{"id":1059,"date":"2019-11-11T13:28:42","date_gmt":"2019-11-11T13:28:42","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=1059"},"modified":"2022-04-27T12:31:31","modified_gmt":"2022-04-27T07:01:31","slug":"government-schemes-launched-by-msme","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/government-schemes-launched-by-msme\/","title":{"rendered":"What are The Government Schemes Launched by MSME?"},"content":{"rendered":"\n<p class=\"has-drop-cap\">The youth of today\u2019s generation are always enthusiastic about having their own venture despite working in the 9 to 5 shift job. Skilled workers, instead of having skills, are deprived of the human resources and credit for starting their business. The Indian Government has made collateral-free credit available to this micro, small, and medium enterprises. Micro small and medium enterprises contribute primarily to the social and economic growth in many developed and developing countries. Our government has taken many initiatives to help the owners of the MSME to run and operate their enterprises efficiently. Also, the Indian MSME sector has employed around 120 million persons and contributed approximately 45 percent of the overall exports from India. Here, in this article, we will see the government schemes for MSME.<\/p>\n\n\n\n<div class=\"mt-3 mb-3 embed-responsive embed-responsive-16by9\"><iframe class=\"embed-responsive-item\" src=\"https:\/\/www.youtube.com\/embed\/TNW3UiY8LG0\" frameborder=\"0\" allow=\"accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture\" allowfullscreen=\"\"><\/iframe><\/div>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/government-schemes-launched-by-msme\/#What_are_Micro_Small_and_Medium_Enterprises\" >What are Micro Small and Medium Enterprises?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/government-schemes-launched-by-msme\/#What_are_the_MSME_schemes_launched_by_the_Indian_Government\" >What are the MSME schemes launched by the Indian\nGovernment?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/government-schemes-launched-by-msme\/#Pradhan_Mantri_Mudra_Yojana\" >Pradhan\nMantri Mudra Yojana<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/government-schemes-launched-by-msme\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_are_Micro_Small_and_Medium_Enterprises\"><\/span>What are Micro Small and Medium Enterprises?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Micro\nsmall and medium enterprise (<a href=\"https:\/\/corpbiz.io\/msme-registration\"><strong>MSME Registration<\/strong><\/a>) is considered to be the cornerstone\nof the Indian economy. They contribute to the 45 percent of India\u2019s total\nindustrial employment, 50 percent of India\u2019s total exports and 95 percent of\nall industrial units of the country. These industries are mainly based out in\nsmall and remote areas of our country. In Accordance with the Micro, small and\nmedium enterprises Development Act, 2006, the MSME are classified into two\ncategories:<\/p>\n\n\n\n<ul><li>Manufacturing Enterprises<\/li><li>Service Enterprises<\/li><\/ul>\n\n\n\n<table class=\"table table-bordered\"><tbody><tr><td>\n  &nbsp;\n  <\/td><td>\n  MICRO\n  <\/td><td>\n  SMALL\n  <\/td><td>\n  MEDIUM\n  <\/td><\/tr><tr><td>\n  Manufacturing Enterprises\n  <\/td><td>\n  INR 2500000\n  <\/td><td>\n  Less than INR 50000000\n  <\/td><td>\n  Less than INR 1000000000\n  <\/td><\/tr><tr><td>\n  Service Enterprises\n  <\/td><td>\n  Less than INR 1000000\n  <\/td><td>\n  Less than 20000000\n  <\/td><td>\n  Less than INR 50000000\n  <\/td><\/tr><\/tbody><\/table>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_are_the_MSME_schemes_launched_by_the_Indian_Government\"><\/span>What are the MSME schemes launched by the Indian\nGovernment?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The Indian Government is running various schemes to help the MSME Sector grow and work efficiently. In the recent budget presented in the Parliament on July 5, 2019, the finance minister Nirmala Sitharaman focused on the traditional industries such as bamboo, khadi, and honey to create an economic value chain.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Pradhan_Mantri_Mudra_Yojana\"><\/span>Pradhan\nMantri Mudra Yojana<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>This yojna was launched in 2015 and in the time\nperiod of 2 years it generated more than 1.8 crore jobs via MUDRA due to the\nloans and business of the scheme. Prime Minister Modi launched Pradhan Mantri\nMudra Yojana, wherein Refinance Agency Bank, Micro Units Development and MUDRA\nBanks shall provide loans to non-banking financial institutions and\nmicro-finance institutions at low rates, and these institutions shall in turn offer\nlow-interest loans to MSMEs and start-ups.