EXPORT PROMOTION CAPITAL GOODS (EPCG) SCHEME

Every businessman aims to introduce his products in foreign markets. For the products to meet international standards, businesses often have to import certain machinery. For this, the government has introduced the Export Promotion Capital Goods scheme, to be able to help such businesses bear the cost of machinery, customs duty, and other such perks.

Overview

The Export Promotion Capital Goods Scheme allows import of capital goods for pre-production, production, and post-production of products at zero customs duty.

Benefits

What benefits will a business avail from this scheme?

The benefits a business benefits will avail from this scheme are the permissions to:

  • Import machinery needed for their factory, minus the custom duty
  • Import capital goods such as computer software systems, spares, moulds, dies, jigs, fixtures, tools, refractories for initial lining and spare refractories, and catalysts for initial charge, plus one subsequent charge

Eligibility Criteria

Who are eligibility to apply for this scheme?

The following are eligible to apply for this scheme:

  • Manufacturer exporters with or without supporting manufacturers
  • Merchant exporters tied to supporting manufacturers and service providers
  • Service provider who is designated/certified as a common service provider (CSP) by the Directorate General of Foreign Trade (DGFT) Department of Commerce or State Industrial Infrastructural Corporation in a Town of Export Excellence

Application

How can a business apply for this scheme?

A business can apply for the EPGC license online by filling in the application here.

The steps to navigate through the site can be found here.

A business must file the application along with the necessary supporting documents with DGFT.

Documents Required

The complete list of documents needed to apply for this scheme can be found here.

Additional Information

Please take note of the information provided below:

  • Companies shall be subjected to export obligation (EO) equivalent to six times of duty saved on capital goods. This needs to be fulfilled in six years reckoned from date of issue of authorisation.
  • Authorisation shall be valid for 18 months from date of issue. Revalidation of EPCG authorisation is not permitted.
  • Second-hand capital goods shall not be permitted to be imported under this scheme.

Authorisation for import of the following capital goods (including captive plants and power generator sets of any kind) shall not be issued:

  • Export of electrical energy (power)
  • Supply of electrical energy (power) under deemed exports
  • Use of power (energy) in their own unit
  • Supply/export of electricity transmission services

For further information on this scheme, click here.

Special Economic Zones (SEZs) Schemes for MSMEs

A Special Economic Zone is a duty-free-zone which is considered to be a foreign territory that is out of customs jurisdiction. It is created for the purpose of trade operations, duties and tariffs. The Government of India (GOI) has identified, that a strong and well-functioning Special Economic Zone (SEZ) is critical for the growth aspirations of our country. Therefore GOI has put in place a comprehensive SEZ Act and Rules streamlining and simplifying the administrative and legal infrastructure to encourage export oriented business out of the SEZ.

Overview:

SEZ Online is a total integrated solution offered by NDML for the administration of SEZ to facilitate speedy processing of various transactions that SEZ developers/units have with the SEZ administration.

Benefits:

How can an MSME benefit from this scheme?

  • Duty-free import/domestic procurement of goods for development, operation and maintenance of SEZ units.
  • 100% income tax exemption on export income for SEZ units under Section 10AA of the Income Tax Act for first 5 years, 50% for next 5 years thereafter and 50% of the ploughed back export profit for next 5 years.
  • Exemption from central sales tax (CST) and service tax
  • Single window clearance for central and state level approvals

Eligibility Criteria :

What is the eligibility criteria for this scheme?

All medium and large enterprises are eligible to apply for this scheme.

Application and Documents Required

How can an MSME apply for this scheme and what are the documents required to apply for this scheme?

An MSME can apply for this scheme online by clicking here

  • An entrepreneur shall first register himself as a user of SEZ Online so that he has a User id and password to access the system. For registration, the user shall have to enter few basic details and submit theNew Unit registration form
  • After registration, the entrepreneur (user) shall log on to SEZ Online system.
  • He will fill an online proposal for setting up a unit in SEZ in prescribed ‘Form F’.
  • On submission of Form F Online, SEZ online system will generate unique request id. Once the application (Form F) is submitted online, the user can not make any further changes in it.
  • The user can track the status of his new unit application by using the request id, after log on to the SEZ Online system.
  • The user shall take a print of the Form F from the SEZ Online system and submit it to the DC’s office along with necessary supporting documents in physical form and applications fees. Payment of New unit application fees to DC will be done outside the SEZ Online system.
  • As the application is approved, the user shall receive a notification in the e-mail id (provided during registration) about the same. The user shall also be able to view the same after logging in to the system using his/her User id and password.

