MSME-Incentives ,Benefits and compliance · 2021. 6. 28. · List of projects that have been identified by Ministry of MSME for promoting MSMEs in aspirational districts with number

MSME-Incentives ,Benefits and compliance

CA. HEMANTHA KUMAR C N

Chartered Accountant/Insolvency Professional/Registered Valuer

EMAIL : [email protected] Mobile No: 9840757512

mailto:[email protected]

e) “enterprise” means an industrial undertaking or a business concern or anyother establishment,by whatever name called, engaged in the manufactureor production of goods, in any manner,pertaining to any industry specified inthe First Schedule to the Industries (Development and Regulation) Act, 1951(55 of 1951)

or

engaged in providing or rendering of any service or services;

Can trading companies register under MSME?

No. MSME covers only manufacturing and service industries.Trading companies are not covered by the scheme. MSME isto support start ups with subsidies and benefits, tradingcompanies are just like middlemen, a link betweenmanufacturer and customer. Hence not covered under thescheme.

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250

Entities that work under Ministry of MSME

• A Scheme for Promotion of Innovation, Rural Industries and Entrepreneurship (ASPIRE)

• Khadi and Village Industries Commission (KVIC)

• Mahatma Gandhi Institute for Rural Industrialization (MGIRI)

• National Institute for Micro, Small and Medium Enterprises (NIMSME)

• National Small Industries Corporation (NSIC)

• Scheme of Fund for Regeneration of Traditional Industries (SFURTI)

https://www.paisabazaar.com/business-loan/kvic/

https://www.paisabazaar.com/business-loan/national-small-industries-corporation-nsic/

https://www.paisabazaar.com/business-loan/sfurti-scheme/

List of projects that have been identified by Ministry of MSME for promoting MSMEs in aspirational districts with number of projects:

• Prime Minister Employment Generation Program (PMEGP) – 178• Micro & Small Enterprises Cluster Development (MSE-CDP) – 81• EDP/MDP schemes – 46• Entrepreneurial and Managerial Development of SMEs through Incubators

– 13• MSME Market Development Assistance (MDA) – 12• Marketing Assistance & Technology Upgradation (MATU) – 10• Revamped Scheme of Fund for Regeneration of Traditional Industries

(SFURTI) – 10• Credit Guarantee Trust Fund for Micro & Small Enterprises (CGTMSE) – 7• Credit Linked Capital Subsidy for Technology Upgradation – 6

https://www.paisabazaar.com/business-loan/pmegp-loan/

https://www.paisabazaar.com/business-loan/cgtmse-scheme/

• Financial Support to MSMEs in ZED Certification Scheme – 4

• Technology and Quality Upgradation Support to MSMEs – 4

• Lean Manufacturing Competitiveness for MSMEs – 3

• Design Clinic for Design Expertise to MSMEs – 1

• Assistance to Training Institutions (ATI) – 1

• A Scheme for Promoting Innovation, Rural Industry & Entrepreneurship (ASPIRE) -1

• Skill Upgradation & Mahila Coir Yojana (MCY) – 2

• Market Promotion & Development Scheme (MPDA) 1

• Performance and Credit Rating Scheme 1

• Marketing Support/Assistance to MSMEs (Bar Code)

• Others – 52

The role of the M/o MSME and its organizations is to assist the States in their efforts toencourage entrepreneurship, employment and livelihood opportunities and enhance thecompetitiveness of MSMEs in the changed economic scenario.

MSME Incentives, Benefits & Compliances

• Reduced rate of Interest from banks

• Collateral free loans from banks

• Protection against delayed payments

• Fast resolution of disputes

• MSME, eligible for availing government scheme

benefits which will include loans without guarantee,low-interest rates on loan.

https://samadhaan.msme.gov.in/MyMsme/MSEFC/MSEFC_Welcome.aspx

• 15% subsidy under CLCSS scheme for technology

upgradation

• The reduction income tax rate under the direct tax laws

• Carry forward the minimum alternate tax (MAT) credit for

up to 15 years instead of 10 years

• Benefits under the Credit guarantee scheme

• Octroi Benefits

http://www.dcmsme.gov.in/schemes/credit_link_scheme.htm

https://pib.gov.in/newsite/mbErel.aspx?relid=157867

http://dcmsme.gov.in/schemes/sccrguarn.htm

• Waiver of Stamp duty and registration fees

• Reimbursement of payment made for obtaining ISO

registration

• Reimbursement of payment made for obtaining

Trade Mark, Patent or Intellectual Property

• Benefits for Industrial Promotion Subsidy (IPS)

• Benefit up to 75% of registration fees for Barcodes.

https://my.msme.gov.in/MyMsme/Reg/COM_Ipgr.aspx

https://maitri.mahaonline.gov.in/PDF/Package%20Scheme%20of%20Incentives%20-%202019.pdf

http://www.dcmsme.gov.in/schemes/barcode.htm

• will have financial backing from the government for

participating in foreign business expos.

• will also get to enjoy other forms of subsidies that will

help you in increasing your company’s revenue.

• Concession in electricity bills

• company gains preference for government certification

• You will get an exemption when your enterprise applies

for government tenders.

Business Support Services by CAs

• Business Support services that can be provided by Chartered Accountants (CAs) to MSMEs can be in

the area of-

• Compliance is the key for organizing the MSME sector, Chartered Accountants being Partners in Nation

building are conversant with various laws and their compliances. Hence can handhold the MSME’s in

compliances to be followed.

• Besides Compliance Advisory, Chartered Accountants play a vital role in educating, handholding the

MSME’s from incubation to massive growth of the Company, until it exceeds the eligibility of being an

MSME.

1. Non-Compliance Areas

2. Compliance/Statutory Work

Management Consultancy Services• Financial management planning and financial policydetermination.

• Capital structure planning and advice regarding raising finance.

• Working capital management.

• Preparing project reports and feasibility studies.

• Preparing cash budget, cash flow statements, profitabilitystatements, statements of source and application of funds

etc.,

• Budgeting including capital budgets and revenue budgets.

• Inventory management, material handling and storage.

• Market research and demand studies.

• Price fixation and other management decision making.

• Management accounting system, cost control and value analysis.

• Control methods and management information and reporting.

• Personnel recruitment and selection.

• Setting up executive incentive plans, wage incentive plans etc.

Non-Compliance Area

Management Consultancy Services• Management and operational audit.

• Insurance and its importance and the advise on value of insurance and also support in insurance claims and

consulting in related litigation mechanisms.

• Valuation of shares and business and advice regarding amalgamation, merger and acquisition

• Business policy, corporate planning, organization development, growth and diversification.

• Organization structure and behaviour, development of human resources including design and conduct of

training programmes, work study, job description, job- evaluation and evaluation of workloads.

• System analysis and design, and computer related services including selection of hardware and development

of software in all areas of services, which can otherwise be rendered by Chartered Accountant in practice and

also to carry out any other professional services relating to EDP.

• Quality Audit.

• Environment Audit.

• Energy Audit.

Non-Compliance Area

Project Finance, Due Diligence & InsuranceProject Finance

• Project Financing Consultancy to Clients

• Liaising with the different financial institutions.

• Assist Clients in every field relating to finance, tax, accounts and banking.

Due Diligence

In relation to Corporate Restructuring Due Diligence can be sub-classified into discipline-wise exercises as follows:

• Commercial or Operational Due Diligence

• Financial Due Diligence

• Information systems Due Diligence

• Legal Due Diligence

• Environmental Due Diligence

Insurance Area

• Impart knowledge of assessing Risk relating to potential loss of profit on account of machinery breakdowns, fire,

natural calamities, transit losses, workmen compensation, accidental losses and other such similar areas.