<\/p>\n\n\n\n<p>Hence, this Yojana is one of its&nbsp;types, made\nand actualize to motivate Indian\nentrepreneurs. Loan amount of upto Rs 10 lakh can be obtained under the MUDRA\nscheme.<\/p>\n\n\n\n<p>The three categories of businesses that can obtain\nloans under&nbsp;the MUDRA loan for their\nbusiness startups:<\/p>\n\n\n\n<p><strong>Category 1: Shishu<\/strong>: New businesses \u2013 Can avail Loans up to Rs 50,000 <\/p>\n\n\n\n<p><strong>Category 2: Kishor:<\/strong> A mid-aged business \u2013 Can avail Loans up to Rs 5\nlakh.<\/p>\n\n\n\n<p><strong>Category 3: Tarun<\/strong>: an existing and experienced business- can avail\nLoans up to Rs 10 lakh.<\/p>\n\n\n\n<p><strong>Financial Support to MSMEs in ZED Certification Scheme<\/strong><\/p>\n\n\n\n<p>This\nscheme is focused for the already existing units and new manufacturing units to encourage them to\ncreate better products with zero defects and high quality &#8211; ZED or Zero\nDefect and Zero Effect mission for manufacturing zero defect products. Focus is to facilitate manufacturers\nto accept and promote\na high class\nmanufacturing processes, and use such technology with the purpose to ensure that their products are the best in the class.<\/p>\n\n\n\n<p>Government shall provide both technology and financial support and tools to make sure that there are zero defects in the products.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Development\nof Khadi, Village and Coir Industries<\/h3>\n\n\n\n<p>PM\nModi launched various schemes for the development of MSMEs for operating under the\nKhadi, Village and Coir Industries in the nation. These shall include the following:<\/p>\n\n\n\n<ol><li>Market Promotion &amp; Development Scheme\n(MPDA)<\/li><li>Domestic Market Promotion (DMP)<\/li><li>Revamped Scheme of Fund for Regeneration of\nTraditional Industries (SFURTI) &#8211;<\/li><li>Trade and Industry Related Functional Support\nServices (TIRFSS)<\/li><li>Export Market Promotion (EMP)<\/li><li>Coir Vikas Yojana (CVY)<\/li><li>Welfare\nMeasures (PM Suraksha Bima Yojana (PMSBY)<\/li><\/ol>\n\n\n\n<h3 class=\"wp-block-heading\">Scheme of Fund for Regeneration of Traditional Industries\n(SFURTI)<\/h3>\n\n\n\n<p>SFURTI is the scheme for the&nbsp;<strong>development of Khadi<\/strong><sup><a href=\"https:\/\/msme.gov.in\/schemes\/development-khadi-village-and-coir-industries\/\"><strong>[1]<\/strong><\/a><\/sup>, village industries and coir industries in which the government provides the owners with improved equipment, common facilities center, business development services, training, and design.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">ASPIRE (A scheme for promoting Innovation, Rural Industry,\nand Entrepreneurship)<\/h3>\n\n\n\n<p>ASPIRE is\nthe scheme launched by the government which aims to generate employment\nopportunities and encourage entrepreneurship culture among the youths. It can\nbe done by implementing incubation through technical and research institutes.\nIncubation is launched by the government, which helps the innovators to promote\nnew ideas, design, products, etc. Also, the government finances almost 75 to 80\nper cent of the project cost.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Credit Linked Capital Subsidy Scheme (CLCSS)<\/h3>\n\n\n\n<p>This scheme is launched for upgrading the technology of small scale industries including Khadi, village, and coir industrial units. Also, to enhance the plant and machinery of small enterprises with the state of art technology.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Prime Minister\u2019s Employment Generation Programme<\/h3>\n\n\n\n<p>The Khadi\nand Village Industries Commission (KVIC) launched this scheme at the National\nLevel which aims to generate self-employment opportunities among the youth as\nwell as the skilled one.<\/p>\n\n\n\n<p>In a\nstatement reported by the Road, transport, and Highway minister of India, Nitin\nGadkari, an estimated 45.22 Lakh persons, are provided with employment\nopportunity and 5.45 lakhs micro enterprises , &nbsp;with a margin money\nsubsidy of Rs 12;074 crore.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Credit Guarantee Scheme for Micro and Small Enterprise\n(CGTMSE)<\/h3>\n\n\n\n<p>CGTMSE\nscheme is launched by the Indian government to facilitate credit facility to\nthe MSME units through a collateral-free credit facility. Small Industries\nDevelopment Bank of India (SIDBI) and the MSME ministry together established a\ntrust named Credit Guarantee Fund Trust for Micro and small enterprises in\norder to implement Credit guarantee schemes.