Agriculture / Rural Industries

Ministry is implementing Prime Minister’s Employment Generation Programme (PMEGP) since 2008-09 through Khadi and Village Industries Commission (KVIC) as nodal agency at the national level for generating employment in the country by setting up micro-enterprises mainly in agro and rural sector.

Under the scheme, 100% physical verification of the actual establishment and working status of each of the micro units, financed under PMEGP, is carried out through the outsourced agencies between 24 to 36 months after the establishment of the units.  During physical verification, around 85% of the total units have been found working.

Ministry of MSME through KVIC is taking following steps to encourage agriculture and rural industries to generate estimated employment opportunities for people including migrant workers:

1. Under PMEGP, during the last three years, Margin Money subsidy amounting to Rs. 6209.62 crore has been disbursed for setting up 214495 units generating estimated employment for 17.15 lakh persons.
2. In order to sustain the units setup under PMEGP, free hand holding through technical, financial and marketing experts is being provided.
3. Second loan up to Rs. 1.00 crore with subsidy of 15% to 20% is provided to upgrade better performing PMEGP/MUDRA units.
4. E-commerce portal has been developed by KVIC, providing online marketing linkages to PMEGP and other khadi and village industry products.
5. To generate employment in agro and rural industries, 685 farmers have been trained under beekeeping/Honey Mission and about 1000 potters have been trained under Kumbhar Shash ktikaran Programme and provided with bee colonies and electric pottery wheels respectively.

In addition, Government has announced a comprehensive package of Rs.20 Lakh crore for all the sections of the society including Industries and MSMEs to cope up the Covid-19 pandemic situation. Announcements pertaining to MSMEs and their current status are given below:

1. Emergency Credit Line for MSMEs: Government has operationalized Rs. 3,00,000 crore collateral free loan scheme w.e.f. 23.05.2020 which is likely to benefit 45 lakh MSMEs. As on 02.07.2021, loans for an amount of Rs. 2.73 lakh crore have been sanctioned.
2. Rs. 20,000 crore as Subordinate Debt for Stressed MSMEs: As on 17.07.2021, 715 guarantees have been approved amounting to Rs. 75.82 crore.
3. No Global tenders for government procurement up to Rs. 200 crore
4. Clearing of payment due to MSMEs: Government has announced that MSME dues should be cleared by the Government agencies and CPSEs within 45 days.  Since May 2020 and up to 26.07.2021, pending payments of Rs. 55863.30 crore have been made to MSMEs.

This information was given by Union Minister for Micro, Small and Medium Enterprises, Shri Narayan Rane in a written reply in Lok Sabha today.