• Designing the Insurance Products and advice for premium, rebates which fulfil the need of associate industry/

enterprise.

Non-Compliance Area

Insurance Litigation & Risk AssessmentInsurance Litigation

• Quantification of Claims, both personal injury and business interruption claims.

• Determining the consideration of liability involving accountants’ negligence and for other professional negligence

cases.

• Expertise in rendering assistance of fidelity insurance disputes and insurance accounting disputes.

Risk Assessment

• Identification of complex Business Risks which come in the form of many issues such as:

• Regulatory Compliance

• Litigation

• Competitive Market Pressures

• Changing Technology

• Investors’ Demands etc.,

• Evaluation of whether adequate precautions are taken to mitigate these Business Risks and whether the entities have

an appropriate system in place to effectively manage the risk

Non-Compliance Area

PerformancePerformance Measurement Services

• Competitive Performance

• Resource Performance

• Process Performance

• Environmental Performance

Business Performance Improvement

• In the competitive business world, improving business performance (efficiency and effectiveness) is a survival imperative.

• Meeting the rising expectations of key stakeholders in companies has led to a greater focus on ensuring better returns on

investment.

• MSMEs are now increasingly looking to develop more innovative ways to improve performance on lead- time, cost, quality and

service related parameters.

CAs as consultants, can assist the management in providing the following services:-

• Improving customer satisfaction

• Reducing process cycle cost

• Enhancing quality of delivered services.

Non-Compliance Area

Strategic Partner & IT Services

Long-term Strategic Partner

• CAs can be long term strategic partners of MSMEs. A Chartered Accountant can be the business partner for the long haul,

continuously adding values to the business.

Information Technology and Computer Software Related Services

• System Development Life Cycle

• Information Security

• Risk assessment

• Review of application controls

• Disaster recovery and business continuity

• Performance Measurement And Monitoring

• Emerging Standards

• E-Governance

• Other Areas

Non-Compliance Area

• Preparation of policies

• Review of IT Organization Structure

• Risk analysis

• Framing of long- term and short- term plans

• Internal control assessment

• Continuous and concurrent auditing

• External assurance

• Contractual agreements

• Selection of software tools

• Outsourcing

• Incident identification and intrusion detection system

• Disaster recovery planning

• Document retention plans

• Audit of quality check

• Audit of application controls

• Audit of emerging technologies

• Physical, logical and environment controls

• IT Budgeting

• Web trust assurance

IT Services – Other Areas

Non-Compliance Area

Arbitration and ConciliationA number of Chartered Accountants are members of Indian Council of Arbitration (ICA). An MSME can draw the services of arbitration

from Chartered Accountants. For the MSME, arbitration is a quick alternative dispute resolution medium at reasonable cost and time.

CAs can also take up various roles under the Arbitration and Conciliation Act, 1996 as listed below:

• Drafting of Arbitration Agreement.

• Representing either of the party (plainant and defendant) to the dispute in the arbitral proceedings.

• Assisting Arbitrator in drafting arbitral award.

• Assisting both parties to Court of Law.

• Assisting in preparing submissions to arbitrator.

• Member of Arbitral Tribunal.

• Assisting Trade and Industry associations in setting up Alternate Dispute Redressal (ADR) mechanism.

• Acting as arbitrator in Micro and Small Enterprises Facilitation Council u/s 18 of Micro, Small and Medium Enterprises Development

Act, 2006.

• In some legislation, redressal of dispute or particular kind of disputes are mandatorily to be resolved through Arbitration for e.g. In

Clause14 of First Schedule to the Limited Liability Partnership Act, 2008 - All disputes between the partners arising out of the limited

liability partnership agreement which cannot be resolved in terms of such agreement shall be referred for arbitration as per the

provisions of Arbitration and Conciliation Act, 1996.

• Assisting India Judiciary u/s 89 of Code of Civil Procedure 1908, where there is possibility of settling of dispute through arbitration.

Non-Compliance Area

Service for Carbon Credit Mechanism• Carbon credits are key component of national and international emissions trading schemes that have been

implemented to mitigate global warming.

• They provide a way to reduce green-house effect emissions on the industrial scale by capping total amount emissions

and letting the market assign a monetary value to any shortfall through trading.

• MSMEs have very little knowledge of Certified Emission Reductions (CERs). Credits are issued by Clean Development

Mechanism (CDM) Executive Board for emission reduction achieved by their projects. Ministry of Environment and

Forests is the nodal agency for climate change issues in India.

• SMPs can render following services under Carbon Credit Mechanism:

• Conceptualizing the Clean Development Mechanism (CDM) Project.

• Quantification of green-house gases (GHG) Carbon Footprint.

• Selection of Cleaner technologies for New projects.

• Project risk analysis.

• Registration of project- both national and international level.

• Obtaining Host country approval.

• Preparation of Project Concept Note.

• Preparation of Project Design Document.

• Selection of Methodologies and Baseline.

• Legal and regulatory advice during negotiations with host country Designated National Authority (DNA)

Non-Compliance Area

• Advice on the appointment of independent validators.

• Assistance to achieve registration of the project by the CDM Executive Board.

• Assistance in getting verification done by Designated Operational Entity (DOE).

• Ensure Compliances.

• Assisting various Ministries associated with National Action Plan on Climate Change (NAPCC).

• Carbon Finance.

• Energy Audit under The Energy Conservation Act, 2001.

• Advice on investment in carbon credit.

• Accounting advisory services.

• Taxation advisory services.

Services Required for Environmental Laws

• Give opinion on – viability of various projects, technologies to prevent pollution and clean up polluted resources.

• Obtain consents under the various environmental regulations and also ensure that the conditions of the consent order are comp lied with on a regular

basis.

• Research, identify and analyze different sources of pollution to determine their effects on the environment and find alternative ways to handle projects

in an environmentally sensitive manner.

• Obtaining Consents under the Water Pollution Act, 1974 and Air Pollution Act, 1981. Under the provisions of these Acts, entrepreneur running or

establishing any industry or process and discharging effluent/emitting pollutants into any water resources or on land/air and polluting thereby the

environmental water/ air is required to obtain consent.

• Submitting Application form for obtaining No Objection Certificate (NOC) from the Pollution Control Boards.

• Environmental Clearance and Environmental Impact Assessment (EIA).

Carbon Credits / Environmental Laws

Non-Compliance Area

Accounts & Auditing

Preparation of Statutory Financial Accounts

• CAs has the competence to support MSMEs in preparation of financial statements required under any law which the

MSMEs cannot do on their own because of the absence of in-house expertise with them. This is traditional work

being executed since long by the CAs.

• Audit of Accounts / Certifications

• Companies Act

• Income Tax Act – 44AB, 35D, 35E, 44AD, 80I, 80IA, 142(2A)

• MSMEs run by Co-operative Societies and other societies are also required to get their

accounts audited.

Compliance/Statutory Area

Compliance of Tax Laws – Direct TaxesIncome Tax• Taxation, tax planning and tax management

• Advisory and consultancy services

• Nearly two dozen certifications to be done by CAs

• Verify deductions under Section 10A & 10B

House and Property Tax

• There has been an enormous increase in the value of real estate and house property and this area of tax practice can be profi tably handled by CAs.