For further details, click here

S.T.P Scheme for Software Companies

Start-up software companies often provide solutions that ease the working and processes of other companies. However, in order to provide effective solutions, they require technical efficiency, knowledge, hardware and finances. To encourage start-ups to export computer software and professional services of global standards, the government has initiated the Software Technology Parks Scheme.

Overview:

The Software Technology Parks scheme by the government promotes the export of computer software and professional services. This scheme enables start-ups to import duty-free hardware and software solutions that will enable them to deliver software and services that meet international quality standards.

Benefits:

How can a software company benefit from this scheme?

A software company can benefit from this scheme in the following ways:

  1. Approval to set-up an STP unit anywhere in India
  2. Single window clearance system for approvals
  3. Authorisation to re-export capital goods
  4. 100% foreign equity
  5. Ease in importing duty-free hardware and software, and second-hand capital goods
  6. Access to computer system for training purposes
  7. Central Sales Tax reimbursement on indigenous items procurement
  8. Central Excise Duty Exemption in full on indigenous procurement
  9. Up to 50% of export in value terms if sales are made in Domestic Tariff Area (DTA)
  10. 100% depreciation on capital goods over a period of five years
  11. Authorisation to donate computer peripherals to recognised non-commercial education institutions, registered charitable hospitals, public libraries, public funded research and development institutions, organisations of Government of India, or Government of a State or Union Territory without payment of duty after two years of their import

Eligibility Criteria:

Who is eligible to apply for this scheme?

The following companies are eligible to apply for this scheme:

  • Indian software companies
  • A subsidiary of a foreign company
  • A branch office of a foreign company

Application:

How can a start-up software company apply for this scheme?

Start-up software companies can apply for this scheme online here.

In order to become a certified member under the STP scheme, the application for this scheme needs to be sent to the Director, Software Technology Parks of India to seek approval for the same.

Documents Required:

What documents are required to apply for this scheme?

The following documents are required to apply for this scheme:

  • A gist of the application form
  • Three copies of the application form
  • Project report
  • Board resolution
  • Memorandum or articles of association
  • Export order/contract or MOU
  • List of directors
  • Importer – exporter code number
  • Proof of STP location premises (example, leave an license)
  • Valid data communication proof (example, receipt of payment, service acceptance letter)
  • Bank certificate 

For further queries and guidelines with regards to this scheme, click here.

Protecting MSME Innovations with the Patent Protection Scheme

New innovations are what reposition a company as a market leader. However, some MSMEs do not have the necessary financing to file for a patent for a technology they have developed. If you’re an MSME facing such financial shortages, you can benefit from the government’s Support International Patent Protection in Electronics and IT (SIP-EIT) scheme.

Overview

The SIP – EIT is a scheme initiated by the Department of Electronics and Information Technology (DeiTy) that provides financial support to start-ups and Micro, Small and Medium enterprises (MSMEs), allowing them to file for patents for technology, designs or products they have researched and manufactured.

Benefits

How does an MSME benefit from this scheme?

This scheme provides financial support for international filing in Information Communication Technologies and Electronics sector.

This scheme also reimburses up to ₹15 lakh per invention or 50% of the expenses incurred in filing a patent.

Expenditure Reimbursed

What types of expenditures are reimbursed?

The type of expenditures that are reimbursed during patent filing include all patent processing costs such as:

  • Attorneys’ fees
  • Patent office filing fees
  • Examination fees
  • Patent search cost
  • Additional cost for entering National Phase up to grant/issue.

Subsequently, after the grant, the cost will be borne by the industry.

Eligibility Criteria

What is the eligibility criteria for this scheme?

The following is the eligibility criteria for this scheme.

  • The applicant has to be a registered MSME.
  • The investment in plant and machinery must not exceed ₹10 crore for an MSME that engages in the manufacture or production of goods
  • The investment in plant and machinery must not exceed ₹5 crore for an MSME that engages in providing or rendering of services
  • The MSME’s in-house R&D department must be certified by DSIR
  • The technology incubation enterprises must be registered as companies with support under any government scheme

What are the criteria for acceptance of patent applications for consideration of financial support?

