Role of MSMEs in Economic Growth of Tamil Nadu: A Secondary Data Analysis
Keywords:
MSMEs , Economic Growth ,, Tamil Nadu Economy ,, Industrial Development , Employment Generation ,, Small Scale Industries ,, GSDP Contribution Entrepreneurship .Abstract
Micro, Small and Medium Enterprises (MSMEs) play a pivotal role in the economic development
of regional and national economies. In the context of Tamil Nadu, MSMEs have emerged as a key
driver of industrial growth, employment generation, and balanced regional development. This
chapter presents a comprehensive analysis of the role of MSMEs in the economic growth of Tamil
Nadu using secondary data sources. The MSME sector contributes significantly to the Gross State
Domestic Product (GSDP), exports, and industrial output of the state. Tamil Nadu is one of the
most industrialized states in India, with a strong presence of MSMEs in sectors such as textiles,
automobile components, leather, food processing, and engineering goods. The flexibility, low
capital requirements, and high employment potential of MSMEs make them essential for inclusive
economic growth. This study analyzes trends in MSME growth, employment generation, and
sectoral contributions over time.