International Tax Service• Cross border investments

• Transfer pricing

• Services for Foreign Institutional Investors

• Structuring of entities

• Double Taxation Avoidance Agreements

• E-commerce taxation

• Foreign collaboration agreements

• Offshore operations


Compliance of Tax Laws – In Direct TaxesGoods & Services Tax• Consultancy on the applicability and levy of GST, Works Contract Act

• Assisting in the structuring of the transactions and agreements in relation to inter-state and intra-state sales

Customs• Advisory relating to various aspects of customs law and applicable regulations, covering rates of duties,

exemption, valuation planning, classification assistance and assessments.

• Some other areas where CAs can render services include inter alia:

• Rendering advice and wide range of custom procedures and documentation requirements, including those relating to

import and export of goods, clearance of imports, warehousing, duty entitlements, to name a few.

• Assisting clients on the policies and procedures set down under the Export- Import Policy, such as licensing requirements.

• Providing the right guidance to enable the clients to make the most of ways in which benefits are available to specific

entities/projects or to units in specified areas, as well as confections available under various export promotion schemes.

Anti-Dumping Duties

• CAs can render services like analysis of the existing anti- dumping proceedings, preparation and filling of

complaint with the Directorate General of Anti-Dumping (DGAD), and compliance procedures relating to

these proceedings etc.


Compliance of Tax Laws – Labour Laws

Labour Laws

• Contract Labour (Regulation & Abolition) Act, 1970 and Rules

• Employee State Insurance Act, 1948

• Employee’s Provident Fund and Miscellaneous Provisions Act, 1952

• Payment of Bonus Act, 1965

• Payment of Gratuity Act, 1972

• Payment of Wages Act, 1936

• Workmen’s Compensation Act, 1923

• The Foreign Contribution (Regulation) Act, 2010


CA. HEMANTHA KUMAR N, FCA, RV (SFA), IP

[email protected]| [email protected] | +91 9840757512

MSME SCHEMES 1

MINISTRY OF MICRO, SMALL & MEDIUM ENTERPRISESGOVERNMENT OF INDIA

e-book on Schemes for MSMEs

MSME SCHEMES 2

Schemes implemented by M/o MSME & its organisatons

1. Prime Minister’s Employment Generation Programme (PMEGP)

2. 2nd Loan for up-gradation of the existing PMEGP/MUDRA units

3. Credit Guarantee Scheme for Micro & Small Enterprises (CGTMSE)

4. Credit Linked Capital Subsidy Component (CLCS & TU Scheme)

5. Procurement and Marketing Support (PMS) scheme

6. International Cooperation (IC) Scheme

7. Micro & Small Enterprises Cluster Development Programme (MSE – CDP)

8. Scheme of Fund for Regeneration of Traditional Industries (SFURTI)

9. A Scheme for Promotion of Innovation, Rural Industries and Entrepreneurship (ASPIRE)

10. ZED Certification Scheme

11. Lean Manufacturing Competitiveness for MSMEs

12. Design Clinic for Design Expertise to MSMEs

13. Digital MSME

14. Entrepreneurial and Managerial Development of SMEs through Incubators

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Table of Content

MSME SCHEMES 3

15. Awareness on Intellectual Property Rights (IPR)

16. Entrepreneurship Skill Development Programme (ESDP) Scheme

17. National SC-ST Hub

18. Assistance to Training Institutions (ATI) Scheme

19. Coir Industry Technology Upgradation Scheme

20. Skill Upgradation and Mahila Coir Yojana

21. Interest Subsidy Eligibility Certificate (ISEC)

22. Work-Shed Scheme for Khadi Artisans

23. Rojgar Yukt Gaon

24. Mahatma Gandhi Institute for Rural Industrialization (MGIRI)

New Schemes

1. Pottery Activity under Gramodyog Vikas Yojana (GVY) scheme

2. Beekeeping Activity under “Gramodyog Vikas Yojana(GVY) Scheme

3. Agarbatti Making Project under “Gramodyog Vikas Yojana(GVY) Scheme

4. Tool Rooms and Technical Institutions - A Component of Infrastructure Development & Capacity Building scheme

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MSME SCHEMES 4

Prime Minister’s Employment Generation Programme (PMEGP)

Objective:

• The scheme aims to provide financial assistance to set up self-employment ventures and generate sustainable employment opportunities in rural as well as urban areas.

• To generate sustainable and continuous employment opportunities to rural and unemployed youth as well as prospective traditional artisans and thereby halt occupational migration.

Key Benefits:

• Bank-financed subsidy program for setting up new micro-enterprises in non-farm sector.

• Margin Money subsidy on Bank Loan ranges from 15% to 35% for projects up to Rs. 25 Lakh in manufacturing and Rs. 10 Lakh in the service sector

• For beneficiaries belonging to special categories such as SC/ST/Women/PH/Minorities/Ex-Servicemen/NER, the margin money subsidy is 35% in rural areas and 25% in urban areas. The maximum cost of projects is Rs. 25 lakh in the manufacturing sector and Rs.10.00 lakh in the service sector.

Scheme applicable for:

• Any individual, above 18 years of age can apply

• Self Help Groups, Institutions registered under Societies, Production Co-operative Societies and Charitable Trusts.

Detailed Information:

• The own contribution of the beneficiary is 10% of the project

MSME SCHEMES 5

cost in case of general category and 5% of the project cost in case of reserved category (SC/ST/OBC/PH/Women/Ex Servicemen/ NER) beneficiaries.

• If the application for loan is approved, Banks sanction and release the balance amount of 90 to 95 percent of the total project cost suitably for setting up of the units by the beneficiaries.

• In order to have sustainability of the projects/units set up under the scheme, support services are also provided in the form of Backward & Forward Linkages by organizing events like awareness camps, workshops, EDP training to the beneficiaries, exhibitions, etc.

• Government of India has introduced online process flow of application and disbursement of Margin Money directly to financing branches.

• One-page online application form is mandatory for individuals and institutional beneficiaries on the e-portal. The application form/PMEGP MIS portal is mobile friendly. SMS/e-mail alerts sent to the applicant automatically by the system or by the concerned officials at the process of each stage.

• Model Projects of different KVI activities have been put up on PMEGP e-portal for the benefit of potential beneficiaries.

• Model Village Industries projects prepared by NSIC have also been linked to the website.

• To increase the registration of MSMEs in the country, the Government has undertaken measures that the PMEGP units can adopt the Udyog Aadhar Memorandum (UAM) to register online.

How to apply:

• Apply on https://www.kviconline.gov.in/pmegpeportal/ pmegphome/

MSME SCHEMES 6

2nd Loan for up-gradation of the existing PMEGP/MUDRA units

Objective:

• With an objective to assist exiting units for expansion and upgradation, the scheme provides financial assistance to successful/ well performing units.

• The scheme also caters to the need of the entrepreneurs for bringing new technology/ automation so as to modernize the existing unit.

Key Benefits:

• Maximum subsidy would be 15% of the project cost (20% for NER and Hill States). The balance amount of the total project cost is provided by Banks as term loan.


• Existing well performing PMEGP/MUDRA units


• Further financial assistance scheme for expansion/ upgrade the existing PMEGP/MUDRA units for manufacturing and Service/ Trading units from the year 2018-19

• The maximum cost of the project under manufacturing sector for up-gradation is Rs.1.00 crore and Rs.25.00 lakh under Service/ Trading sector.

