MSME-DI, Mumbai For MSME Development

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Presentation on MSME-DI, Mumbai & Policy Initiatives & Schemes of Govt. of India for Development of MSMEs. MSME-DI, Mumbai For MSME Development. - PowerPoint PPT Presentation

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MSME-DI, Mumbai

Presentation onMSME-DI, Mumbai

&Policy Initiatives & Schemes of Govt. of India for Development of MSMEsMSME-DI, MumbaiForMSME DevelopmentMSME-DI, MUMBAI is the field Office of the Ministry of MSME, Government of India in the state of Maharashtra for promotion and development of MSMEs by extending various policy promotional measures through programmes and schemes

Jurisdiction MSME-DI, Mumbai

Ahmednagar Aurangabad Beed Dhule Hingoli Jalgaon Jalna Kolhapur Latur Mumbai Nanded Nandurbar Nashik Osmanabad Parbhani Pune Raigad Ratnagiri Satara Sangli Sindhudurg Solapur Thane

MSME-DI Nagpur:AkolaAmravatiNagpurBhandaraGondiaWardhaChandrapurYavatmalBuldhanaWashimGadchiroliServices rendered...Services renderedMajor Services ProvidedConsultancyProviding Economic InformationEntrepreneurship / Skill DevelopmentMarketing AssistanceTechnology & Quality Upgradation Assistance for Export Promotion Common Facility Services Cluster Development

Management ConsultancyManagement TrainingsSeminars & WorkshopsFeasibility StudiesGuidance for Improvement of Management CapabilityTechnical ConsultancyProduct SelectionProject ReportSelection of Raw MaterialSelection of MachinerySelection of Technology

ConsultancyEconomic Information Services

Industrial Potential Survey

Feasibility Report

Industrial Profile of State & Districts

Collection & Dissemination of Statistics of MSMEs

Advice on policy issues

Motivation & GuidanceProduct selectionTraining Programmes & Motivation CampaignsSpecial Programmes for Women & Economically / Socially Backward Class

Preparation of Project Profiles / ReportsEntrepreneurship/Skill Development Programmes includesMarketing AssistanceBuyer Seller MeetsVendor Development Programmes ExhibitionsSeminarsAncillary DevelopmentParticipation in International Trade FairsSpecial Global Vendor Development Programme Market Development AssistanceTechnology & Quality UpgradationTechnology Resource Programmes for Upgradation of Technology

Pollution Control & ODS Phase Out

Meetings with Foreign Delegations for Technology Transfer

Programmes on ISO 9000 & TQM, Standardization etc

Guidance on IncentivesAssistance for Export Promotion Export Market Information Export Management Programmes Packaging for Export Seminar on Bar CodingCommon Facility ServicesWorkshop FacilitiesServices for Industrial DesigningProduct DevelopmentFree Library FacilityNumber 26.1 Million MSMEsEmploy 59.5 Million PeopleGive 45% of Industrial Production *Account for 40%+ of Exports #Contribute 8% to GDPExports: Rs. 177 Bn USDProduction: Rs. 5.9 lakh cr. ($ 140 Bn)No. of Items Mfg. in MSME : 8000No. of Women Entrepreneurs : 7.4%INDIAN MSMEs - STRENGTHS* 30% for MSEs / SSIs # 33% for MSEs / SSIs14MSMED - INDIAN SCENARIO14Policy initiativesEnactment of Micro Small & Medium Enterprises Development Act 2008.- Constitution of a Consultative Body with wide representation of stakeholder, viz. National Advisory Board for Policy related interventions.-Setting up of Advisory Committee to examine the matters referred by National Board.-Promotion & enabling provisions Credit, Procurement Policies for goods by Ministries, Departments & PSUs.-Provision for Delayed Payment Act Constitution of MSE Facilitation Council, mandatory for State Governments.- Classification of MSMEs. -Process of two stage registration of Micro & Small Enterprises dispensed with & replaced with filing of Memoranda. -Filing of Memoranda optional for all Micro & Small Enterprises. -Filing of Memoranda Mandatory for Manufacturing Sector.-Facilitating Closure of Business.Micro, Small & Medium Enterprises Development Act 2006

Classification of Enterprises

Concept of Enterprises as against IndustriesEnterprises classified broadly into :

i)Enterprises engaged in the manufacture / production of goodspertaining to any industry; &

ii)Enterprises engaged in providing /rendering services

16Classification of EnterprisesMANUFACTURING ENTERPRISES

Manufacturing Enterprises defined in terms of investment in plant & machinery and further classified into :

- Micro Enterprises - Investment upto Rs.25 Lakh

- Small Enterprises -Investment above Rs.25 Lakhto Rs. 5.0 Crores

- Medium Enterprise -Investment above Rs.5 crore &up to Rs.10 Crores17Classification of EnterprisesSERVICE ENTERPRISES

