Entrepreneurship Ecosystem Overview

Manipur

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Levers of change – Entrepreneurship

Following are the key levers of change which determinewhether a state’s policy, education, legal framework, financialsystems, business markets, cultural and social ethos areaugmenting Entrepreneurship Growth:

1. The Entrepreneur

2. Govt. & Regulatory Support

3. Access to Finance

4. Educational & Cultural Preparedness

5. Mentoring & Networking

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The Entrepreneur

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Manipur ranks #32 in India on ‘Ease of Doing Business’ index of

2017-18 according to the Department of Industrial Policy andPromotion's (DIPP).

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Govt. & Regulatory Support

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Schemes:

• Rajiv Gandhi Udyami Mitra Yojana (RGUMY)

Govt. Regulatory Bodies

• North Eastern Industrial Consultants Ltd (NECON)• District Industries Centre

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Rajiv Gandhi Udyami Mitra Yojana(RGUMY)

The objective of Rajiv Gandhi Udyami Mitra Yojana (RGUMY) is toprovide handholding support and assistance to the potential firstgeneration entrepreneurs, who have already successfully completedEDP/SDP/ESDP or vocational training from ITIs, through the selectedlead agencies i.e. 'Udyami Mitras', in the establishment andmanagement of the new enterprise, in dealing with various proceduraland legal hurdles and in completion of various formalities required forsetting up and running of the enterprise.

7http://investinmanipur.nic.in/RAJIV%20GANDHI%20UDYAMI%20MITRA%20YOJANA-Guideline.pdf

North Eastern Industrial Consultants Ltd (NECON)

The North Eastern Industrial Consultants Ltd also has been promoted by ahost of All India Financial Institutions, banks and SIDCs including NIDC toprovide consultancy assistance and professional services to all classes ofentrepreneurs. NECON assists entrepreneurs in preparation of ProjectReports, conducts and prepares Techno-Economic Feasibility Reports andalso undertakes studies & surveys to identify suitable industries in theregion.

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District Industries Centre

• The District Industries Centre is the institution at the District level, whichprovides all the services and support facilities to the entrepreneur forsetting up Micro, Small and Medium Enterprises.

• This includes identification of suitable schemes, preparation of feasibilityreports, arrangements for credit facilities, machinery and equipments,provision of raw materials and development of industrial clusters etc.

• There are 9 DIC’s in Manipur.

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http://www.dcimanipur.gov.in/DICs.html

Access to Finance

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Schemes:

• North East Industrial and Investment Promotion Policy (NEIIPP), 2007• Schemes by NEDFi• North East Venture Fund• The Industrial and Investment Policy of Manipur 2017• IT Policy of Manipur 2015

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North East Industrial and Investment Promotion Policy (NEIIPP) 2007

North East Industrial and Investment Promotion Policy (NEIIPP), 2007:Some of the benefits under this policy are:

• Excise Duty Exemption

• Income Tax Exemption

• Capital Investment Subsidy

• Interest Subsidy

• Comprehensive Insurance

12http://dcimanipur.gov.in/documents/NEIIPP_2007.pdf

Schemes by NEDFi

• NEDFi has a special focus on development of entrepreneurs in the region.Entrepreneurship in the real sense is still at its nascent stage in the NE.NEDFi has started Business Facilitation Centre (BFC) for providingconsultancy and supports in setting up a business enterprise. BFC helps inpreparing project report and provides information about variousincentives available in the region. http://www.nedfi.com/?q=industry-policies-of-north-eastern-states-archive

• Rupee Term Loan (RTL) Scheme: To provide medium to long termfinancial assistance for setting up of new, expansion, diversificationor modernization projects in various manufacturing or servicessector. The assistance shall be in the form of Rupee Term Loan.

• Equipment Finance Scheme: For financially sound companies,loans are provided for the purchase of equipment.

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• Corporate Finance Scheme: For providing finance such as normalcapital expenditure, working capital margin, shortfall in workingcapital, repayment of high cost debt and general corporate purposelike funding of business acquisition or for brand building etc. whereno tangible asset creation may be envisaged.

• Working Capital Term Loan Scheme (WCTL): Upto a Maximum of75% of the working capital requirement of business for one cycle ofoperation is provided to deserving units in the form of workingcapital term loan.

• NEDFI Equity Fund Scheme: To invest in projects promoted byentrepreneurs in North-Eastern Region having sound business ideaswith potential for high growth and more than normal returns oninvestment.

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• NEDFi Opportunity Scheme For Small Enterprises : To providelong term financial assistance for setting up a new industrial andinfrastructure projects as well as for expansion, diversification ormodernization of existing industrial enterprises excludingCommercial Real Estates.

