Key Pointers –

• Over 25 per cent of MSMEs have been shut so far due to GST and demonetisation. Various industry associations make formal representations to the MSME ministry, but they are probably not considered sincerely. The government’s response to associations’ letters is often very poor or very selective.
• Various associations make suggestions to the MSME ministry on various issues from time to time including GST during meetings after which a formal memorandum is shared with the ministry. 
• The government has given various relief measures on GST based on the feedback from the MSME ministry which gets conveyed to the finance ministry. 
• An August 2018 study by the Reserve Bank of India (RBI) noted that the introduction of GST led to an increase in compliance costs and other operating costs for MSMEs as most of them were brought into the tax net. 
• Also, a study by SIDBI indicated that post-demonetisation and post-GST introduction, the relative credit exposure initially declined for most MSMEs but had recovered fully by March 2018. Hence, these issues are less significant now
• On the other hand, the information shared in budget recommendations is addressed to the finance ministry instead of the MSME ministry.  With respect to CII, no formal representation on GST’s impact on MSMEs at least in the last one year has been sent to the MSME ministry.

https://www.financialexpress.com/industry/sme/msme-eodb-msme-ministry-no-information-on-whether-gst-badly-affected-msmes/2923701/