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LATEST NEWS UPDATES | 2020 lockdown shut 11% women MSMEs, only 1% got back on feet with govt help, finds study -Nilanjana Bargotra, Kartikeya Bhatotia, M P Karthick and Mridulya Narasimhan

2020 lockdown shut 11% women MSMEs, only 1% got back on feet with govt help, finds study -Nilanjana Bargotra, Kartikeya Bhatotia, M P Karthick and Mridulya Narasimhan

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published Published on May 27, 2021   modified Modified on May 28, 2021

-ThePrint.in

Krea University researchers surveyed 2,083 non-agricultural enterprises in Bihar, Chhattisgarh, Madhya Pradesh, and Odisha to examine the impact of Covid-19 on women-led MSMEs.

Survey of women-based MSME entrepreneurs

In an effort to examine the impact of Covid-19 on women-led micro, small and medium enterprises (MSMEs), we surveyed 2,083 non-agricultural enterprises across four states: Bihar, Chhattisgarh, Madhya Pradesh, and Odisha. Specifically, the survey reached rural women entrepreneurs in the intervening period when the first of the unlock measures was announced in June 2020 followed by Phase 2 in July 2020. Small women-led enterprises, for the purpose of this survey, were defined as enterprises that are run from an establishment or from individual households, fall in the micro category of MSMEs and have women registered as owners.

Our findings highlight some of the financial and social distresses faced by these entrepreneurs at an individual, household and enterprise level.

Eighty-percent revenue drop in three out of four states

Revenues of most businesses reduced significantly during the lockdown months, with median revenue for April being reported as zero across businesses. Three out of four states reported over 80% drop in revenues. With supply chains disrupted, production units saw the largest decline in revenue, with most reporting zero revenue for April, May, and June. Trading enterprises seemed to fare much better than others—they did not report zero incomes for any of the months. This can perhaps be attributed to most trading enterprises being kirana stores in our sample, which by virtue of their nature fall under the essential commodities category and were thus exempted from some of the lockdown guidelines.

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ThePrint.in, 27 May, 2021, https://theprint.in/opinion/2020-lockdown-shut-11-women-msmes-only-1-got-back-on-feet-with-govt-help-finds-study/666319/


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