“It is a new venture that the survey will be done annually. There have been surveys in the past in two rounds but the government needs data on a regular basis,” an official aware of the matter told ET on condition of anonymity.
The survey will estimate the characteristics of these enterprises such as type of activity, employment, ownership and working capital. Besides, their status of registration, problem faced in operation, government assistance received, employment particulars and use of ICT could also be enumerated.
The survey on unincorporated non-agricultural enterprises (excluding construction) of the National Sample Survey (NSS) 73rd round was undertaken from July 2015 to June 2016, as a repeat survey of the NSS 67th round conducted from July 2010 to June 2011.
The previous survey also sought details on the economic characteristics of the entities measured in terms of operating expenses and receipts, gross value added, compensation to workers, owned and hired fixed assets, indebtedness status in terms of outstanding loans along with information to estimate skill development and Swachh Bharat Abhiyan, and also to classify unincorporated enterprises as MSMEs.
“The unincorporated sector is huge and measuring it is a challenge. Barring the limited sector companies, everything is unincorporated including the unregistered enterprises,” said the official.
As per another official, the annual survey will help fill up data gaps, especially in places where corporate sector growth is projected to estimate the informal sector performance while calculating economic growth.
The previous survey of the 73rd round estimated the number of unincorporated non-agricultural enterprises in the country in 2015-16 at 63.4 million, out of which 51.3% were in rural areas and the remaining 48.7% were in urban areas. Out of the total estimated number of enterprises at all-India level, 31% were engaged in manufacturing, 36.3% in trading and 32.6 % were in other services. Uttar Pradesh reported the highest share in the number of enterprises at 14.2%, followed by West Bengal at 13.99%.