  • The applicants should have already filed a patent application for the said invention in India
  • The invention must be in the electronics/ICT technology domain
  • The application must be accompanied by prior art search report from an International Search Authority/Registered Attorney Firm or any other agency of repute
  • The patent applications are to be processed through a registered patent attorney in a patent attorney firm having an experience of at least 5 years in handling international patent applications
  • The applicant can apply for the support at any stage of international filing. However, reimbursement will only be applicable to expenditures incurred subsequent to the date on which application has been cleared for support 

Application

How can an MSME apply for this scheme?

An MSME can apply for this scheme online by clicking here.

Documents Required

Which are the documents that need to be submitted to apply for this scheme?

The following list of documents must be submitted in order to apply for this scheme:

  • Application form (giving requisite information about the applicant and the invention)
  • Reimbursement details (as per the format in the application form)
  • Patent search report
  • Product brochure (if any)
  • Copy of registration of the applicant industry
  • Copy of official filing with Indian Patent Office
  • Latest annual report of the company
  • Proof of DSIR recognition of in-house R&D in industry (preferred) / proof of government supported incubation enterprise
  • Declaration (as given in the application form)

For more information on this scheme, please click here.

Accelerate your start-up with the Technology Incubation and Development of Entrepreneurs (TIDE) Scheme

An idea has the potential to change the world. If you too have an idea that can revolutionize the technological industry, the Technology Incubation and Development of Entrepreneurs (TIDE) Scheme will be of use to you.

Overview

The Technological Incubation and Development of Entrepreneurs (TIDE) scheme aims to assist institutions of higher learning to strengthen their Technology Incubation Centres. This scheme acts as an accelerator for technology-based start-ups and provides MSMEs guidance and funding on implementing their brainchild.

Benefits

What are the benefits offered under this scheme?

The following are the benefits offered under this scheme:

  • Each institute has a kitty of ₹155 Lakhs. They can use up to ₹125 lakhs for providing financial support
  • An MSME can rent operating space for a period of up to 2 years (extendable by one year)
  • Further financial support may be sought in the form of a soft loan of up to ₹25 lakhs over two (or three) years’ period (subject to satisfactory performance). The amount sanctioned would be up to a maximum of 80% of the project cost of the incubating company
  • A 50% refund of the financial support is given at the end of two (or three) years and the remaining 50% is given as equity to the TIDE center, which can be encashed at the time of valuation

Eligibility Criteria

What is the eligibility criteria for this scheme?

An MSME is eligible to apply for the scheme if the start-up is in the field of electronics and IT.

List of Technology Incubation’s and Development centers

What is the list of Technology Incubation and Development centers?

The list of premier institutes that are affiliated with this program can be found here.

Documents Required

What are the documents required to apply for this scheme?

The following documents are required to apply for this scheme:

  • Submission of detailed techno-commercial proposal, including a business plan by prospective entrepreneur(s) before host institutions IITs, IIMs, NITs, IIITs, and other premier institutes
  • Approval by the Management Board of TIDE to support a prospective entrepreneur
  • On formation of a company and signing an agreement with TIDE

To refer to the list of TIDE start-ups click here.

For further details on this scheme, kindly click here.

Reduce your R&D overheads with this Scheme

Innovative ideas and technological advancement are the products of an efficient Research and Development Department. However, funding this department is generally heavy on a company’s overheads. Here’s where the R&D Funding scheme offered by the Department of Electronics and Information Technology (DeiTy) comes into the picture.

Overview

The R&D Funding Scheme provides funds to an SME in the areas of Research and Development, and technical collaboration The funding provided varies depending upon the total cost of the project.

Benefits

How does an SME benefit from this scheme?

The fund sanctioned for the Research and Development department of an SME helps it in the following ways:

  • Current product modifications
  • Creation of new products
  • Implementation of better technologies
  • Development of a secure future in advance of business needs
  • Improved processes and enhanced performance
  • Launch of smarter ideas
  • Access to newer markets
  • Reduce product costs

Eligibility Criteria

What is the eligibility criteria for this scheme?

  • The SME must be in existence for at least two years from the date of incorporation
  • The SME/institution/firm should be registered under ISO 9001:13485

Application

How can an SME apply for this Scheme?

  • The SME can apply for this scheme to DeiTy in the prescribed pro forma.

Documents Required

Which documents are required to apply for this scheme?

