Government incentivising MSMEs with various schemes: Gadkari

Various schemes have been launched in recent years to encourage micro, small and medium enterprises (MSMEs) which employ 11.1 crore people and are the largest provider of jobs after agriculture, the Rajya Sabha was informed on Monday.

 

Schemes like Make in India, Skill India, Digital India, Startup India, and MUDRA (Micro Units Development and Re-finance Agency) Bank have been initiated to enhance the employment base and facilitate self-employment across the country, said Union Minister for Micro, Small and Medium Enterprises Nitin Gadkari in reply to a question in the Upper House of Parliament.

 

Under the Prime Minister's Employment Generation Programme (PMEGP,) the number of people employed in micro enterprises increased from 3.58 lakh in 2014-15 to 5.87 lakh in 2018-19, he said. An amount of Rs 2,247.10 crore has been allocated under PMEGP for the financial year 2019-20, he said.

 

The Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) was launched to make available collateral-free credit to the MSME sector. During FY 2018-19, a total of 4.35 lakh proposals were approved providing a guarantee to a tune of Rs 30,168 crore.

 

The Credit Linked Capital Subsidy Scheme (CLCSS) facilitates technology upgradation of small scale industries, including agro and rural industrial units by providing 15 per cent upfront capital subsidy.

 

Since the inception of the scheme in 2000-01, a total of 62,827 MSE units have been given a subsidy of Rs 3,888.13 crore. During 2018-19, a total of 14,155 MSE units were provided a subsidy of Rs 980.44 crore.

 

A total of 18 tool rooms have been set up for integrated development of the industries by way of providing quality tools, trained personnel, and consultancy in tooling and related areas and upgradation of technology.

 

During the year 2017-18 and 2018-19, these tool rooms provided training to 1.47 lakh and 2.08 lakh people which helped them gain self-employment.