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Udyog Aadhaar Memorandum<\/h3>\n\n\n\n<p>Udyog\nAadhar Memorandum is one of the schemes launched by the Indian Government in\nwhich Aadhar card is a mandatory requirement. The benefit of registering under\nthese schemes is that one can avail credit, loans and subsidies from the\ngovernment. You can opt for registration in both the online and offline mode.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Zero Defect Zero Effect<\/h3>\n\n\n\n<p>Here,\ngoods that are being manufactured for export have to comply with the standard\nso that they do not get rejected.&nbsp; Also, the products which are exported\nunder this scheme are eligible for some rebates and concessions.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Quality Management Standards and Technology tools<\/h3>\n\n\n\n<p>Under this\nscheme, specific technology tools such as seminars, campaigns, and activities\nare performed to sensitise the business about the new technology.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">&nbsp;Grievance Monitoring System<\/h3>\n\n\n\n<p>This\nscheme is launched by the government so that the business owners can address\ntheir grievances. With the help of this scheme, they can check the status of\ntheir complaints.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Credit linked Capital Subsidy Scheme<\/h3>\n\n\n\n<p>This is one of the MSME schemes launched by the government in which these micro, small and medium enterprises can directly visit the bank for the subsidies in case they want to upgrade their business with new technologies.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Entrepreneurship choice for Women<\/h3>\n\n\n\n<p>The MSME\nSector of our country has launched this scheme, especially for the women who\nwant to start their own business. Apart from this, the government also imparts\ncredit, counselling, training and delivery techniques to these women so that\nthey can operate and manage and expand their business efficiently.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The MSME ministry is working closely to encourage micro small and medium Enterprises engaged in the manufacturing and production. These MSME Schemes is an intiative by the government which helps the MSME Sector in expansion. Also, it makes the youth of our nation self dependent.<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/interest-subvention-scheme-for-msme\/\">Interest Subvention Scheme for MSME: Strengthening the Foundation of Indian Economy<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The youth of today\u2019s generation are always enthusiastic about having their own venture despite working in the 9 to 5 shift job. Skilled workers, instead of having skills, are deprived of the human resources and credit for starting their business. The Indian Government has made collateral-free credit available to this micro, small, and medium enterprises. [&hellip;]<\/p>\n","protected":false},"author":33,"featured_media":1065,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[176],"tags":[143],"acf":{"service_id":"71"},"authorName":"Kandarp Vanita","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2021\/02\/image_2021_02_01T09_09_44_024Z.png","authorDescription":"Kandarp Vanita has done masters in Corporate and Commercial Law from WB National University of Juridical Sciences. She has 3 yrs of experience in drafting legal documents &amp; dissertations. Being a curious reader, she is also passionately into providing legal backups and comprehensive understandings in every aspect of Law to the firms.","postViews":10921,"readingTime":5,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/1059"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/33"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=1059"}],"version-history":[{"count":31,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/1059\/revisions"}],"predecessor-version":[{"id":36393,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/1059\/revisions\/36393"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/1065"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=1059"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=1059"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=1059"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}