Service Enterprises defined in terms of investment in equipment and further classified into :

Micro Enterprises -Investment upto Rs.10 Lakh

Small Enterprises - Investment above Rs.10 Lakh & upto 2 Crores

Medium Enterprise- Investment above 2 Crores upto 5 crores18SCHEMES & PROGRAMMESCredit Linked Capital Subsidy Scheme (CLCSS) for Technology Upgradation of the Micro and Small Enterprises (MSEs)

Objective:To facilitate technology upgradation by providing upfront capital subsidy to micro and small enterprises, khadi, village and coir industrial units, for induction of well established and improved technologies in the specified sub-sectors/products approved under the scheme.Credit Linked Capital Subsidy Scheme (CLCSS)Features i. Technology upgradation under the scheme would mean significant improvement in the present technology level to a substantially higher one involving improved productivity and improvement in the quality of the products.

This will also include installation of improved packaging techniques, anti-pollution measures, energy conservation machinery, on-line quality control equipments and in house testing facilities.

II. 48 sub sectors have been approved under this scheme.

III. Financial assistance of 15% subsidy subject to ceiling of purchase price of plant and machinery of rs.100 lakhs where term loans have been sanctioned by Primeary lending institutions (PLIs) on or after 29.09.2005.

IV. The Scheme has been extended up to 11th Plan (2007-2012)

Micro & Small Cluster Development Programme (MSE-CDP)Objectives

Cluster approach is key strategy for enhancing productivity/competitiveness of small enterprises;

Facilitate economies of scale in terms of deployment of resources;

For integrated and focused development of micro and small enterprises

WHAT IS CLUSTER

Concentration of units producing same/similar products (or engaged in same line of industrial activity) located within a defined geographical area, such as mohalla, taluk or tehsil having Common challenges, bottlenecks and opportunities

SCOPE OF THE SCHEME-Diagnostic Study all aspects to suggest emphasis for development-Forming Associations - Trust building & Developing Identity-Workshops, Seminars, Awareness Campaign, Training and Study visits-Common Purchase, lower Costs -Re-sourcing of better technology -Technology transfer through training/ demonstrations-Apportion different aspects of production among units specialization-Setting up of Common Facility Centre (CFC), Mini Tool Room, Testing Lab, Design Centre, Common Raw Material Bank-Common/complementary sales and branding -Easier Credit use of Micro Finance/Credit Guarantee -Handholding support in generalMSE- Cluster Development ProgrammeMSE-CDP Covers the following broad activities.

Soft Interventions : A) Diagnostic Study emphasis on all aspect of overall development of the cluster.B) Forming Associations Trust Building & Developing identity.C) Workshops / Seminars / Awareness Campaigns / Training & Study VisitD) Common Purchase at lower cost.E) Re-sourcing of better technologiesF) Technology Transfer through Training / Demonstrations.G) Apportion different aspects of productions amongst units leading to specialization.H) Common / Complimentary Sales & BrandingI) Easier Credit Use of Micro Finance / Credit Guarantee.J) Hand holding support in general.MSE- Cluster Development ProgrammeHard InterventionsTechnical Interventions Directed towards creation of fixed assets towards assisting technological improvements, quality standardization & testing facilities etc in the form of common facility centre, common tool room, common testing, ETP etc.Development / Upgradation of physical infrastructure for new clusters / industrial estates.Women Clusters Assistance available to Association of Women Entrepreneurs for establishing exhibition centres for display and sale of products of women owned micro and small enterprisesMSE-Cluster Development ProgrammeImplementing AgenciesIn addition to Special Purpose Vehicles (SPVs) of Cluster beneficiaries, institutions / agencies of the following categories will also act as implementing agencies.A)State Government (DICs, Other Autonomous Bodies)B) Central Government (MSME-DIs etc)C) Other National / International Agencies (Societies / NGOs etc)In case the implementing agencies is not the State Govt. or its organisation the agency will also need to necessary come through the State Government.For select interventions business development service providers can be engaged (for identifying technology gaps, developing markets and export linkages)FUNDING PATTERN: CFC

Special Purpose Vehicle (SPV), i.e., Society/ Trust/ Co. to be formed by cluster beneficiaries before seeking funds for Common Facility Centre (CFC),

For CFC, GoI support is : Cost of Project and Govt of India Assistance:Diagnostic Study - Maximum cost Rs. 2.50 lakhs.Soft Interventions - Maximum cost of project Rs. 25.00 lakh, with GoI contribution of 75% (90% for Special Category States and for clusters with more than 50% women/micro/village/SC/ST units).Hard interventions i.e setting up of CFCs maximum eligible p

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