowledge about online platforms. This takes away the opportunity to reach new markets, be it indigenous and specialised products, industrial products or traditional handicrafts. These camps aim to bring together the SMEs and artisans in remote parts of the state and educate them regarding the digital tools and platforms.
Power2SME plans to bring small businesses on-board its digital platform and provide them access to domestic and international markets. This will not only give a boost to sales of existing entrepreneurs but also create unprecedented opportunities for new entrepreneurs.
These camps are not restricted to selling, but also procurement of raw materials at low cost. Haryana has several key industries such as automotive, agro and food processing industry, textiles, engineering with a significant presence of MSMEs. Raw material procurement is approximately 70% of recurring costs of a manufacturing MSME. Unlike large enterprises, who are able to get better pricing for raw materials due to volume of purchase, SMEs are left with no option but to pay twice the MRP as they do not have the bulk-buying power.
This is where Power2SME comes to play with these camps by educating and providing these SMEs with an online buying platform to procure raw material at cheaper rates.
What’s in it for me?
SME Transformation Camps will soon be conducted across various districts of Haryana under the Directorate of MSME, Haryana. The notification for the same will be out on the following website. Any SME or an MSME in the state is eligible to attend the camp.