The following are the documents required to apply for this scheme:

  • Title of the Project
  • Information about the SME (Name, Address, Legal status)
  • Details regarding the Chief Investigator
  • Nature of the Project
  • Objective of the Project
  • Brief outline of the Project
  • Expected outcome in physical terms
  • Agency with which link up is established/proposed
  • Duration of the Project
  • Year-wise break-up of physical achievements with specific intermediate milestones (in terms of aims and objectives)
  • Likely end users
  • Name of the SMEs participating jointly in the project
  • Total budget outlay
  • Contribution of project implementing/and other organisation in total budget outlay, DeiTy contribution
  • Wherever applicable – share of the industry, collaborating agency, and any other assistance along with DeiTy’s support required in total cost of project should be provided under various budget heads
  • Annual reports, Company brochure, Brief history of the electronics company including products being made, capacities, related collaborators, achievements, and capabilities need to be provided if necessary
  • Recent major achievements of in-house R&D unit of the electronics company in development of new products/processes, technology export, patents taken, and whether in-house R&D unit of the firm is recognised by DSIR
  • Any other information in support of the proposal

Additionally, the details of the proposal should also contain the following –

  • Background information
  • Technical information
  • Financial details

For further details on this scheme, click here.

Sub-Scheme for Mega Leather Clusters

The leather industry holds promise in the Indian economy. Known for its high export value, it is an employment intensive industry. Today, it operates on low-profit margins on account of fierce competition in the international market. However, if individual leather manufacturing units form an alliance, they can avail certain benefits to better their production under the Sub-Scheme for Mega Leather Clusters.

Overview:

The Sub-Scheme for Mega Leather Clusters provides additional amenities to allow smooth functioning of production of leather manufacturing units under clusters. The concept of Mega Leather Clusters (MLCs) seeks to address the constraint of large infrastructure with integrated production chains in the country.

Benefits:

How does a mega leather cluster benefit from this scheme?

A mega leather cluster can benefit from this scheme in the following ways: 

An area designated as a mega leather cluster, following services are provided:

  1. A secured compound wall, wire fence and site development
  2. All basic amenities like roads, power supply, water supply
  3. A warehouse, trade/ display/ exhibition/ convention/ information center, etc.
  4. Ready-to-use factory sheds with plug-in facilities for machinery/equipment
  5. Training Center, Recruitment Center, Workflow Training Center
  6. Product Design & Development Support Center, Testing Laboratory, Quality Benchmark Center, Material Research, Basic Product Technology Research, Pre-competitive Collaborative Research and Market Research infrastructure
  7. Export services-related infrastructure including Clearing Agents, Customs/Central Excise/ Service Tax offices and DGFT liaison office

Details on funding:

Here is how the government would provide financing:

  1. The government would provide a maximum of 50% of project cost, subject to limitations defined by the area under the mega leather cluster:
Mega Leather Cluster with land area (in acres) Financial assistance to be provided by Government of India
25 to 60 (for the land set up with tanneries) Limited up to ₹50 crore
61-100 Limited to ₹70 crore
101-150 Limited to ₹105 crore
More than 151 acres land Limited to ₹125 crore

 

  1. A Special Purpose Vehicle has to be set up for the Mega Leather Cluster. Trust and Retention Account (TRA) will be opened by an SPV with any nationalized bank and funds will be released by the government in four installments through Electronic Clearing System. The funds would be released as described below:
Installment In order to process the claim for the amount, you would need to submit: % of
Installment I 1.       Statement for project specific TRA indicating the proportionate contribution (25%) deposited by Special Purpose Vehicle in the Trust and Retention Account 25%
Installment II 1.       Details as to the usage of 2/3rd of the first installment

2.       Statement for project specific TRA indicating the proportionate contribution (25%) deposited by Special Purpose Vehicle in the Trust and Retention Account

30%
Installment III 1.       Details as to the entire usage of first installment, and 2/3rd usage of the 2nd installment

2.       Submitting the statement of project-specific Trust and Retention Account indicating the proportionate contribution (30%) deposited by Special Purpose Vehicle in Trust and Retention Account

3.       Proof of proportionate expenditure made by the Special Purpose Vehicle out of its own fund

30%
Installment IV 1.       Completion record of entire infrastructure of the project as per the approved Detailed Project Report

2.       Completion of 25% of the leather units in MLC initiate their production activity certified by the Special Purpose Vehicle, Project Management Consultant, and Utilization Certificate (for the second and third installment) are produced

15%

 

  • Claims will be forwarded by Special Purpose Vehicle to DIPP along with the mentioned documents: Utilization Certificate in the format of GFR 19A, Pre-Receipt Bill, and Surety Bond
  • Creation of separate accounts by SPV for the funds released by DIPP, subject to audit by the Comptroller & Auditor General of India 

Eligibility Criteria:

What is the eligibility criteria for this scheme?

