E-commerce: An Enabler of MSME Growth in India

E-commerce is emerging as a vital growth engine for MSMEs in India, expanding customer reach and fostering sustainable development, a report highlights. According to the Deloitte study 'Spotting India's PRIME Innovation Moment', digital marketplaces like Amazon are transformative for small businesses.

The report underlines the significant increase in online transactions, notably from Tier-2 and Tier-3 cities, which now contribute 60% of such transactions. With rural FMCG volumes growing faster than urban ones, these platforms offer MSMEs unprecedented access to national consumers.

Vinod Kumar of the India SME Forum emphasizes the economic impact of e-commerce ecosystems, especially during the festive season. Amandeep Budhiraja of JustToyz highlights the Great Indian Festival as a critical period, attributing a substantial part of annual income to digital sales platforms, which enhance customer service.

(With inputs from agencies.)