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Schemes to promote work of Rural Artisans

New Delhi: April 5,2017

To generate rural employment and to promote the entrepreneurs in the rural areas of the country, Ministry of MSME is implementing the following schemes through Khadi and Village Industries Commission (KVIC) and Coir Board:

 

I.          Khadi and Village Industries Commission (KVIC):

 

i) Prime Minister’s Employment Generation Programme (PMEGP) is a credit linked subsidy scheme, for setting up of new micro-enterprises and to generate employment opportunities in rural as well as urban areas of the country through KVIC, State Khadi & Village Industries Board (KVIB) and District Industries Centre (DIC).  General category beneficiaries can avail of margin money subsidy of 25% of the project cost in rural areas and 15% in urban areas. 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 lakh in the service sector.

 

ii) Scheme of Fund for Regeneration of Traditional Industries (SFURTI) was launched in 2005-06 for making Traditional Industries more productive and competitive by organizing the Traditional Industries and artisans into clusters.

 

iii) A Scheme for Promoting Innovation, Rural Industry and Entrepreneurship (ASPIRE) was launched on 18.3.2015 to promote Innovation & Rural Entrepreneurship through rural Livelihood Business Incubator (LBI), Technology Business Incubator (TBI) and Fund of Funds for start-up creation.

 

 

 

iv) Market Promotion Development Assistance (MPDA) – MDA scheme of KVIC has been modified as MPDA scheme formulated as a unified scheme by merging different schemes/ sub-schemes/components of different Heads implemented in the 11th Plan, namely, Market Development Assistance, Publicity, Marketing and Market Promotion.  A new component of Infrastructure namely setting up of Marketing Complexes /Khadi Plazas has been added to expand the marketing net worth of Khadi & VI products. Under the erstwhile MDA scheme financial assistance was distributed amongst Producing Institutions (30%), Selling Institutions (45%) and Artisans (25%). Under the Modified MDA (MMDA) financial assistance is distributed amongst Producing Institutions (20%), Selling Institutions (40%) and Artisans (40%).

 

v) Interest Subsidy Eligibility Certificate (ISEC) Scheme provides credit at concessional rate of interest through Banks as per the requirement of the Khadi institutions. The institutions are required to pay interest of only 4%, any interest charged by banks over 4% will be paid by Central Government through KVIC.

 

vi) Workshed Scheme for Khadi Artisans was introduced in 2008-09 to provide financial assistance for construction of workshed to khadi artisans belonging to BPL category through the khadi institutions with which the khadi artisans are associated.  This empowers khadi spinners and weavers to chart out a sustainable path for growth, income generation and better work environment.

 

vii) Strengthening infrastructure of weak Khadi institutions and assistance for marketing infrastructure:  This scheme provides need-based support towards the Khadi sector for nursing the sick/problematic institutions elevated from “D” to “C” category as well as those whose production, sales and employment have been declining while they have potential to attain normalcy and to support creation of marketing infrastructure in other identified outlets. Under this scheme, financial assistance is provided to existing weak Khadi institutions for strengthening of their infrastructure and for renovation of selected khadi sales outlets.

 

II.        Coir Board:

 

i)          Coir Vikas Yojana:

 

1. Skill Upgradation & Mahila Coir Yojana - Under the scheme programmes like Entrepreneurship Development Programme, Awareness Programme, Workshop, Seminar, Exposure Tour, etc. are implemented for attracting more entrepreneurs to start coir processing units.  In order to create skilled man power required for the industry, Coir Board is implementing training programmes in value added products. The candidates undergoing training programmes are given stipend amounting to Rs. 1000/- per month.

 

Under the ‘Mahila Coir Yojana’ Scheme which is exclusively for rural women artisans training in spinning of coir yarn/various coir processing activities is provided to rural women. The scheme envisages distribution of motorized ratts/motorized traditional ratts and other coir processing equipments to women at subsidised rates after completion of training. During the training period, the women artisans are given stipend amounting Rs.1000 per month. The trained women are given ratts and other coir processing equipments at 75% subsidy subject to a maximum of Rs.7500/-.

