The Federation of Indian Micro and Small & Medium Enterprises (FISME) has called for a bigger role for small businesses in trade between India and South Korea. The call came at K-SS Day 2026 – Korea SMEs and Startups Day, held on October 30 in Gurugram, according to KNN India.
Key points
- KOSME India organised K-SS Day 2026 in Gurugram to link Indian and Korean small businesses and startups.
- FISME Past President SK Jain said bilateral trade has stayed between 25 and 28 billion dollars for several years.
- He said the 50-billion-dollar target needs thousands of Indian MSMEs to supply Korean value chains.
- FISME asked both governments to give MSMEs a strong focus in the upgraded CEPA and the reviewed ASEAN-India agreement.
What the event aimed to do
The Korea SMEs and Startups Agency (KOSME India) organised the event to showcase Korean small businesses, startups and products. It also aimed to promote business collaboration between enterprises from both countries. Indian companies, MSMEs and entrepreneurs got a chance to explore partnerships with the Korean businesses taking part.
KOSME is a non-profit, government-funded body. It was set up to carry out government policies and programmes for the growth of Korean SMEs.
FISME's message on trade
Speaking at the event, SK Jain said MSMEs sit at the centre of the India-South Korea partnership vision. He pointed to an MoU on SME cooperation, a dedicated Korean Industrial Township in India and an agreement on digital payment integration, all meant to make cross-border business easier.
Jain said FISME works with the Korean SMEs Association in India (KOSMA) to help Korean SMEs enter and grow in India. It also works with KOSME on market-entry and networking efforts such as GoBizKOREA. Through an MoU with the Yangsan Chamber of Commerce and Industry, FISME is trying to build direct links between entrepreneurs in the two countries.
He noted that trade has stayed in a narrow band of 25 to 28 billion dollars for several years, while India's trade deficit with Korea has widened. In his words, the 50-billion-dollar goal will not be reached by large corporations alone. It will be reached when thousands of Indian MSMEs become suppliers in Korean value chains and when Korean SMEs manufacture in India for the world.
The ASEAN angle and policy asks
Jain said both India and South Korea have free trade agreements with ASEAN. India-ASEAN trade reached USD 128 billion in 2025-26, about 11 per cent of India's global trade. The review of the ASEAN-India Trade in Goods Agreement is moving ahead with time-bound deliverables. He said an India-Korea-ASEAN corridor could let Korean SMEs investing in India reach both the Indian and wider ASEAN markets.
For this to work, Jain said, trade agreements need practical rules of origin that reward real value addition, faster customs procedures, recognition of electronic trade documents and simpler processes for MSMEs to use trade preferences.
On behalf of FISME, he urged both governments to ensure that the upgraded India-South Korea Comprehensive Economic Partnership Agreement (CEPA) and the reviewed ASEAN-India agreement have a strong MSME focus. He also said institutions such as FISME, KOSMA and KOSME could help businesses understand and use these agreements.
