Small Business Sales Soar as Govt Doubles Their Buying Goals

In a major boost to India’s small business ecosystem, central ministries went above and beyond their mandated spending goals on micro and small enterprises (MSEs) in the last financial year.

According to data from the MSME Ministry’s Sambandh portal, ministries with procurement targets of ₹100 crore or more collectively purchased ₹92,675 crore worth of goods and services from MSEs in FY25—almost double the target of ₹47,676.88 crore.

This marks a sharp rise from FY24, when MSE procurement stood at ₹73,800 crore.

The Ministry of Petroleum & Natural Gas emerged as the top buyer, clocking purchases worth ₹31,304 crore, followed by the Defence Ministry at ₹13,039 crore and the Power Ministry at ₹11,584 crore.

In terms of percentage growth over targets, the Shipping Ministry was the best performer—overshooting its goal by a whopping 300%. The Petroleum & Natural Gas Ministry followed closely at 173%, while the Civil Aviation Ministry exceeded its goal by 148%.

However, not all ministries hit the mark. The Finance Ministry met only 58% of its target, while the Health & Family Welfare Ministry managed just 19.6%. The Department of Space lagged far behind with only 2.3% of its procurement target achieved.

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