Question : Development of Rural Industries under PMEGP

(a) whether the Government is implementing the Prime Minister ’s Employment Generation Programme(PMEGP) in the country;

(b) if so, the details thereof along with the funds allocated/sanctioned and number of jobs created there from during each of the last three years and the current year, State/UT-wise including Maharashtra;

(c) whether the Government provides assistance under the PMEGP for promotion of plants and herbs-based rural industries, if so, the details thereof including the number of villages benefitted therefrom during the said period, State/UT-wise; and

(d) the other steps taken by the Government to boost rural employment generation?

Answer given by the minister

MINISTER OF STATE (INDEPENDENT CHARGE)
FOR MICRO, SMALL AND MEDIUM ENTERPRISES
(SHRI GIRIRAJ SINGH)

(a): Yes, Madam.

(b): Ministry of Micro, Small and Medium Enterprises (MSME) is implementing Prime Minister’s Employment Generation Programme (PMEGP) which is a major credit-linked subsidy programme aimed at generating self-employment opportunities through establishment of micro-enterprises in the non-farm sector by helping traditional artisans and unemployed youth. Any individual above 18 years of age is eligible. For setting up of projects costing above Rs.10 lakh in the manufacturing sector and above Rs. 5 lakh in the business /service sector, the beneficiaries should possess at least VIII standard pass educational qualification. General category beneficiaries can avail of margin money subsidy of 25 % of the project cost in rural areas and 15% in urban areas. For beneficiaries belonging to special categories such as scheduled caste/scheduled tribe/OBC /minorities/women, ex-serviceman, physically handicapped, NER, Hill and Border areas etc. the margin money subsidy is 35% in rural areas and 25% in urban areas. The maximum cost of projects is Rs. 25 lakh in the manufacturing sector and Rs. 10 lakh in the service sector. Benefit can be availed under PMEGP for setting up of new units only.

The State-wise details of funds allocated/sanctioned and number of jobs created therefrom during each of the last three years and the current year (31.12.2017) are given at Annexure-I.

(c): The Government provides assistance under the PMEGP for promotion of value addition of plants and herbs-based rural industries under the category of Forest Based Industries (FBI) and Agro Based Food Processing Industries (ABFPI) in all districts of all State/UTs. The State/UT-wise details of number of villages benefitted therefrom during the said period is not available, however the State/ UT- wise no of projects set up under Forest Based Industries(FBI) and Agro Based Food Processing Industries (ABFPI) during last three years is given at Annexure- II

(d): The other following steps have been taken by the Government to boost rural employment generation under PMEGP scheme in the country.
• Publicity is being made through print and electronic media about PMEGP scheme for the benefit of Rural and Urban areas.
• Awareness camps at District level and State level are being organized in order to propagate the PMEGP scheme for the development of micro industries.
• Exhibitions are also conducted at district/state/zone and national level for providing marketing support to the entrepreneurs/units.
• For speedy completion of EDP training, EDP training conducted through Departmental Training Centres as well as RSETIs/RUDSETIs as per MOU executed between KVIC & MCR.
• Further, the incubates under ASPIRE-LBIs/ Tool Room and Technology centers /MSME-DIs under Ministry of MSME, NSIC/NIMSME /RSETI/NISBUD/ IIE or other Institution / agency approved by Ministry would be eligible for assistance under PMEGP on priority basis and without undergoing EDP training, if the EDP component is already included in the curriculum of the LBIs/Tool Room/Training Centers etc.
• Special drive has been initiated to meet the target of SC/ST backlog and target.

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