Group Personal Accident Insurance Scheme for Coir Workers

The Coir industry has seen a rapid upswing in India with an increasing number of SMEs setting up Coir factories. But this sector does not offer its workers sufficient security in case of accidents. This is where the government’s Group Personal Accident Insurance Scheme for Coir Workers comes into the picture.

Overview:

The Group Personal Accident Insurance Scheme for Coir workers provides financial compensation to all the coir workers against accident, accidental death, permanent/temporary total disability and permanent partial disability. The entire insurance premium is paid by the Coir Board to the insurance company which can be selected by calling for quotations. Most importantly, Coir workers are not required to pay any premium for the same. 

Benefits:

How does an SME benefit from this scheme?

SME’s can benefit from this scheme in the following ways:

Compensations payable under the scheme are given below:

  • Accident death: ₹50,000
  • Permanent total disability: ₹50,000
  • Permanent partial disability: ₹25,000
  • Provision for finger cut: Depending upon the finger and limited to applicable percentages of capital sum insured

Eligibility Criteria:

What is the eligibility criteria for this scheme?

The eligibility criteria for this scheme is as follows:

  • The cover provided is only for accidental death and disability
  • This policy shall provide financial compensation to the disabled coir worker or nominee of the disabled or deceased coir worker
  • The accident is defined as death or disability caused by any external violent and visible means. Drowning, snake bite, automobile accident, poisoning, falling from a tree, lightning, murder etc. are some of the accidents that come under the purview of the policy

Application:

How can an SME apply for this scheme?

An SME can apply for this scheme by filling the form here.

Documents required:

Which are the documents required for this scheme?

The documents required for this scheme are as follows:

  • Death Certificate (in case of accidental death)
  • Police Report / FIR (wherever available)
  • Post Mortem Report (wherever available)
  • Identification proofs of beneficiary, certificate issued by the Coir Society/Unit/Establishment/ Nominated Officer of Coir Board
  • Recognized photo ID proof of beneficiary and nominee
  • Disability Certificate from a registered Medical Practitioner (in case of disability)

For further information with respect to documents required, workers can drop their queries to the coir board at coirboard@nic.in and info@coirboard.org.

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.

External Market Development Assistance (EMDA) Scheme for Coir Companies

Coir companies looking to export their coir products often need adequate financing. The External Market Development Assistance scheme, established by the Coir board plays a pivotal role in providing the required assistance.

Overview

The External Market Development Assistance scheme provides Coir Companies and Exporters financial assistance required for participating in trade fairs, BSMs, delegations and for the production of catalogue. The primary objective of this scheme is to enable a company expand its exports and tap into global markets. 

Benefits

How does a Coir Company benefit from this scheme?

Under this scheme, a Coir Company can avail Financial assistance for space rent, air fare and freight charges incurred while participating in trade fairs, BSMs or delegations.

The assistance provided to the companies for participation in exhibitions, trade fairs, buyer-seller meets and market delegations vary, and are as mentioned in the tables below:

  1. For space rent (built-up stall of minimum bookable area)

(*Charges fixed by the organizers and to be verified by the Coir Board before making payment.)

General Category Enterprises/Registered Exporters
Micro Enterprises/Exporters 75% of the actual charges*
Small Enterprises/Exporters 60% of the actual charges
Medium Enterprises/Exporters 25% of the actual charges

 

Entrepreneurs/Exporters belonging to North Eastern Region/Women/ SC/ST category
Micro Enterprises/Exporters 95% of the actual charges
Small Enterprises/Exporters 85% of the actual charges
Medium Enterprises/Exporters 50% of the actual charges

 

  1. For airfare *(for one representative from one enterprise / registered exporter)

*(Should be the cheapest fare available to be certified by Coir Board)

General Category Enterprises/Exporters
Micro Enterprises/Exporters 85% of the cheapest economy class return fare
Small Enterprises/Exporters 75% of the cheapest economy class return fare
Medium Enterprises/Exporters 25% of the cheapest economy class return fare

 

Entrepreneurs/Exporters belonging to North Eastern Region/Women/ SC/ ST category
Micro Enterprises/Exporters 95% of the cheapest economy class return fare
Small Enterprises/Exporters 85% of the cheapest economy class return fare
Medium Enterprises/Exporters 50% of the cheapest economy class return fare

 

  1. For freight charges

The amount is subject to a maximum of ₹20, 000/- per entrepreneur/exporter.

