International Journal For Multidisciplinary Research

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Need for ESG compliance in Agri MSMEs in India

Author(s) C.Pratheep
Country India
Abstract Climate change has become one of the threatening phenomena all over the world, including India. Climate change has many repercussions, including higher atmospheric temperatures, the melting of ice, a rise in sea level, and bad effects on economic growth. Agriculture is responsible for 24 percent of the Global Green Gas emissions. Agri MSMEs and agribusiness centres are also emit Green Houses. Agri MSMEs are the important sectors of the economy providing employment and contributing higher share in the GDP all the World. Agri MSMEs are one of the major employment intensive segments having a share of 12.38 per cent in the employment generated in all Registered Factory sector in 2017-18 in India. Estimates done by the World Bank, The Food and Agriculture Organization and other organiations show that about 24 percent of the green gas emissions are from the food and agriculture sector. MSMEs generate around 110 million tonnes of carbon dioxide, equivalent to the energy usage of up to 50 million metric tonnes of oil per year from 200 energy-intensive manufacturing clusters in India. In the period of globalization and post globalization period, businesses are driven by a value-led principles, abiding principles of environment, social, and governance (ESG) into their main business activities to fulfill business goals and objectives and to accomplish the expectations of the stakeholder. Environment, Social and Profitability are the fundamental pillars for the success of any units including agri business units. Units should be economically viable, environment friendly and beneficial to the society. Agro MSMEs should come forward to implement ESG guidelines in India to protect the interests of the stakeholders.
Keywords Agro MSME, ESG, sustainability
Field Business Administration
Published In Volume 6, Issue 3, May-June 2024
Published On 2024-06-30
Cite This Need for ESG compliance in Agri MSMEs in India - C.Pratheep - IJFMR Volume 6, Issue 3, May-June 2024.
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