In today’s fast-changing economy, Micro, Small, and Medium Enterprises (MSMEs) are not just contributors but catalysts for inclusive growth and innovation. Yet, despite their potential, many MSMEs face challenges in accessing markets, improving product visibility, and aligning with evolving industry standards. The Procurement and Marketing Support (PMS) Scheme, introduced by the Ministry of MSME, is a strategic enabler designed to bridge these gaps.

From helping micro-enterprises participate in trade fairs and adopt digital platforms to offering cluster-based branding support and promoting the use of barcodes, the scheme takes a multi-dimensional approach to strengthen market access and competitiveness. Its initiatives-ranging from financial assistance to expert consultancy and skill-building workshops-are tailored to suit the specific needs of different sectors such as textiles, food processing, ceramics, and handicrafts, as well as the geographic challenges of Tier-II and Tier-III cities. These interventions help MSMEs not only meet industry demands but also future-proof their business practices.

With a strong emphasis on inclusion and sustainability, the PMS Scheme serves as a powerful tool for the economic empowerment of Indian MSMEs. It removes entry barriers, boosts product competitiveness, and builds visibility for enterprises from both traditional and emerging sectors. Particularly for first-time entrepreneurs, remote businesses, and underrepresented groups, the scheme enables long-term market integration and business resilience.

Let’s explore how the PMS Scheme helps MSMEs grow their business, reach more customers, and stay competitive in today’s market.

Capacity Building for MSE Clusters

The PMS Scheme includes a capacity-building component that strengthens Micro and Small Enterprises (MSEs) through cluster-based development. These interventions promote collective growth by supporting areas such as packaging, branding, and sector-specific product improvements, helping enterprises align with national and global quality benchmarks.

Financial support is provided up to INR 15 lakh per cluster (or actual cost, whichever is lower), covering packaging, branding, and product enhancement needs. These cluster-based interventions target industries like food processing, textiles, ceramics, handicrafts, gems & jewellery, and medical equipment, with the support tailored to each cluster’s requirements. Empanelled institutions such as IIP, NID, and NIFT guide these efforts under formal MoUs signed with the Development Commissioner (DC) of MSME. In select cases, enhanced support (10–15% higher) is available upon committee approval.

The adoption of modern techniques in packaging and branding not only increases product appeal but also enhances retail readiness-making MSMEs more competitive across markets.

Adoption of Barcodes

This component supports micro-enterprises in adopting barcodes to meet global retail and supply chain standards. Barcoding helps streamline inventory tracking, improves operational efficiency, and enables easier entry into both domestic and international retail systems.

Financial support includes 80% of registration and annual fees (for up to three years) for a maximum of 100 barcodes. The total assistance is capped at INR 50,650 or the actual cost, whichever is lower. Eligible enterprises must be Udyam-registered and possess a GS1 India barcode registration.

In today’s digitally connected supply chain, barcodes play a critical role in traceability and credibility. Their adoption is no longer optional but essential for reaching wider markets-especially for MSMEs looking to collaborate with large retailers or export their goods.

Adoption of E-Commerce Platforms

This component encourages micro-enterprises to expand their reach through online platforms. Financial assistance covers 75% of the total cost-including memberships, advertising, product cataloging, and subscriptions up to INR 25,000 annually. Support is extended for listing up to 10 products per financial year.

Enterprises can sell via platforms like MSME Global Mart (operated by NSIC) or other recognized portals. E-commerce offers cost-effective market access and visibility-particularly useful for manufacturers in rural areas or first-time sellers aiming to establish digital storefronts.

National Workshops and Seminars

Workshops and seminars under the PMS Scheme educate MSMEs on themes like business development, innovation, market research, technological upgrades, public procurement, and e-commerce strategies.

Financial support of up to INR 5 lakh per event is available. These programs, often held in partnership with government and non-government institutions, are vital for capacity building and knowledge dissemination, especially in rapidly evolving industries.

Development of Retail Outlets for GI Products

This initiative promotes the sale and visibility of Geographical Indications (GI) products by supporting dedicated retail outlets. Examples of GI-tagged products include Kanchipuram silk saris, Tanjore paintings, and Tanjore doll-crafts that carry strong regional identity and global appeal.

Financial support is available up to INR 30 lakh for outlets in Metro/A-class cities and up to INR 20 lakh in other cities, with retailers required to match 50% of the infrastructure cost. Eligible outlets must exclusively sell certified GI products and enter into an MoU with GI holders.

Dedicated retail spaces for GI goods help preserve traditional craftsmanship while creating a robust platform for artisan-driven commerce.

Empowered Committee and Scheme Monitoring

The PMS Scheme is monitored by an Empowered Committee chaired by the Secretary or Additional Secretary (AS&DC) of MSME. This committee includes stakeholders from the NSIC, industry associations, and policy bodies.

To ensure effective oversight, an integrated Management Information System (MIS) and the PMS Division continuously track scheme performance. Outcomes are assessed in line with the NITI Aayog’s Output-Outcome Framework, ensuring accountability and data-driven decision-making.

Recent Events and News

In FY 2024-25, 222 trade fairs and exhibitions were sanctioned, with 170 already held or ongoing-primarily in Tier-II and Tier-III cities. More than 5,500 MSEs participated. On 16.11.2024, the Hon’ble Minister of MSME inaugurated the MSME Pavilion at IITF-2024, themed “Green MSMEs.” The pavilion featured handicrafts, handlooms, toys, and ceramics, with 71% of participants being women entrepreneurs, 45% from SC/ST communities, and 35% from aspirational districts. Notably, 85% were first-time participants.

Financial allocations included INR 76 lakhs for national workshops and INR 3.59 crores for vendor development programs. These efforts have significantly contributed to market exposure, business learning, and inclusive economic growth.

The PMS Scheme continues to strengthen the MSME ecosystem by enabling market integration, subsidizing participation, and expanding access to both domestic and global opportunities.

Conclusion

The Procurement and Marketing Support (PMS) Scheme empowers MSMEs by removing barriers to market entry, improving product presentation, and driving visibility through e-commerce and retail participation. From digital integration and branding support to capacity-building and GI product promotion, the scheme addresses key challenges that MSMEs face in today’s competitive economy.

With its inclusive and growth-oriented framework, the PMS Scheme is a major driver of long-term business sustainability, especially for micro-enterprises and underserved regions. Companies such as Excel Earthings have significantly benefited from this initiative.

Testimonial

“Our company, Excel Earthings, has participated in several trade fairs, and we were fortunate to receive support from the PMS Scheme for two of them. It has been incredibly helpful for MSMEs like ours in boosting marketing efforts.” – Excel Earthings