New Delhi: The Ministry of Statistics and Programme Implementation (MoSPI) on Tuesday released the results of the Annual Survey of Unincorporated Sector Enterprises (ASUSE) for 2023-24, showcasing remarkable growth across establishments, employment, workers, wages and economic productivity in the unincorporated non-agricultural sector.
With a 12.84% increase in establishments and a 10.01% rise in employment during the period between October 2023 and September 2024, the unincorporated sector has registered a robust recovery and expansion after the disruptions caused by Covid-19 pandemic. The Gross Value Added (GVA), which is an important measure of economic performance and productivity, also increased by 16.52% (at current prices) during the period.
Unincorporated Sector Sees Significant Growth In 2023-24
The unincorporated sector, comprising manufacturing, trade, and other services (excluding construction), added nearly 84 lakh new establishments in 2023-24, taking the total number of establishments from 6.50 crore in 2022-23 to 7.34 crore in 2023-24. The 'other services' sector saw the highest growth in establishments at 23.55%, while the manufacturing sector grew by 13%. The count of establishments for 'other services', trade and manufacturing sectors stood at 3.04 crore, 2.28 crore, and 2.02 crore, respectively.
During this period, the sector's Gross Value Added (GVA) which was mainly driven by the 'other services' sector, also grew by 16.52%. The GVA per worker, which indicates labour productivity, rose to Rs 1,49,742 from Rs 1,41,769, marking a 5.62% improvement. Additionally, the Gross Value of Output (GVO) per establishment increased from Rs 4,63,389 to Rs 4,91,862.
Precisely, 16,842 first stage units (8,523 in rural and 8,319 in urban) have been surveyed, and 4,98,024 establishments (2,73,085 in rural and 2,24,939 in urban) pertaining to these 16,842 surveyed FSUs were canvassed during the period.
Strong Labour Market Performance
The sector employed over 12 crore workers (5.61 crore rural, 6.45 crore urban) from October 2023 to September 2024, adding more than one crore jobs compared to the previous year. The 'other services' sector led with a 17.86% increase in employment, followed by 10.03% rise in the manufacturing sector.
Rise In Female Entrepreneurship
The percentage of female-owned proprietary establishments grew from 22.9% in 2022-23 to 26.2% in 2023-24, indicating a positive trend in female entrepreneurship and greater participation of women in business ownership.
Wage Growth
The average salary for hired workers increased by 13% in 2023-24 compared to the previous year. The manufacturing sector saw the highest wage growth, slightly over 16%.
Digital Adoption
The percentage of establishments using internet rose significantly from 21.1% in 2022-23 to 26.7% in 2023-24.
In India, unincorporated non-agricultural enterprises, ranging from small-scale manufacturers, service providers to trade establishments make up a big part of the economy. These enterprises play a key role in creating jobs, boosting entrepreneurship, and contributing to the country’s Gross Domestic Product (GDP).
The Annual Survey of Unincorporated Sector Enterprises (ASUSE) is carried out to gather detailed information about how these businesses operate, their finances, and their overall structure. The survey results provide valuable insights for policymakers and help both the government and private sector make key decisions and plan effectively.
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