• Maximum subsidy would be 15% of the project cost (20%) for NER and Hill States) i.e. Rs. 15.00 lakh in Non-NER and Rs. 20.00 Lakh for NER and Hill States. The balance amount of the total project cost shall be provided by Banks as term

MSME SCHEMES 7

loan.

• All existing units financed under PMEGP/MUDRA Scheme whose margin money claim has been adjusted and the first loan availed has been repaid in stipulated time are eligible to avail the benefits

• The units should have been making profit for the last three years.

• Beneficiary can apply to the same financing bank, which sanctioned the loan for their unit, or to any other financing bank, which is willing to extend credit facility for second loan.

• The beneficiary can choose any implementing agency and that may be different from the agency chosen for 1st loan.

• Registration of Udyog Aadhar Memorandum (UAM) is mandatory.

• The 2nd loan should lead to additional employment generation.

• To submit the application under 2nd loan for up-gradation, the beneficiaries have to apply by filling application form on PMEGP e-Portal

How to apply:

• Apply on https://www.kviconline.gov.in/pmegpeportal/ pmegphome/

MSME SCHEMES 8

Credit Guarantee Scheme for Micro & Small Enterprises (CGTMSE)

Objective

• To encourage first generation entrepreneurs to venture into self-employment opportunities by facilitating credit guarantee support for collateral free / third-party guarantee-free loans to the Micro and Small enterprises (MSEs), especially in the absence of collateral.

Key Benefits:

• Credit guarantee for loans up to Rs. 2 crores, without collateral and third-party guarantee.

• Guarantee coverage ranges from 85% (Micro Enterprise up to Rs 5 lakh) to 75% (others).

• 50% coverage is for retail activity.

Scheme applicable for

• Existing Entrepreneurs and Aspiring Entrepreneurs

Detailed Information

• Any collateral/ third party guarantee free credit facility (both fund as well as non-fund based) extended by eligible institutions, to new as well as existing Micro and Small Enterprises, including Service Enterprises, with a maximum credit cap of 200 lakh (Rupees Two Hundred lakh only) are eligible for guarantee under the scheme. Recently, guarantee coverage made eligible to select NBFCs and Small Finance banks.

• The guarantee cover available under the scheme is to the extent of 50%/ 75% / 80% & 85% of the sanctioned amount

MSME SCHEMES 9

of the credit facility. The extent of guarantee cover is 85% for micro enterprises for credit up to 5 Lakh. The extent of guarantee cover is 50% of the sanctioned amount of the credit facility for credit from 10 lakh to 100 Lakh per MSE borrower for retail trade activity.

• The extent of guarantee cover is 80% for (i) Micro and Small Enterprises operated and/or owned by women; and (ii) all credits/loans in the North East Region (NER) for credit facilities up to 50 Lakh. In case of default, the trust settles the claim up to 75% of the amount in default of the credit facility extended by the lending institution for credit facilities up to 200 Lakh.

How to apply

• Through Member Lending Institutions (Banks and NBFCs)

MSME SCHEMES 10

Credit Linked Capital Subsidy Component (CLCS & TU Scheme)

Objective

• The objective is to facilitate technology up-gradation in MSEs with state-of-the-art technology, with or without expansion and also for new MSEs which have set up their facilities by providing an upfront capital subsidy of 15 per cent (on institutional finance of upto Rs 1 crore availed by them).

Key Benefits

• Induction of established and improved technologies.

• 15% Subsidy on institutional credit up to Rs 1.00 crore with a subsidy cap of Rs.15.00 lakh.




• The objective of CLCS component of CLC-TUS is to facilitate technology to MSEs through institutional finance for induction well established and proven technologies in the specific sub-sector/products approved under the scheme:

• Upfront subsidy of 15% on institutional credit up to Rs. 1.0 crore (i.e. a subsidy cap of Rs. 15.00 lakh) for identified sectors/subsectors/ technologies.

• In order to ensure fair inclusion of SC/ST category, women entrepreneurs and entrepreneurs from NER, Hill States (Jammu & Kashmir, Himachal Pradesh & Uttarakhand)

MSME SCHEMES 11

Island Territories (Andaman & Nicobar and Lakshadweep) and the identifies Aspirational Districts/ LWE Districts, the subsidy has also been proposed to be admissible also for investment in acquisition/ replacement of plant & machinery/equipment & technology up-gradation of any kind.

How to apply

• As per Scheme guidelines - Through Prime lending Institution / Nodal Banks.

MSME SCHEMES 12

Procurement and Marketing Support (PMS) scheme

Objective

• To enhance the marketability of products and services in the MSME sector.

• To promote new market access initiatives, create awareness and educate the MSMEs about various marketing relevant topics

• To create more awareness about trade fairs, digital advertising, e-marketing, GST, GeM portal, public procurement policy and other related topics etc.

Key Benefits• Participation of Individual MSEs in domestic Trade Fair/ Exhibition

• Capacity building of MSMEs in Modern Packaging Technique / Development of Marketing Haats.

• Organizing Domestic Trade Fair& Exhibition/ Vendor Development Programs/ National & International Workshops & Seminars/ Awareness programs


• Existing Entrepreneurs


• Participation of individual MSEs in domestic trade fairs/ exhibitions across the country: Maximum Budgetary support (space rent and contingency) upto Rs.1.5 Lakh max. for Metro & A class cities. Rs 1.0 Lakh max. for Class B cities / NER/ J&K/ Hilly States and for other cities Rs.0.80 Lakh max.

• Organizing Domestic Trade Fairs/ Exhibition and

MSME SCHEMES 13

participation in trade fairs/exhibitions by the Ministry/Office of DC (MSME)/Government organizations:

• Maximum Budgetary support for space rent and advt. & publicity for the event is as follows,

• Regional :(State/District): Rs.30.00 Lakh max.

• National: Rs.40.00 Lakh .max.

• International: As decided by Empowered Committee subject to approval of Deptt. Of Expenditure.

• Capacity building of MSMEs in modern packaging technique: Maximum Budgetary support of Rs.1.0 lakh max. for ordinary packaging consultancy and Rs.1.5 lakh max. for green packaging consultancy for MSME unit.

• Development of Marketing Haats. Maximum Budgetary support: For Development of new MSME Haats, upper limit of GIA will not exceed Rs. 50 lakh max.

• For Renovation/up-gradation of existing Marketing Haats, upper limit of GIA will not exceed Rs.20 Lakh max.

• Vendor Development Programmes: Maximum Budgetary support is as follows; State Level Vendor Development Programme (SLVDP): Rs. 1 Lakh max. (One day) National Level Vendor Development Programme (NLVDP): Rs. 10 lakh max. for A class city and Rs.7.0 lakh max. for other cities. (2-3 days)

• International/National Workshops/Seminars.: Maximum Budgetary Support would be Rs 5.0 lakh maximum or actual whichever is less and for National Workshop/Seminar and Rs 7.5 Lakh maximum or actual whichever is less for International Workshop/Seminar

• Awareness Programs: Maximum Budgetary support of Rs. 70,000/- max. per program (One day)

How to apply

• Apply on https://my.msme.gov.in/MyMsme/Reg/COM_ Matu.aspx

MSME SCHEMES 14

International Cooperation (IC) Scheme

Objective

• To enhance the competency of MSMEs, capture new markets for their products, and explore new technologies for improving manufacturing capacity, etc.

• The scheme supports MSMEs by way of participation in international events for exploring export opportunities, access to international business networks, technology upgradation/modernization, improved competitiveness, awareness of better manufacturing practices etc.