• North East Entrepreneur's Development Scheme [NEEDS]: Theobjective of the scheme is to help first generation entrepreneurswho are short of equity.Benefits can be extended to Proprietorship & PartnershipConcerns and Companies. Technical qualification of the promoterin the relevant field is a pre-requisite.

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http://dcimanipur.gov.in/documents/NEIIPP_2007.pdf

North East Venture Fund

• The fund is offered by the Ministry for Development of North-EasternRegion (DoNER) and set up by the NEDFi. Northeast Venture Fund is thefirst dedicated venture capital fund for North-Eastern region.

• It is focussed to encourage entrepreneurship in the region with focus onearly and growth-stage investments.

• NEDFi will also perform the role of hand-holding and capacity building. heNorth East Venture Fund Will Look To Invest In Startups In The Field Of IT& ITES, Food Processing, Healthcare, Tourism, Etc.

• The size of the fund would be about INR 100 Cr and each investment willbe limited to a minimum of INR 25 Lakhs and a maximum of about INR 10Cr.

• Ministry of DoNER is offering an additional benefit of initial VentureCapital Fund to any youngster who decides to set up an entrepreneurialventure in the North-Eastern region.

16http://www.nedfi.com/node/1205

The Industrial and Investment Policy of Manipur 2017

Policy with various components is being offered such as, incentives,improved infrastructure facilities, supply of quality power, and credit flowfrom Bank and Financial institutions, better market linkages and to boostinvestor confidence. The policy is to provide an investor friendlyenvironment for rapid industrial development in Manipur. Incentivesoffered include:-

• Capital investment subsidy, comprehensive insurance subsidy, interestsubsidy, transport subsidy.

• Bank Linkages for young entrepreneurs.

• Provision of land.

• Allotment of sheds to micro and small eentrepreneurs.

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• Permanent trade-cum-exhibition centre.

• Cargo terminal and forward linkages.

• Incentives to innovator.

• Subsidy for feasibility study/project report preparation.

• Power subsidy

• Tax-incentives

https://dcimanipur.gov.in/MSME/Industrial%20&%20Investment%20Policy%20of%20Manipu-2017.pdf

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IT Policy of Manipur 2015Manipur’s new IT Policy-2015 is planned to provide wider domain ofopportunities and more citizen inclusiveness. Incentives provided underthe policy are:-

• A special package of incentive to the tune of 5% will be offered for MegaIT/ITeS Projects.

• IT/ITeS units which intend to establish/expand will qualify for100% reimbursement of Stamp Duty and Registration Fee onsale/lease/transfer of land at the IT-SEZ for the first transaction and 50%reimbursement subsequently.

• Performance based subsidy to partially offset Lease rentals for the plug-and-play built up work place located in IT parks to the extent possible willbe provided for.

• Eligible IT/ITES units, after coming into commercial operation will beentitled to suitable exemption on Electricity at Industrial Tariff.

• Interest Subsidy for IT/ITeS MSMEs for a period of 5 years.

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http://manipur.gov.in/wp-content/uploads/2015/01/manipur-it-policy-2015.pdf

Education & Cultural Preparedness

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Educational Institutions Promoting Entrepreneurship

• All Manipur Entrepreneurs' Association (AMEA) is a statelevel organization having jurisdiction of entire Manipur is working invarious entrepreneurial development and promotional activities rangingfrom imparting training,awareness programmes, organizing workshops/seminars industrialexhibitions, conferences, etc. http://mastec.nic.in/all-manipur-entrepreneurs-association-amea.html

• MSME-DI Imphal organizes traning and entrepreneurship developmentprograms for the entrepreneurs. http://msme-diimphal.gov.in/

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• Centre for entrepreneurship & Skills Development Manipur Universityoffers Post Graduate Diploma in Entrepreneurship and Foreign Trade.http://ced.manipuruniv.ac.in/en/?s=Course&p=PGDEFT

• Institute of Cooperative Management (ICM), Imphal organizesentrepreneurship development and SKILL DEVELOPMENT trainingprogrammes. http://icmimphal.org/?page_id=17

Mentoring & Networking

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Startup Incubators, Co-Working Spaces

• Startup café Imphal or Imphal Business Incubation Centre, intends toincubate young entrepreneurs of Manipur. IBIC) is an initiative of Mr. C.Balagopal. He is one of the pioneers in medical device manufacturing inIndia. He is the founder of Terumo Penpol, one of the largestmanufacturers of blood bags in the world.

• Nibiaa Consultancy Pvt. Limited is a business incubator and co-workingspace to help create and grow young businesses and startup companiesto develop by providing them with necessary support such as workSpace and logistics, financial, management and technical services.http://www.nibiaa.com/

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Thank You.

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