The eligibility criteria for this scheme is as follows:

Units involved in production of the following are eligible to apply:

  • Footwear and footwear components
  • Leather goods (inclusive of gloves)
  • Leather garments
  • Saddlery
  • Harness items

Application:

How can mega leather clusters apply for this scheme?

The mega cluster needs to send the applications directly to Under Secretary (Leather), Department of Industrial Policy and Promotion, Ministry of Commerce & Industry, Udyog Bhavan, New Delhi. 

Documents Required:

Documents required for this scheme?

The documents required to apply for this scheme can be found here.

For further queries and guidelines with regards to this scheme, click here.

Protect your Business Investment with the Small Exporters Policy

The business environment is extremely dynamic, experiencing massive highs and lows based on domestic and international market responses. For a small business trading in exports, this can be beneficial when the economy is booming, but disastrous when it crashes. Wondering how you can protect yourself from crashing with the economy? The Small Exporters Policy will help you do so.

Overview

The Small Exporters Policy scheme is specially designed for small scale industries. This scheme provides SME firms with an insurance cover and thereby prevent your downfall.

Features/Benefits

The salient features of Small Exporters Policy are listed below:

Period of Policy:

Small Exporter’s Policy is issued for a period of 12 months.

Minimum premium:

Premium payable will be determined on the basis of projected exports on an annual basis subject to a minimum premium of ₹5000 for the policy period. No claim bonus in the premium rate is granted every year at the rate of 5%.

Declaration of shipments:

Shipments need to be declared monthly.

Declaration of overdue payments:

Small exporters are required to submit monthly declarations of all payments remaining overdue by more than 60 days from the due date, as against 30 days in the case of exporters holding the Standard Policy.

Waiting period for claims:

The normal waiting period of 4 months under the Standard Policy has been halved in the case of claims arising under the Small Exporter’s Policy.

This scheme covers most of the risks faced by small exporters and provides them with the confidence of expanding their business aggressively.

The risks covered are as follows:-

Commercial Risks

  • Insolvency of the buyer
  • Failure of the buyer to make the due payment within a specified period, normally 2 months from the due date
  • Buyer’s failure to accept the goods, subject to certain conditions

Political Risks

  • Imposition of restriction by the Government of the buyer’s country or any government regulation which may block or delay the transfer of payment made by the buyer
  • War, Civil War, revolution or civil disturbances in the buyer’s country
  • New Import restrictions or cancellation of a valid import license
  • Interruption or diversion of voyage outside India resulting in payment of additional freight or insurance charges which cannot be recovered from the buyer
  • Any other cause of loss occurring outside India, not normally insured by general insurers, and beyond the control of both the exporter and the buyer

Terms of premium disbursement:

What are the terms of premium disbursement?

  • Minimum premium payable up to ₹2,000 with rates depending on the country to which exports are made and the period of repayment. This is valid for a period of 1 year.
  • Advance payment up to 20% balance to be paid on a quarterly basis in proportion to the amount of credit disbursed
  • ECGC will pay claims to the extent of 95% for losses due to commercial risks and 100% for losses due to political risks

Additional benefits:

  • Conversion of a D/P bill into DA bill, provided the SME has already obtained a suitable credit limit on the buyer on D/A terms.
  • For valuation up to ₹3 lakh, conversion of D/P bill into D/A bill is permitted even if credit limit on the buyer has been obtained on D/P terms only, but only one claim can be considered during the policy period on account of losses arising from such conversions.
  • Extension for due date of payment of a D/A bill provided that a credit limit on the buyer on D/A terms is in force at the time of such extension. 

Eligibility Criteria

What is the eligibility criteria for this scheme?

This scheme is issued to exporters whose anticipated export turnover for the period of one year does not exceed ₹5 crores.

Application

How can an SME apply for this scheme?

To download the proposal form for a Small Exporter Policy, Click here

Exclusions

Are there any exclusions for this scheme? 