   

    

2. Scheme for the Development of Production Infrastructure - Under the scheme financial assistance is extended for setting up of coir units and modernization of existing units. Under the scheme subsidy to the tune of 25% of the cost of equipments and other infrastructural facilities subject to a maximum of  Rs.6 lakh for setting up of defibering unit, Rs. 4 lakh for Automatic Spinning Unit and Rs.5 lakh for others. For a composite or a multiple unit the maximum ceiling of assistance would be Rs.9 lakh. In the case of modernization of existing unit the subsidy will be limited to 25% of the cost of equipments and infrastructural facilities subject to a maximum of Rs.2 lakh.

 

ii)         Coir Udyami Yojana (formerly known as REMOT Scheme) is a credit linked subsidy scheme providing assistance for setting up of coir units. The maximum admissible cost of project under the scheme is upto Rs.10 lakhs plus working capital, which shall not exceed 25% of the project cost. The pattern of assistance under the scheme is 40% as Govt. of India subsidy, 55% as loan from Banks and 5% as beneficiary contribution. Assistance under the Scheme is made open to all individuals, companies, SHGs, NGOs, Institutes registered under Societies Registration Act 1860, Production Co-operative Societies, Joint Liability Groups and Charitable  Trusts.

 

 

Fund Allocation/Target and fund utilized/Achievement of Margin Money under PMEGP during the last three years and current year

 

(MM Rs. in lakh)

Sl. No.

State/UT

Target (Margin Money)

Achievement (Margin Money)

2013-14

2014-15

2015-16

2016-17#

2013-14

2014-15

2015-16

2016-17@

1.

Jammu & Kashmir

2983.59

2919.50

4006.80

3541.26

3226.20

3274.63

3781.19

853.01

 2.

Himachal Pradesh

1730.87

1687.45

1721.57

1970.11

1613.84

2237.73

1767.26

662.30

3.

Punjab

2665.96

2711.49

3026.80

3504.09

2477.06

3190.88

2902.97

2000.31

4.

U.T. Chandigarh

304.74

287.99

90.00

100.00

59.11

61.46

87.72

55.42

5.

Haryana

2771.26

2716.36

3747.40

2140.93

2075.51

3012.98

3112.09

566.54

6.

Delhi

1075.38

1061.04

257.35

3371.31

164.74

189.24

254.05

1799.67

 7.

Rajasthan

5554.14

5369.78

4188.14

300.00

4064.94

5249.62

4384.07

107.25

8.

Uttarakhand

1934.23

1882.35

1909.93

5500.99

2099.99

2153.32

1740.86

1737.72

9.

Uttar Pradesh

13786.28

13339.41

17535.32

12981.52

15104.91

16937.53

14456.87

9369.35

10.

Chhattisgarh

3623.56

3474.41

4303.8

6909.77

2118.61

2045.68

2829.38

4320.47

11.

Madhya Pradesh

8466.23

8182.74

7729.40

200.00

7973.02

9241.70

8117.17

7.97

12.

Sikkim

584.56

541.34

227.38

500.00

108.09

33.52

186.11

252.00

13.

Arunachal Pradesh

1852.57

1793.42

200.08

1751.68

889.42

1004.99

38.85

1099.99

14.

Nagaland

1705.43

1563.64

1255.83

1741.70

1125.77

878.59

1392.81

981.03

15.

Manipur

1557.67

1403.65

2855.92

1253.49

1591.34

1600.76

1213.98

140.47

16.

Mizoram

1117.83

1043.39

924.99

1578.62

886.40

807.98

1026.35

2040.75

17.

Tripura

1163.93

985.02

2748.26

1748.10

2225.25

1333.65

945.84

177.67

18.

Meghalaya

1333.04

1184.79

1250.62

5636.41

600.13

971.14

1056.12

3205.69

 19.

Assam

6210.97

5388.75

4969.87

3680.30

7393.07

5397.01

2869.74

4996.11

20.

Bihar

8675.93

8277.14

7118.59

4165.73

7725.19

4111.32

6588.55

989.99

21.

West Bengal

4627.57

4396.32

4765.49

5201.65

5596.72

6010.11

3400.65

4438.86

22.

Jharkhand

4738.31

4547.06

3462.64

4493.30

4533.11

2871.29

3559.74

1600.62

23.

Odisha

5854.95

5621.47

6282

8527.32

4075.76

3945.89

5736.32

4116.84

24.