Key Benefits:

• Reimbursement for participation/visit in international exhibitions/fairs

• Reimbursement for holding international conferences and seminars by industry associations/Govt. organizations.




• Assistance provided under the scheme:

• For Participation in International Exhibition/Fair:

• Economy class Air fare fair (maximum of Rs. 1 Lakh).

• Stall charges (maximum Rs. 1.25 Lakh).

MSME SCHEMES 15

• Freight Charges (maximum Rs. 25,000/-)

• Entry/Registration fee up to Rs. 5000/-

• For Organizing International Conference in India

• Cost for organizing the event subject to a maximum of Rs. 4.50 Lakh.

• Airfare for foreign speakers (minimum 03) up to a maximum of Rs. 2.50 lakh.

• For more detailed information refer to Scheme guidelines, on the following link: https://msme.gov.in/sites/default/files/IC-Scheme- Guidelines-June-2018.pdf

How to apply:

• Apply on http://ic.msme.gov.in/

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Micro & Small Enterprises Cluster Development Programme (MSE – CDP)

Objective

• To support the sustainability and growth of MSEs by addressing common issues such as improvement of technology, skills & quality, market access, etc.

• To create/upgrade infrastructural facilities in the new / existing Industrial Areas / Clusters of MSEs.

• To set up Common Facility Centres (for testing, training, raw material depot, effluent treatment, complementing production processes, etc).

• Promotion of green & sustainable manufacturing technology for the clusters.

Key Benefits:

• Creation of Common Facility Centers including Plug & Play Facilities.

• Support for Infrastructure Development Projects including Flatted Factory Complexes.


• Existing Entrepreneurs (in form of a SPV).


• Common Facility Centers: Creation of “tangible assets” such as Common Production / Processing Centre, Design Centers, Testing Facilities including Plug & Play Facilities. GoI Assistance: up to 90% of the maximum Project cost of Rs. 20 crores.

- Infrastructure Development: Development of land, roads, drainage, power distribution etc. in new / existing industrial

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(multi-product) areas / estates / Flatted Factory Complex. GoI Assistance: up to 80% of the maximum Project cost of Rs. 15 crores.

How to apply

• Apply on https://cluster.dcmsme.gov.in/

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Scheme of Fund for Regeneration of Traditional Industries (SFURTI)

Objective

• To organize the traditional industries and artisans into clusters in order to make them competitive and provide support for their long- term sustainability.

Key Benefits:

• Support traditional artisans to provide sustainable employment

• Government of India support up to Rs. 2.5 cr. up to 500 artisans and Rs. 5 cr. for more than 500 artisans

• Set up physical infrastructure with CFCs, latest machines, training, etc. in clusters.


• Existing artisans from traditional industries


• Assistance and support to traditional industry artisans to provide them sustainable employment through Hard Intervention in setting up physical infrastructure with CFCs, raw material banks, latest machines, and Soft Intervention in skill development, market promotion initiatives, etc. in clusters.

• Financial assistance of up to 90% (95% in NER, J&K and Hill Areas) of Hard Intervention cost and entire cost of Soft Intervention

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How to apply

• Apply on https://sfurti.msme.gov.in/SFURTI/Home.aspx

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A Scheme for Promotion of Innovation, Rural Industries and Entrepreneurship (ASPIRE)

Objective

• To set up a network of technology centres and incubation centres to accelerate entrepreneurship and promote innovation to further strengthen the competitiveness of MSME sector.

Key Benefits

• Set up Livelihood Business Incubators (LBIs) and Technology Business Incubators (TBIs) to skill youths for own enterprises and incubation of innovative ideas

• Maximum Rs. 1 cr. to Government agencies and maximum Rs. 50 Lakh to private agencies for procuring plant and machinery

• Maximum Rs. 1 cr. given to new TBIs and maximum Rs. 30 Lakh to existing TBIs for procurement of plants and machinery.


• For LBIs:

• Any agency/institution of Govt. of India/ State Govt.

• Any Private Institution under PPP mode with any agency of Govt. of India/State Govt.

• For TBIs:

• Existing Incubation Centers under Ministries/ Departments of Govt. of India

• National/ Regional institutions of Govt. of India/ State Govt.

• New TBIs can be set up by Industry Associations Academic Institutions, R&D labs, Universities, Govt.

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entities and Technology Parks


• LBIs are set up to train/skill youths in various vocations/ fields primarily in agro-rural space to enable them, either to set up own enterprises or seek wage employment in related fields/industries.

• TBIs are set up to promote youths to incubate new and innovative ideas in agro-rural space by providing basic incubation facilities.

How to apply

• Proposal to be filled up as per the prescribed format given in https:// aspire.msme.gov.in and submitted to the Ministry through Member Secretary, Scheme Steering Committee at [email protected]

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ZED Certification Scheme

Objective

• The objective of the scheme is to enable MSMEs for manufacturing of quality products. by inculcating Zero Defect & Zero Effect practices in manufacturing processes, ensure continuous improvement thereby supporting the Make in India initiative.

Key Benefits

• Promote adaptation of Quality tools/ systems and Energy Efficient manufacturing.

• Financial assistance will be provided to the MSMEs in obtaining a ZED certification.

• Reimbursement of Certification fees/ Consultancy charges on successful certification, subject to an upper ceiling as per the scheme guideline. This can be claimed only once each for National and International Standards.

• For MSMEs supplying for Defence, reimbursement shall be admissible additionally on Defence related certificates/ Standards only once.




• The scheme envisages promotion of Zero Defect and Zero Effect (ZED) manufacturing amongst MSMEs

• Encourage and Enable MSMEs for manufacturing of quality products using latest technology tools & to

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constantly upgrade their processes for achievement of high productivity and high quality with the least effect on the environment.

• Develop an Ecosystem for Zero Defect Zero Effect Manufacturing in MSMEs, for enhancing competitiveness and enabling exports.

• Promote adoption of Quality and recognizing the efforts of successful MSMEs.

• Increase public awareness on demanding Zero Defect and Zero Effect Products through the ZED Rating and Grievance Redressal Portal.

How to apply

• Check on http://dcmsme.gov.in/schemes/clcs-tus/Operational_Guidelines_ZED.pdf

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Lean Manufacturing Competitivenessfor MSMEs

Objective

• To enhance the manufacturing competitiveness of MSMEs through the application of various Lean Manufacturing (LM) techniques by – Reducing waste; Increasing productivity; Introducing innovative practices for improving overall competitiveness; Inculcating good management systems; and Imbibing a culture of continuous improvement

Key Benefits

• Financial assistance is provided for implementation of lean manufacturing techniques, primarily the cost of lean manufacturing consultant (80% by GoI and 20% by beneficiaries).




• The objectives of the Scheme are to enhance the manufacturing competitiveness of MSMEs through the application of various Lean Manufacturing (LM) techniques.

• The scheme will be implemented in mini clusters spread all over the country for all manufacturing sectors. The Scheme will be implemented by National Monitoring and Implementing Units (NMIUs), under the overall directions of DC (MSME).

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How to apply

• Check on http://www.dcmsme.gov.in/schemes/clcs-tus/ LEAN-Operational-Guidlelines.pdf

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Design Clinic for Design Expertise to MSMEs

Objective

• To provide expert advice and cost-effective solutions on real-time design problems for the MSMEs in India and to enhance their competitiveness in the global markets through new product development or value addition for existing problems.