  • Commercial disputes including quality disputes raised by the buyer, unless the exporter obtains a decree from a competent court of law in the buyer’s country in his favor
  • Causes inherent in the nature of the goods
  • Buyer’s failure to obtain necessary import or exchange authorization from authorities in his country
  • Insolvency or default of any agent of the exporter or of the collecting bank
  • Exchange rate fluctuation
  • Failure or negligence on the part of the exporter to fulfill the terms of the export contract. Port authority (My of Commerce & Industry) 

Documents required

Which documents are required to apply for this scheme?

  • Completely filled in proposal form no. 121 along with minimum premium of ₹2,000 to be submitted to the ECGC
  • Confirmation with respect to acceptance of the premium rates in the form of a schedule given with the Proposal Form

For do’s and don’ts click here

For any further clarification on the scheme, click here.

DEVELOPMENT OF PRODUCTION INFRASTRUCTURE SCHEME

The coir board has been implementing various schemes for the development of the coir industry. Apart from helping in setting up new coir units, the Development of production infrastructure scheme assists in modernization of existing units as well.

Overview:

The scheme ‘Development of Production Infrastructure’ aims to provide assistance for setting up new coir units as well as modernizing the existing units in order to increase the utilization of coconut husk and generate more rural employment.

Benefits:

How can an MSME benefit from this scheme?

An MSME can benefit from this scheme in the following ways:

  • Under the DPI scheme, the Coir Board financial assistance is provided for setting up of coir units with a project cost up to ₹00 lakh
  • Subsidy will be provided at 25% of the project cost subject to a maximum of ₹00 lakh for setting up of de-fibering unit, ₹4.00 lakh for automatic spinning unit and ₹5.00 lakh for others, including coir pith unit
  • For a composite or a multiple unit, the maximum monetary ceiling of assistance would be ₹00 lakh
  • For calculation of subsidy amount, the cost of building will be restricted to a maximum of ₹00 lakh for de-fibering and coir pith units and ₹6.00 lakh for others including automatic spinning unit
  • The scheme also provides for extending financial assistance up to ₹00 lakh for modernisation/ renovation of the existing units

Eligibility Criteria:

What is the eligibility criteria for this scheme?

The eligibility criteria to apply for this scheme is as follows:

  • Coir units that want to take the assistance under this scheme should be registered with the Coir Board under Coir Industry (Registration) Rules, 2008 and also the industries department of the state in which the unit is located
  • Units with project cost above ₹10.00 lakh or more than the ceiling of Coir Udyami Yojana (CUY) are eligible for this scheme
  • There should be availability of the power connection and a generator in the location of the coir unit.
  • The subsidy under this scheme is available to only those entrepreneurs who have not availed any other state/central government scheme like CUY

Application:

How can an MSME apply for this scheme?

An MSME can apply for this scheme in the following ways:

  • The unit shall submit the application in the prescribed format for grant of financial assistance. This applies for new units under the scheme, within 6 months from the date of commencement of production of the unit.
  • Date of commencement of production should be certified by the General Manager, District Industries Centre (DIC) of the respective area

MSMEs can access the application forms and more information regarding this scheme here

Skill Upgradation and Mahila Coir Yojana

The Coir industry is a fast-growing one which provides ample employment opportunities for women. However, there are many women in certain remote villages who do not have the expertise or the opportunity to enter this industry. This is where the government’s Skill Upgradation and Mahila Coir Yojana comes in.

Overview

The Skill Upgradation and Mahila Coir Yojana Scheme trains female entrepreneurs from rural areas to use better and enhanced equipment. It provides them with financial assistance to purchase machines that will make their manufacturing processes smoother and improve the quality of their products.

Benefits

How does a female entrepreneur benefit from this scheme?

A female entrepreneur benefits from this scheme in the following ways:

  1. Skill Upgradation
  2. Entrepreneur Development Programmes (EDPs)
  3. Exposure Tours and Awareness Programmes
  4. Mahila Coir Yojana

 

  1. Skill Upgradation

Under this section, a female entrepreneur could sign up for exciting short-term courses on various aspects of manufacturing coir products.

The complete list of courses available are as listed here.

A female entrepreneur could check the newspapers for notifications on upcoming courses. In case they are the organisers, they will be notified through the industry association.

Those who sign up will be provided a stipend of up to ₹1000/- per month, depending on attendance of the workers as certified by the trainer.

