Tarun Karthick
Port Blair, 28 August 2023
The Ministry of Micro, Small and Medium Enterprises (MoMSME) has introduced significant enhancements to the existing Prime Minister’s Employment Generation scheme (PMEGP), with the aim of fostering increased self-employment and job creation in both rural and urban regions across the country.
The PMEGP scheme, a flagship initiative, has long been dedicated to promoting self-employment ventures, micro-enterprises, and job opportunities. In an effort to bolster this mission, the Ministry has rolled out several key modifications.
Increased Funding Cap for Manufacturing and Service/Trading Sectors:
One of the most notable changes is the substantial increase in the maximum project cost eligible for margin money subsidy under the manufacturing sector. It has been raised from Rs. 25 lakhs to Rs. 50 lakhs. Similarly, for the service/trading sector, the maximum cost has been upped from Rs. 10 lakhs to Rs. 20 lakhs. Under both sectors, the government will provide a subsidy of up to 35% of the total project cost, offering aspiring entrepreneurs greater financial support.
Eligibility Criteria:
Individuals aged 18 and above are now eligible to avail the benefits of the scheme, provided they possess a minimum educational qualification of eighth grade for projects exceeding Rs. 10 lakhs in the manufacturing sector and Rs. 5 lakhs in the service/trading sector.
Diversified Opportunities:
The PMEGP scheme has expanded its scope to encompass various activities within the services sector. Apart from the existing offerings, aspiring entrepreneurs can now access financial assistance for activities like dairy, poultry, aquaculture, sericulture, and beekeeping.
Support for Existing Units:
An innovative component has been introduced to offer support to units already established under the PMEGP, Rural Employment Generation Programme (REGP), and MUDRA schemes. These units, demonstrating exceptional performance in terms of turnover, profitability, and loan repayment, are now eligible to receive additional financial assistance. Manufacturing units can secure up to Rs. 1 crore, while service/trading units can access up to Rs. 25 lakhs through banks. This support comes with a uniform 15% subsidy provided by the Government.
For those interested in exploring these opportunities, detailed information can be obtained from the Office of the A&N Islands Khadi & Village Industries Board, located at the District Industries Centre, Udyog Parisar Complex, Middle Point. Residents of the Inter Islands region can reach out to the nearest Extension Offices of the Industries Department in Diglipur, Bakultala, Hutbay, Car Nicobar, and Campbell Bay.
These transformative changes in the PMEGP scheme are expected to unleash a wave of entrepreneurial energy, creating new avenues for self-employment and economic growth across the nation.