Key Benefits

• To facilitate MSMEs to develop new Design strategies and or design related products through design interventions and consultancy. Financial assistance to the MSMEs for engagement of design consultants for design intervention (GoI contribution @ 75% for micro, 60% for SMEs for the project range up to Rs. 40 lakh).

• The Design Scheme shall support design work by reimbursing 75% of expenses incurred up to Rs. 1.5 lakh for final year student project done for MSMEs




• To bring Indian manufacturing sector and Design expertise/ Design fraternity on to a common platform and to provide expert advice and cost-effective solution on real time design problems, resulting in new product development, continuous improvement and value addition for existing products including new products.

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How to apply

• MSMEs can submit their proposal to Implementing Agency (IA) as per scheme guideline.

• The scheme guideline at: http://www.dcmsme.gov.in/schemes/Design-Guidelines-CLCS-TUS-2019-2020.pdf

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Digital MSME

Objective

• To promote Information and Communication Technology (ICT) in MSME Sector by adopting ICT tools and applications in their production and business process.

• The scheme is also aimed at creating awareness, supporting developments and e-platforms, creating literacy, training and promoting digital marketing in MSME sectors

Key Benefits

• To digitally empower MSMEs and enhance their performance for greater competitiveness with low cost and high efficiency.




• The main objective of scheme is to make MSMEs digitally empowered and motivate them to adopt ICT tools and applications in their production & business processes with a view to improve their competitiveness in national and international Market.

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How to apply

• Apply at: http://www.dcmsme.gov.in/schemes/DigitalMSME-Guideline-CLCS-TUS-2019-2020.pdf

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Entrepreneurial and ManagerialDevelopment of SMEs through Incubators

Objective

• To promote emerging technological and knowledge based innovative ventures that seek the nurturing of ideas from professionals beyond the traditional activities of Micro, Small & Medium Enterprises (MSMEs)

Key Benefits

• Funding support up to Rs. 15 Lakh for development of innovative ideas into commercial products.

• Seed funding support up to Rs. 100 Lakh for setting up new units for commercialization of successful innovative ideas




• The main objective of the scheme is to promote & support untapped creativity of individual and to promote adoption of latest technologies in manufacturing as well as Knowledge based innovative MSMEs (ventures) that seek the validation of their ideas at the proof of concept level.

• The scheme also supports engagement with Enablers who will advise such MSMEs in expanding the business by supporting them in design, strategy and execution. The Enablers will play a pivotal role and would be integral part

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of the business development.

How to apply

• Apply at: http://www.dcmsme.gov.in/schemes/ Incubator-Guidelines-CLCS-TUS-2019-2020.pdf

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Awareness on Intellectual Property Rights (IPR)

Objective

• To enhance awareness among the MSMEs about Intellectual Property Rights, to take measures for protecting their ideas and business strategies thereby assisting them in in technology upgradation and enhancement of their competitiveness.

Key Benefits

• Reimbursement of Patent/Trademark/GI

• Patent:

• Indian Patent up to Rs.1.00 Lakh

• Foreign Patent up to Rs. 5.00 Lakh

• Trademark up to Rs. 0.10 Lakh

• GI Registration Rs. 2.00 Lakh

• Assistance for setting up IP Facilitation Centre up to Rs. 1.00 cr. for period of 5 years




• To enhance the awareness of Intellectual Property Rights (IPRs) amongst the MSMEs to encourage creative intellectual endeavor in Indian economy;

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• To take suitable measures for the protection of ideas, technological innovation and knowledge-driven business strategies developed by the MSMEs for;

• To provide appropriate facilities and support for protection and commercialization of Intellectual Property (IP) for the benefit of MSME sector;

• To assist SMEs in effective Utilization of IPR Tools for technology up-gradation, market and business promotion and competitiveness. enhancement.

How to apply

• View IPR Guidelines http://www.dcmsme.gov.in/schemes/ IPR-Guidelines-CLCS-TUS-2019-2020.pdf

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Entrepreneurship and Skill Development Programme (ESDP) Scheme

Objective

• To promote new enterprises, capacity building of existing MSMEs and inculcating entrepreneurial culture in the country

Key Benefits

• Widen the base of entrepreneurship by development, achievement, motivation and entrepreneurial skill to the different sections of the society.


• Aspiring and Existing Entrepreneurs


• Entrepreneurship/ Self-employment awareness and motivation to different sections of the society including SC/ ST/ Women, differently abled, Ex-servicemen and BPL persons as career options.

• Enterprise Facilitation for Ideation, Mentoring and incubation, Credit facilitation, Market accessibility, Enterprise Clinic, Diagnostic studies in the event of sickness, counseling and other facilities.

• Entrepreneurship & Skill Training in Agro Based Products, Hosiery, Food & Fruit Processing Industries, Carpet Weaving, Mechanical Engineering Workshop/ Machine Shop, Heat Treatment, Electroplating, Basic/Advance Welding/ Fabrication/Sheet metal work, Basic/ Advance Carpentry, Glass & Ceramics etc.

• Management capacity building Training to Existing Entrepreneurs and their supervisory staff in Industrial

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Management, Human Resource Management, Marketing Management, Export Management/Documentation & Procedures, Materials Management, Financial/Working Capital Management, Information Technology, Digital Marketing, Quality Management/QMS/ISO 9000/EMS, WTO, IPR, Supply Chain Management, Retail Management, Logistics Management etc.

How to apply

• To be apply through MSME-DI, MSME-TC websites. The scheme link - http://dcmsme.gov.in/ Enterprise&skillDevelopment.htm

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National SC-ST Hub

Objective

• To provide professional support to Scheduled Caste and Scheduled Tribe Entrepreneurs to fulfill the obligations under the Central Government Public Procurement Policy for Micro and Small Enterprises Order 2012, adopt applicable business practices and leverage the Stand-Up India initiatives.

Key Benefits

• To achieve 4% Public Procurement target from SC-ST entrepreneurs

• Facilitating SC/ST Entrepreneurs to be part of vendor development programs and mentoring support

• Collection, collation and dissemination of information regarding SC/ST enterprises and entrepreneurs

• Distribution of trade specific tool kits to trained candidates


• Existing and Aspiring SC/ST Entrepreneurs


• The National SC-ST Hub (NSSH) has been set up to provide professional support to Scheduled Caste and Scheduled Tribe Entrepreneurs to fulfil the obligations under the Central Government Public Procurement Policy for Micro and Small Enterprises Order 2012, adopt applicable business practices and leverage the Stand-Up India initiative. The key action areas of NSSH include vendor development, participation in

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public procurement, building reliable database, mentoring and handholding support, policy advocacy with states, credit facilitation, capacity building, private affirmative action, technology upgradation, marketing support, and special subsidies under various schemes. The NSSH works on the mentioned priority areas through various sub-schemes which are as follows:

• Special Credit Linked Capital Subsidy Scheme

• Special Marketing Assistance Scheme

• Single Point Registration Scheme

• Bank Loan Processing Reimbursement Scheme

• Bank Guarantee Charges Reimbursement Scheme

• Testing Fee Reimbursement Scheme

• Export Promotion Council Membership Reimbursement Scheme

• Top 50 NIRF Rated Management Institution’s Short-Term Training Program Fee Reimbursement Scheme

How to apply

• Apply on https://www.scsthub.in/

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Assistance to Training Institutions (ATI) Scheme

Objective

• To create and strengthen infrastructure and assistance for entrepreneurship and skill development training programmes.

Key Benefits

• Support for infrastructure and capacity building of training institutions of Ministry of MSME and existing State level EDIs.