Note: The stipend is not provided for courses that are conducted upon request from the industry associations or agencies.

For Industry Associations

Industry Associations will be provided financial assistance by the government for conducting training programs. The IA could request the Coir Board to conduct training programmes for their affiliates.

Below is the table displaying the amount of financial assistance provided for arrangement of workshops:

Component Financial assistance
Publicity expenses for arrangement of workshop Up to ₹2,500.00
Expenses incurred for printing invitations and organisation expenses Up to ₹5,000.00
Expenses incurred for stationery, material printing, and paper printing Up to ₹6,000.00
Rental expenses (inclusive of those for venue, audio, and video) Up to ₹10,000.00
Display expenses Up to ₹10,000.00
Honorarium expenses Up to ₹ 8,000.00
Refreshment expenses (lunch and tea) Up to ₹5,000.00
Miscellaneous expenses (documentation expenses) Up to ₹3,500.00
Total Up to 50,000

Below is the table displaying the amount of financial assistance provided for arrangement of seminars:

Component Financial assistance
Printing expenses (printing of invitations, banners, photographs, and stationery) Up to ₹12,000.00
Rental Expenses Up to ₹25,000.00
Faculty expenses (honorarium and hospitality expenses) Up to ₹25,000.00
Refreshment expenses Up to ₹35,000.00
Seminar kit expenses Up to ₹25,000.00
Advertisement expenses Up to ₹25,000.00
Marketing expenses Up to ₹40,000.00
Professional charges Up to ₹10,000.00
Conveyance expenses Up to ₹3,000.00
Total Up to 200,000

 

  1. Entrepreneur Development Programmes (EDPs)

The Entrepreneur Development Programmes are conducted by the Regional/ Sub-regional Offices of the coir board through an external agency.

Programmes are open to all prospective entrepreneurs and applications are invited through a press advertisement.

The programmes are short, three-day programmes covering various facets of entrepreneurship such as:

  • Setting up an industry
  • Managing finances
  • Exporting goods
  • Learning about Industrial rules and regulations
  • Learning Soft skills with an emphasis on coir industry.

A field visit will be done to the closest coir processing centre at the end of the program to train them with all of the above activities.

Below is the table displaying the components of financial assistance provided:

Component Financial assistance
Advertisement expense (through press) Up to ₹8,000.00
Refreshment expenses (inclusive of lunch and tea) Up to ₹15,000.00

(₹100 per person* for 50 persons* for 3 days)

3 day rental expenses for hall Up to ₹6,000.00
Other expenses (inclusive of expenses for reference materials, printing 10,000.00 charges, and stationery) Up to ₹10,000.00
Staff expenses (faculty) Up to ₹8,000.00
Field visit expenses Up to ₹10,000.00
Miscellaneous expenses Up to ₹3,000.00
Total Up to 60,0000

 

  1. Exposure Tours and Awareness Programmes

Similar to EDPs, the Exposure Tours and Awareness Programs are short, five-day exposure tours organized by the designated external agency for the prospective entrepreneurs and artisans of coir processing centers.

Travel expenses are reimbursed to the extent of 50% for entrepreneurs and 90% for artisans.

Expenditure incurred per tour is limited up to ₹75,000 inclusive of train and bus fare, toll tax and service tax, and expenses for entering into other states.

 

  1. Mahila Coir Yojana

The Mahila Coir Yojana is meant specifically for women artisans. Under this scheme, if a female entrepreneur has successfully completed a training programme in spinning of coir yarn through any of the training centers of the Board, they become eligible for spinning equipment at subsidized rates.

75% of the subsidy amount will be credited to the MSME’s account by the concerned regional officer or sub-regional officer upon sanction.

Application

How can a female entrepreneur apply for this scheme?

A female entrepreneur can apply for this scheme in the following ways: 

  • Applications for in-house training through National Coir Training and Design Center will be invited in the form of advertisements (newspapers and electronically) and from regional heads of the coir producing states.
  • Selection to be done at Regional Extension Centers by the center officer and candidates selected by unit owners, NGOs, Industries Department, Trade associations, Co-operatives will be sponsored accordingly.

To apply online, please click here. 

Documents Required

What are the documents required to apply for this scheme?

The documents applied for this scheme is as follows:

  • Annexure II for skill development programmes
  • Annexure V to apply for the Mahila Coir Yojana.

For further details on this scheme, click here.