  1. The maximum amount of assistance towards air fare, space rental and freight charges are mentioned in the tables below:
General Category Enterprises/Exporters
Type of unit Latin America Other Countries
Micro Enterprises ₹1.75 lakh ₹1.50 lakh
Small Enterprises ₹1.50 lakh ₹1.25 lakh
Medium Enterprises/Exporters ₹1.00 lakh ₹0.75 lakh

 

Categories belonging to NER / Women / SC / ST
Type of unit Latin America Other Countries
Micro Enterprises ₹2.00 lakh ₹1.75 lakh
Small Enterprises ₹1.75 lakh ₹1.50 lakh
Medium Enterprises/Exporters ₹1.25 lakh ₹1.00 lakh

In addition to the above, 25% of the production cost of product brochures/catalogues for use at abroad is extended, subject to a maximum of ₹15,000/- once in a financial year.

Eligibility Criteria

What is the eligibility criteria for this scheme?

The following is the eligibility criteria for this scheme:

– Micro, small and medium exporters with free on Board turnover of less than ₹ 2 crore worth coir products in the previous year

– Micro, small & medium entrepreneurs of coir and coir products must be registered with the Coir Board

What makes an MSME ineligible for this scheme?

An MSME who has availed the facility from another source for a similar purpose or has participated three times in the same exhibition to the same destination with government assistance is ineligible for this scheme.

Application

How can an SME apply for this scheme?

An SME can apply for this scheme by clicking here 

 

Under what grounds can the application be rejected?

The application can be rejected on the following grounds. 

  • The entrepreneur/exporter/company should not have been under investigation/charged/debarred/ prosecuted/blacklisted according to the Exim Policy of the Government of India or by the Coir Board
  • Claims not satisfying any of the conditions are liable to be rejected summarily

Documents Required

What are the documents required to apply for this scheme?

The following documents are required to apply for this scheme:

  • Annexure – I for Buyer Seller Meet/Trade Delegation
  • Annexure – II for Fairs/Exhibitions duly signed and sealed with 14 days clear advance notice as mentioned under general conditions is required to be fulfilled
  • Self-declaration showing the list of Exhibitions/ Buyer Seller Meet/ Delegations undertaken by him by availing assistance from Coir Board or any other Government sources during the last 5 years
  • Value of investment on Plant and machineries counter signed by a Chartered Accountant also applicable for new applicants
  • Participation in Buyer Seller Meet /Trade Delegation the details of documentary evidence for the events from the concerned organizer
  • The claim in the prescribed format (Annexure-III for Buyer Seller Meet/Trade Delegation
  • Bill for Payment as per Annexure-V
  • Community certificate issued by an Officer not below the rank of Tahasildar in the case of SC/ST beneficiaries
  • Legible colour copy of passport highlighting the entries about departure and arrival into India and also the countries visited. In case passport does not have arrival/departure dates regarding visits to various countries, documentary evidence such as Boarding passes, Lodging Passes, Hotel Bills etc. need be submitted
  • Original E-ticket used during the journey. If original ticket is lost, a certificate from the concerned Airline (as per Annexure-VI)
  • Original Boarding Passes used during the journey
  • Space Rent receipt / proof of payment in Original or Bank Certificate towards remittance of space rent, freight charges
  • Report on results achieved
  • Pre-Receipt (Annexure-VII)
  • A certificate from the concerned airlines regarding the actual cheapest air fare

General Conditions

What are the general conditions under this scheme?

The following are the general conditions under this scheme: 

  1. Assistance for one Regular employee/Director/ Partner/Proprietor of a Company for air travel in cheapest Economy Class
  2. Status of Micro/Small/Medium Enterprises shall be decided on the basis of the investment in Plant & Machinery as given below :
    • Micro Enterprises : With investment in plant and machinery does not exceed ₹25 lakhs
    • Small Enterprises: With investment in plant and machinery more than ₹25 lakhs but
      does not exceed ₹5 crores
    • Medium Enterprises: With investment in plant and machinery more than ₹5 crore but does not exceed ₹10 crores
  3. Only a maximum of 3 participations in a particular event (including past cases) would be eligible
  4. Priority will be given to those persons who have not participated in such events earlier
  5. For any other financial assistance from Coir Board for the same purpose, the assistance already received will be deducted from the eligible EMDA and balance alone shall be paid
  6. Application for assistance under this scheme to be filed with Coir Board by the beneficiaries at least 14 days before the departure from India to attend the event
  7. Date of receipt of application in Coir Board and date of departure from India will be excluded for the calculation of advance notice period
  8. Documentation for buyer seller meet/trade delegation/participation in fairs / exhibitions abroad and claims for seeking assistance to be furnished as prescribed by Coir Board
  9. Assistance shall be available only to the events in which Coir Board organizes participation of Indian Coir sector.

