Exploring the Growth of Female-Led Unincorporated Enterprises

Understanding Unincorporated Non-Agricultural Enterprises

Unincorporated, non-agricultural enterprises refer to businesses that operate informally and are not registered under formal laws. These businesses are typically small-scale and span various sectors, including manufacturing, trade, and services. A notable segment within this category is female-headed enterprises, where women possess ownership and decision-making authority, highlighting their significant role in economic activities.

Insights from the Annual Survey of Unincorporated Enterprises (ASUSE) 2023-24

The Annual Survey of Unincorporated Enterprises (ASUSE) 2023-24, conducted by the Ministry of Statistics and Programme Implementation (MoSPI), provides valuable insights into the increasing participation of women in unincorporated enterprises. Here are some key findings from the report:

• Female-Headed Units Growth: Women now lead 26.2% of unincorporated non-agricultural enterprises in 2023-24, up from 22.9% in the previous year. The manufacturing sector shows the highest proportion, with 58.36% of female-led units.
• Employment Share: The total number of workers employed in these enterprises has reached 12.06 crore, reflecting a 10% increase from 2022-23. Women comprise 28.1% of the workforce, with notable representation in manufacturing at 46.5%.
• Regional Leaders: States with the highest percentage of female-led units include West Bengal (36.4%), Karnataka (35.2%), and Telangana (34.1%).
• Sectoral Insights: The highest representation of female workers is found in the manufacture of wearing apparel (22.77%), followed by retail trade (21.49%) and education (10.03%).
• Gross Value Added (GVA): Maharashtra, Uttar Pradesh, and Gujarat together contribute nearly one-third of the total GVA generated by these enterprises.

Significance of the Findings

The findings from ASUSE highlight several crucial aspects regarding the role of female-headed enterprises in India:

• Promoting Women’s Economic Independence: The increasing number of female entrepreneurs signifies their growing participation in the economy, fostering financial independence and empowerment.
• Boost to Informal Economy: The rise in female-led businesses enhances employment opportunities in key sectors like manufacturing and trade, which are vital to the informal economy.
• Encouraging Regional Development: States such as West Bengal and Karnataka, which lead in female-headed enterprises, showcase effective local initiatives and supportive policies.
• Diversity in Sectors: Women are making strides in traditionally male-dominated fields like manufacturing and trade, contributing to greater diversity in these sectors.
• Focus on Sustainability: Strengthening women’s roles in the informal sector could contribute to more inclusive and sustainable economic growth.

“Success comes to those who dare to dream and act on their aspirations.”

Frequently Asked Questions (FAQs)

Q1. What are unincorporated non-agricultural enterprises?
Answer: These are businesses that operate informally and are not registered under formal laws, typically small-scale and encompassing sectors like manufacturing and trade.

Q2. What is the significance of female-headed enterprises?
Answer: Female-headed enterprises signify women's active participation in the economy, contributing to financial independence and empowerment, especially in informal sectors.

Q3. What does ASUSE 2023-24 report indicate about women's employment?
Answer: The report indicates that women make up 28.1% of the workforce in unincorporated enterprises, with significant representation in manufacturing and retail sectors.

Q4. Which states have the highest female-led enterprises?
Answer: West Bengal, Karnataka, and Telangana lead in the percentage of female-headed units, showcasing effective local initiatives promoting women entrepreneurship.

Q5. How does female entrepreneurship contribute to the economy?
Answer: Female entrepreneurship boosts economic independence, enhances employment opportunities, and promotes diversity and sustainability within the economy.

UPSC Practice MCQs

Question 1: What percentage of unincorporated enterprises are female-headed in 2023-24?
A) 22.9%
B) 26.2%
C) 30.0%
D) 28.5%
Correct Answer: B

Question 2: Which state has the highest percentage of female-led enterprises?
A) Maharashtra
B) Karnataka
C) West Bengal
D) Gujarat
Correct Answer: C

Question 3: What sector employs the highest percentage of female workers according to ASUSE 2023-24?
A) Retail trade
B) Education
C) Manufacturing of wearing apparel
D) Services
Correct Answer: C

Question 4: How much has the workforce in unincorporated enterprises grown since 2022-23?
A) 5%
B) 10%
C) 15%
D) 20%
Correct Answer: B