The Ministry of Micro, Small and Medium Enterprises (MSME) is strengthening quality-driven and sustainable manufacturing through the MSME Sustainable – Zero Defect, Zero Effect (ZED) Certification Scheme, helping small businesses improve operational efficiency, product quality and environmental performance.

As part of the initiative, Finex Industries Pvt. Ltd. in Nashik and Concept Clothing Pvt. Ltd. in Jalandhar reported significant operational improvements after achieving ZED Silver Certification. Finex reduced its Cost of Poor Quality (COPQ) by 11%, rework by 10%, and defects by 1%, while improving energy efficiency and workplace safety. Meanwhile, Concept Clothing recorded an 80% reduction in workplace incidents, 50% lower Mean Time to Repair (MTTR), 7.4% reduction in rework, and a 4% decline in product rejection.

The ZED Certification Scheme promotes higher manufacturing standards by encouraging MSMEs to adopt quality-focused and environmentally responsible practices, enhancing their competitiveness in both domestic and global markets.

To encourage greater participation of women entrepreneurs, the government has been providing a 100% subsidy on ZED Certification costs for women-owned MSMEs since November 11, 2023, enabling eligible enterprises to obtain certification at no cost and strengthen their manufacturing capabilities, market credibility, and long-term growth prospects.