As we step into the month of July 2025, after celebrating International MSME Day on 27th June 2025, it is important to go beyond just commemoration and start conversations that can actually create meaningful change. The Micro, Small, and Medium Enterprises (MSME) sector continues to be the backbone of India’s economy, contributing nearly 30% to the GDP and employing over 120 million people. However, for MSMEs to remain competitive, resilient, and future-ready—especially in sectors like manufacturing, furniture production, and woodworking—there is one fundamental need that we cannot afford to ignore: skill development.

I have been at the heart of the Indian woodworking industry for over two decades. Through my experience in enabling small and medium furniture manufacturers with world-class machinery and technology, I have come to realize that the absence of skilled manpower is one of the most significant bottlenecks facing the MSME sector today.

Why Skill Development Must Be a Top Priority for MSMEs

MSMEs often operate with tight margins, limited manpower, and evolving technological demands. In such a scenario, upskilling becomes essential—not optional—for achieving quality output, productivity, and business sustainability. This is especially true in industries where advanced machinery such as CNC routers, edge banders, and automated kilns are increasingly becoming the norm.

A well-trained workforce can:

• Operate modern equipment more efficiently
• Reduce material wastage and machine downtime
• Ensure quality standards are consistently met
• Adapt faster to new technologies and digital tools
• Contribute to innovation and process improvement

Moreover, skill development also helps in reducing dependency on expensive imported labour and contributes to local employment generation, a cornerstone of the "Make in India" and "Aatmanirbhar Bharat" initiatives.

The Ground Reality: A Gap That Needs Urgent Bridging

Despite the growing need, many MSMEs struggle to find machine operators, designers, and technicians who are proficient in modern woodworking practices. Most vocational training courses are outdated or irrelevant to today's manufacturing challenges. Fresh recruits often lack exposure to real-time production environments or smart factory systems.

I have witnessed this gap first-hand at Woodtech. Many of the clients invest in cutting-edge machines but find it difficult to fully utilize them due to a lack of trained personnel. This not only results in under-utilization of assets but also slows down ROI and growth.

Building Skills for Tomorrow’s Woodworking Industry

Recognizing this challenge, several companies in collaboration with the Furniture & Fittings Skill Council (FFSC) have taken a proactive step in addressing the skills gap by establishing dedicated training centers across India. This initiative aims to deliver industry-aligned training in machine operations, maintenance, safety, software usage, and best manufacturing practices.

We should also plan to extend this model to other strategic regions like Jodhpur, Coimbatore, and Northeast India, to name a few, where woodworking clusters are emerging rapidly. Our long-term vision should be to create a robust ecosystem of skilled talent that can support the next wave of growth in the Indian woodworking sector.

Policy Support and Public-Private Partnership

While private sector initiatives are crucial, large-scale skill development will require strong policy support from the government. MSMEs need:

• Access to subsidized skill development programs
• Integration of vocational training in formal education
• Incentives for companies that invest in employee upskilling
• Standardized certification and recognition of trained professionals
• More MSME-specific courses under the Skill India Mission

The government’s focus on MSMEs post-COVID has been commendable, but to make the sector globally competitive, human capital development must become the centerpiece of our strategy.

India’s ambition to be a global manufacturing hub will only be realized if its MSMEs are empowered—not just with machinery and credit, but with skills that elevate the quality of their output and the efficiency of their operations. The future of woodworking, and indeed all manufacturing, is smart, digital, and skilled.

As someone who has spent considerable time in the woodworking industry, I strongly believe that skill development is not a cost—it is an investment. An investment in people, in potential, and in the long-term prosperity of our nation. Let us all commit to a future where every small enterprise has access to skilled talent and every Indian worker has the skills to build the future.