• Support for skill development programmes by training institutions of the Ministry of MSME.


• Only for training institutions of Ministry of MSME and State level EDIs.


• Assistance may be provided for creation or strengthening/ expansion of infrastructure, including opening of new branches/centres to training institutions of Ministry of MSME and for meeting revenue deficit, if any, of National Institute for Micro, Small and Medium Enterprises (NIMSME).

• The maximum assistance under the scheme to a State level EDI will be restricted to Rs.250 lakh in each case. This grant would be utilized for development of physical infrastructure, equipment, faculty training and development of capability in undertaking studies and research on issues related to MSME sector. This grant would be over and above the grant, if any, received by that institution earlier under

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the ATI scheme.

• For the purpose of grant under this category, an EDI owned and controlled by a State Government / UT would be selected as recommended by the State Government/UT. The selected state level EDI will have to enter into a partnership agreement (or, MOU) with NIMSME to formulate and implement the approved proposal.

How to apply

Training institutions of the Ministry of MSME and State level EDIs may send their applications to the Director/Deputy Secretary (EDI), Ministry of MSME.

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Coir Industry Technology Upgradation Scheme

Objective

• To provide assistance to the entrepreneurs for procurement of eligible Plant & Machinery for modernization, upgradation and/or establishing a new unit.

Key Benefits

• To establish new state of the art coir processing units

• To provide modern infrastructure facilities to the production units.

• Upper ceiling of Financial assistance will be Rs.2.50 crores.


• Existing and Aspiring Entrepreneurs


• The scheme aims at giving away assistance to the entrepreneurs for upgrading and/or procurement of eligible plant and machinery for modernization and thereby establishing a new unit that is capable of making an application for the larger investment in the coir sector. The financial assistance provided under this scheme will be set at 25% of the total cost of admissible items of ‘plant and machinery’ that are procured by the Coir units. All coir production or processing units that are registered with the ‘Coir Board’ under ‘Coir Industry’ (Registration) Rules 2008 and are having ‘Udyog Aadhar’ are eligible to apply for the financial assistance available under this scheme for modernization.

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How to apply

• Apply on http://coirboard.gov.in/

• The applicant/beneficiary unit seeking assistance under this component shall file applications online with all relevant details /documents prescribed.

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Skill Upgradation and MahilaCoir Yojana

Objective

• Impart training in processing of coir and value addition to potential workers, coir artisans/entrepreneurs through training centres of Coir Board.

• Provide self-employment opportunities to rural women artisans in regions processing coconut husk.

Key Benefits

• Training to personnel in the cadres of supervisors/ instructors/ artisans in coir industry.

• EDPs/Workshops/Seminars on development of coir industry.


• Existing and Aspiring Entrepreneurs.


• Any individual can avail of the technologies available with Coir Board by paying a nominal fee including training / incubation /handholding support/assistance for setting up new units from R & D Institutes of the Board.

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How to apply

• Apply on http://coirboard.gov.in/

• The officer-in-charge of the Regional Extension Centre will handle selection of trainees for training programmes conducted at the Regional Extension Centres. Trade Associations, Unit Owners, NGOs, Co-operatives and Industries Department will sponsor such candidates and recommend them for training.

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Interest Subsidy Eligibility Certificate (ISEC)

Objective

• To provide funding for khadi programme undertaken by khadi institutions by mobilizing funds from banking institutions for filling the gap between the actual fund requirements and availability of funds from budgetary sources.

Key Benefits

• Credit at the concessional rate of interest is made available as per the requirement of the Khadi Institutions (KI) to mobilize additional requirements of fund from the Financial Institutions / Banks.

• The KI is required to pay only 4% interest rate. The difference between the actual Interest charged by the Bank and 4% is borne by the KVIC as “Interest Subsidy”


• All Khadi Institutions registered with the KVIC or State Khadi and Village Industries Boards (KVIBs) can avail of financing.


• To extend the financial assistance to the needy eligible Khadi institutions for development of Khadi and Polyvastra Programme.

• To ensure adequate working fund to Khadi Institutions.

• To ensure liquidity to Khadi Institutions by taping banking resource.

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How to apply

• Apply on http://www.kviconline.gov.in/kieportal/jsp/index.jsp

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Work-Shed Scheme forKhadi Artisans

Objective

• To facilitate and empower khadi spinners and weavers to chart out a sustainable path for growth, income generation and better work environment.

Key Benefits

• To provide better ambience by providing a better workplace to artisans to enable them to carry out their spinning and weaving work efficiently.

• To provide more storing and working space for housing slivers, raw material, implements etc.

• To help in improving the efficiency and thereby the production, productivity of spinners, weavers and also to increase their earnings.


• Khadi/ polyvastra producing Institutions and Khadi Artisans


• Financial assistance is provided to those Khadi artisans who belong to BPL category. In the states where BPL card is being issued, they should be covered under the scheme. Where BPL cards are not being issued at present, identification of poor artisans may be made in a transparent and open process. The benefits of the scheme would be made available to only those artisans who work for at least 100 days in a year.

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How to apply

• Apply on http://www.kvic.gov.in/kvicres/index.php

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Rojgar Yukt Gaon

Objective

• Scheme aims towards development of Khadi and creation of sustainable employment opportunities

Key Benefits

• To transform socio-economically distressed villages into sustainable and self-reliant Khadi based enterprises.

• To give further motivation to Khadi Sector it is proposed to introduce RYG scheme with enterprise-led business model for strengthening Khadi Institutions (KIs).


• New Entrepreneur or Corporate entity with partnership with KIs


• Create an additional 12,500 direct employment in 50 villages;

• Develop a sustainable model of Khadi-based business enterprise in the villages with a tripartite collaborative model of entities from the Government, business and the village community to produce quality goods;

• Facilitate the overall development of the selected villages in terms of infrastructure and amenities;

• Develop skills where they don’t exist, provide opportunities where they are not available, generate income and build

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sustainable self-reliance to communities.

How to apply

• Apply on http://www.kvic.gov.in/kvicres/index.php

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Mahatma Gandhi Institute for Rural Industrialization (MGIRI)

Objective

• To support, upgrade and accelerate the process of Rural Industrialization in the country to move towards the Gandhian vision of sustainable village economy self-sufficient in employment and amenities

Key Benefits

• Science and technology Intervention & Innovations for Rural Industries

• Networking and National/ International Collaboration on R&D and Technology Transfer related to KVI Sector

• Skill/ Entrepreneurship Development Training for Enterprise development in KVI sector


• Existing and Aspiring Entrepreneurs


• Any individual entrepreneur can get help in technology up gradation, product quality improvement, DPR preparation and product testing in KVI sector and on-line design support for garment sector.

• Any individual entrepreneur can get Skill/Entrepreneurship Development Training to set-up enterprise in KVI sector

• Any individual entrepreneur can avail exiting portal like www.ruralhaat.com and www. Udyamisahayak.com evolved by MGIRI for obtaining information on machinery and equipment availability and product marketing support

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for village industries.

How to apply

• Apply on http://www.mgiri.org/

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Pottery Activity underGramodyog Vikas Yojana (GVY) scheme

Objective

• To increase the production, technical knowhow of pottery artisans and to reduce cost of production

• To enhance the income of pottery artisans by providing skill development training and modern and automated equipment

• To provide skill-development training to SHGs of pottery-artisans on focused products like garden pots, khullad, decorator products etc.