A & N Islands

619.20

593.09

158.00

5398.45

164.94

92.32

65.11

5444.14

25.

Gujarat*

4375.58

4346.72

6536.16

6111.29

4401.81

6200.52

6339.73

2364.16

26.

Maharashtra**

6539.82

6299.38

9718.42

2336.59

4737.62

7843.81

5285.03

3999.24

27.

Goa

490.68

466.91

159.40

2004.86

143.86

141.76

165.43

2056.89

 28.

Andhra Pradesh

4829.17

2667.87

4496.85

4941.62

4610.54

3492.11

2262.37

10129.53

29.

Telangana

0

1954.44

2094.00

371.62

0

1889.35

2217.57

126.28

30.

Karnataka

4538.84

4512.99

10846.89

50.00

7837.31

6479.10

5898.01

00

31.

Lakshadweep

758.55

704.68

90.00

2446.06

3.18

28.61

0.00

2066.70

32.

Kerala

2278.34

2306.51

2731.60

5291.23

2756.94

2679.28

2720.48

4397.55

33.

Tamil Nadu

4969.70

4974.91

7110.80

150.00

5216.93

6733.89

5497.54

62.03

34.

Puducherry

781.12

100.00

100.00

100.00

43.17

112.10

106.37

32.26

Total

114500.00

109306.00

128620.30

110000.00

107644.48

112253.87

102006.33

76198.81

 

* including Dadra & Nagar Haveli                 ** including Daman & Diu                 # BE Targets               @ as on 28.2.2017

 

 

 

 

State/UT-wise Number of beneficiaries benefitted under PMEGP Scheme during the last three years

(Projects in numbers)

Sl. No.

State/UT

Beneficiaries benefitted  (Projects)

2013-14

2014-15

2015-16

2016-17#

1.

Jammu & Kashmir

1855

1565

2207

514

 2.

Himachal Pradesh

1112

1244

1077

319

3.

Punjab

979

1153

966

889

4.

U.T. Chandigarh

55

36

43

29

5.

Haryana

935

1175

1248

405

6.

Delhi

142

198

256

686

 7.

Rajasthan

1280

1976

1988

80

8.

Uttarakhand

1236

1333

1136

728

9.

Uttar Pradesh

4354

4891

4365

2685

10.

Chhattisgarh

921

847

1277

1712

11.

Madhya Pradesh

2462

2737

1979

6

12.

Sikkim

66

16

110

177

13.

Arunachal Pradesh

657

652

35

566

14.

Nagaland

421

416

623

664

15.

Manipur

733

747

685

118

16.

Mizoram

777

817

1134

1256

17.

Tripura

1307

787

642

144

18.

Meghalaya

397

555

603

4129

 19.

Assam

8255

5015

3483

2927

20.

Bihar

3121

1639

2430

499

21.

West Bengal

3216

3397

1873

1933

22.

Jharkhand

2612

1699

1839

580

23.

Odisha

2146

2013

2876

969

24.

A & N Islands

224

161

119

1075

25.

Gujarat*

914

1289

1419

968

26.

Maharashtra**

2186

3469

2497

1115

27.

Goa

79

78

91

537

 28.

Andhra Pradesh

1453

937

642

3134

29.

Telangana

0

604

660

61

30.

Karnataka

2778

2431

2140

00

31.

Lakshadweep

4

31

0

900

32.

Kerala

1505

1344

1369

1504

33.

Tamil Nadu

2268

2858

2463

47

34.

Puducherry

43

58

65

47

Total

50493

48168

44340

31403

* including Dadra & Nagar Haveli   ** including Daman & Diu      # as on 28.2.2017

 

Rural artisans who have benefitted from the schemes of Coir Board

State

2013-14

2014-15

2015-16

2016-17 (Apr-Dec. 2016)

Kerala

353

820

1312

867

Tamil Nadu

1887

2340

1483

1207

Karnataka

250

418

102

179

Andhra Pradesh

622

234

879

340

Odisha

518

287

325

118

Others

0

212

108

150

Total

3630

4311

4209

2861

 

This Press Release is based on information given by the Minister of State for  MSME Shri Haribhai Parthibhai Chaudhary in a written reply to a question in Rajya Sabha on 05.04.2017 (Wednesday).

 

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