MSMED (Amendment) Act, 2026 – Commencement notified with effect from 15 October 2026

We wish to bring to your kind attention an important development concerning the Micro, Small and Medium Enterprises Development Act, 2006 (“MSMED Act”), which governs the classification and registration of MSMEs and the rights of micro and small suppliers in respect of delayed payments.

The MSMED (Amendment) Act, 2026 (Act No. 16 of 2026) received the assent of the President on 13 August 2026. Its provisions, however, come into force only from the dates appointed by the Central Government. The Ministry of MSME has now issued Notification S.O. 5575(E) dated 12 October 2026, which appoints the following dates:

• 15 October 2026 – Sections 2 to 7, Section 11 and Sections 13 to 17 of the Amendment Act.
• 15 December 2026 – Section 12 of the Amendment Act.
• Not yet notified – Sections 8, 9 and 10 of the Amendment Act (the changes to the dispute-resolution and recovery provisions). Until these are notified, the existing Sections 18 and 19 of the MSMED Act continue to apply.

Please find attached the summary note on MSMED Act – Notification S.O. 5575(E) dated 12 October 2026.