• To encourage the successful potter to set up his own unit under PMEGP scheme

• To develop necessary market linkages by tying up with exports and large buying houses.

• To innovate various new products and raw materials to make international scale pottery

Type of assistance

• Wheel Pottery Training Program for traditional pottery artisans.

• Press Pottery training program for pottery as well as non-pottery artisans.

• Jigger-Jolly training program for pottery as well as non-pottery artisans.

• Trainer’s training program for skilled traditional pottery artisans who want to work as master trainers.

• Assistance by providing pottery wheel, Clay Blunger, Granulator etc.

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Who can apply

• The artisans between 18 years and up to 55 years of age.

• Preference to be given to the people trained in the related activity, people pursuing the same activity earlier, based on their education, profile & minimum of 50% to SCs / STs / Women candidates / BPL category

• Non-pottery artisan who is interested to start new industry can be selected for training of press pottery and jigger-jolly etc.

How to apply

•By responding to the advertisements to be given by the State /Divisional Directors of KVIC locally through print and electronic media by inviting applications from prospective beneficiaries/ SHGs to receive training/ machines etc.

Whom to contact

• State Director, Khadi and Village Industries Commission. Address is available at http://www.kviconline.gov.in

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Beekeeping Activity underGramodyog Vikas Yojana (GVY) Scheme

Objective

• To adopt scientific bee management practices

• To utilize available natural resources in beekeeping

• To create sustainable employments for the beekeepers / farmers

• To provide supplementary income for the beekeepers / farmers

• To create awareness about Honey and other Hive Products and benefits of beekeeping in cross pollination

Type of assistance

• 5 days beekeeping training is provided to the beneficiary through various training centers / State Beekeeping Extension Centers / Masters’ Trainer as per prescribed syllabus.

• Assistance with Bee boxes, Tool kits etc.

Who can apply

• Persons in the age group between 18 years to 55 years

• One person from one family will be eligible for 10 bee boxes, with bee colonies and tools kit (Bee veil, smoker, Knife and hive tool)

• Persons already trained in beekeeping by KVIC / KVIB / NABARD / KVK (s) / Agriculture - Horticulture Boards / Eligible Beekeeping NGO (s), etc. eligible to get the support of bee boxes with bee colonies and tool kit.

• Persons who have availed benefits from other Govt. Schemes for the same / similar purpose will not be eligible; the beneficiary shall give declaration to this effect.

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How to apply

• By responding to the advertisements to be given by the State / Divisional Directors of KVIC locally through print & electronic media inviting applications along with project proposals from prospective beneficiaries / SHGs etc.

Whom to contact

• State Director, Khadi and Village Industries Commission.

Address is available at http://www.kviconline.gov.in

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Agarbatti Making Project underGramodyog Vikas Yojana (GVY) Scheme

Objective

• To revive Agarbatti industry in the country and increase indigenous production of Agarbatti to reduce imports

• To impart training to the artisans working in the Agarbatti sector and assist them with Agarbatti manufacturing machines, raw material for manufacturing Agarbatti. etc.

• To create sustainable employment for the traditional Artisans and increase their wages

• To develop backward and forward linkages and hand holding support to the artisans, SHGs etc.

Type of assistance

• 10 days’ Agarbatti skill upgradation free training (20 candidates per batch) by experts in Agarbatti industry.

• Assistance with Agarbatti manufacturing machines, raw material for manufacturing Agarbatti.

Who can apply

• Artisans in the age group of 18 years to 55 years having Aadhar Card / Voters’ ID with photographs and Ration Cards, etc.

• One person from one family for pedal operated and two persons from one family for groups activity (SHGs) for automatic Agarbatti machine

• For SHGs or Groups, all the members will be trained.

• Persons already trained in Agarbatti making by KVIC / KVIB / NABARD / KVK (s) / Training centers recognized by State or Central Govt. or Bank / Eligible NGO (s), etc.

• Preference to be given to the artisans working with KVI

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institutions for production of Agarbatti.

• Persons who have availed benefits from other Govt. Schemes for the same / similar purpose will not be eligible; the beneficiary to give declaration to this effect.

How to apply

By responding to the advertisements to be given by the State /Divisional Directors of KVIC locally through print and electronic media by inviting applications from prospective beneficiaries/ SHGs to receive training/ machines etc.

Whom to contact

• State Director, Khadi and Village Industries Commission. Address is available at http://www.kviconline.gov.in

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Tool Rooms and Technical Institutions - A Componentof Infrastructure Development & Capacity Buildingscheme

Objective

Tool Room & Technical Institutions are concentrated on an integrated Development of the relevant sector of industries to help MSME. Total 18 MSME Tool Rooms & Technical institutions established PAN India serving in the relevant sector like General Engineering, foundry & forging , electronics, fragrance, glass, sports good and footwear etc.

Key Benefit

• To improve access of MSMEs to tooling facilities for enhancement of their efficiency and providing industry ready manpower by conducting training programme.

• Process & Product development in relevant sector.

• Consultancy and job works in relevant sector.

Who can apply

• Industrial Units (focusing on MSME sector)

• The intake eligibility for the training programmes from school dropout to M. tech level.


• 18 Tool Room & Technical Institutions (TRs &TIs) under O/o DC (MSME), Ministry of MSME are concentrating on an integrated development of the related segments of industries by way of providing quality tools, trained personnel and consultancy in tooling and related areas, specific product groups like Foundry & Forging, Electronics, Electrical , Electronics, Fragrance & Flavour, Glass, Sport Goods, and footwear etc. The Ministry has been investing periodically to upgrade the TRs & TIs by introducing new

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technologies such as 3D Printing, Glass Machining, CAD/CAM, CNC machining for tooling, vacuum heat treatment, Robotics and Process Automation etc.

• TRs & TIs are conducting various training Programme includes NSQF Compliance Courses, AICTE/NCVT/SCVT approved courses and variety of training courses as per needs of industry to provide them industry ready manpower & create Entrepreneurship. TRs & TIs have also developed special training programmes to meet the requirements at international level. Technology Centres are conducting training programmes for international participants sponsored under various agreements like Technical Co-operation Scheme of Colombo (TCS), Special Commonwealth African Assistant Programme (SCAAP), Indian Technical and Economic Co-operation (ITEC), Aid to Sri Lanka etc

• In addition, these institutes provide technical services such as design of parts and components, materials testing, heat treatment, quality control, and technical consultancy related to the product & process improvement. TRs & TIs apart from extending design, development & manufacturing support to MSMEs for complex tools, parts and components (many that serve as import substitutes) have also supported the strategic sectors such as aerospace, defence, atomic energy etc. of the country for their R&D requirements.

• All the TRs & TIs adhere to the principles of Total Quality Management (TQM). They are ISO 9001-2000 certified institutions and a few of them are ISO-14000, OHSAS-18000, ISO-29990 and ISO-50001 certified. Central Tool Room & Training Centre, Bhubaneswar is also AS-9100 certified for Aero-space Component Supply.

How to apply

Online application can be filled at http://dcmsme.gov.in/CLCS_TUS_Scheme/Tool_Room_Tech_Institutions/Scheme_Guidelines.aspx or different concerned Tool Room & Technical institutions website

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ImportantContact

Numbers

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MINISTRY OF MICRO, SMALL & MEDIUM ENTERPRISESGOVERNMENT OF INDIA

Documents

MSME-Incentives ,Benefits and compliance · 2021. 6. 28. · List of projects that have been identified by Ministry of MSME for promoting MSMEs in aspirational districts with number