However, the events organized by the ITPO and FIEO will also be considered for grant of assistance under this scheme.

For availing assistance for production of publicity materials and any other information visit here.

Set up a Hassle-Free Coir Factory with the Coir Udyami Yojana Scheme

India is one of the largest producer and exporter of coir goods, making it a great business opportunity for SMEs. However, finding the right funding to set up a coir factory may not be easy. To solve the funding problems and accelerate an SME’s coir business journey, the government has initiated the credit linked subsidy scheme called ‘Coir Udyami Yojana’ (previously known as Rejuvenation, Modernisation, and Technology Up-gradation of the Coir Industry (REMOT)).

Overview

The Coir Udyami Yojana provides financial assistance to SMEs manufacturing coir and coir-related products. This scheme is mainly implemented among the major coir producing states of the country by the Coir Board, a statutory organisation under the Ministry of MSME as the Nodal Agency at the national level.

Rate of Interest and Repayment Schedule

What is the Rate of Interest and Repayment Schedule for this scheme?

  • The rate of interest charged would be at par with the base rate
  • Repayment schedule may not exceed 7 years after initial moratorium period, as may be prescribed by the concerned bank/financial institution
  • The loan would be covered under Credit Guarantee Trust Fund Scheme under the O/o the Development Commissioner, Ministry of MSME
  • The guarantee fee for the coverage will be borne by the beneficiary of the bank
  • The term loan will be without collateral/third party guarantee

Selection of the beneficiary

What is the criteria for selection of the beneficiary?

Selection of the beneficiary is done on merit, on ‘first-come-first-serve’ basis. The identification of beneficiaries at different regions is done by a committee consisting of representatives of the Coir Board, District Industries Centres (DIC), Coir Project Office, Banks, and Panchayati Raj Institutions etc.

 

Benefits

How does an SME benefit from this scheme?

Under this scheme, SMEs will receive a subsidy on loans up to ₹10 lakhs, plus one cycle of working capital, which shall not exceed 25% of the cost of an SME’s factory.

The following table explains the financial break-up of this scheme:

Project cost ₹1,00,000
SME contribution ₹5,000
Loan amount ₹55,000
Subsidy amount ₹40,000

 

Eligibility Criteria

What is the eligibility criteria for this scheme?

  • This scheme is applicable only for projects that fall under the coir sector (for example, production of coir fibre/yarn products)
  • This scheme provides assistance to the following –
  • Individuals
  • Companies
  • Self-help groups (SHGs)
  • Non-governmental organisations (NGOs)
  • Institutions registered under Societies Registration Act 1860
  • Production co-operative societies

Joint liability groups and charitable trusts

  • SMEs that have already availed a government subsidy under any other scheme for the same purpose, are not eligible.
  • Only one person per family (Including self and spouse) is eligible to receive financial assistance for setting up projects under the scheme.
  • Entrepreneurship Development Programme (EDP) would be mandatory for all beneficiaries of the Coir Udyami Yojana scheme. The applicants can undergo EDP training either before or after submitting the application for the scheme, but before the Regional Level Selection Committee recommends the applicants to the bank.

 

Application

How can an SME apply for this scheme?

An SME can apply through online or offline application.

For online application, click here

For offline application, the SME is required to collect the application form from the Coir Board Offices, DICs, Coir Project Offices, Panchayati Raj Institutions or the Nodal Agencies approved by the board for this purpose.

Submission

The applications must be submitted directly to the Coir Board Field Offices or through the DICs.

The addresses of the Coir Board Field Offices dealing with the scheme and the application form can be found here.

Documents Required

Which documents are required to apply for this scheme?

  • Prescribed application form for scheme assistance
  • Copy of the title deed of the property on which the unit is proposed to be set up/already located
  • Proof of Coir industry experience
  • Proof of training availed from Coir Board
  • Machineries proposed to be purchased along with the invoices
  • Industrial establishment certificate issued by DIC
  • Plan and estimate of construction of workshed duly certified by chartered engineer
  • Project profile of the proposed project
  • In case of SC/ST, copy of caste certificate
  • Other supporting documents

For further information regarding this scheme, click here.