13 May 2012

Training to Entrepreneurs in Cottage Industries

The Ministry of Micro, Small and Medium Enterprises (MSME) supplements the efforts of the State Governments in imparting training to artisans/entrepreneurs. Khadi and Village Industries Commission (KVIC) imparts skill development training in the khadi and village industries sector through its 40 multi disciplinary training centres (MDTCs); it also provides Entrepreneurship Development Programme (EDP) training under the Prime Minister’s Employment Generation Programme (PMEGP) through 558 accredited training centres. Coir Board imparts training in the coir sector. 

The Ministry with a view to regenerate the traditional industries including cottage industries is implementing a number of schemes through KVIC and Coir Board which include (i) Scheme of Fund for Regeneration of Traditional Industries (SFURTI) and (ii) Scheme for Rejuvenation, Modernization and Technological Upgradation of Coir Industry(REMOT). KVIC is also implementing the Prime Minister’s Employment Generation Programme (PMEGP), a major credit-linked subsidy programme to provide margin money subsidy and entrepreneurship training to beneficiaries for setting up of micro-enterprises in the non-farm sector. 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 /women 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. 

The main items produced in the khadi and village industries sector come under the group of industries such as mineral-based, forest-based, agro-based & food processing, polymer & chemical-based, rural engineering & bio-technology, handmade paper & fibre and textile & service and in the coir sector such as coir fibre and coir value-added items. 

This information was given by the Union Cabinet Minister for Micro, Small and Medium Enterprises, Shri Virbhadra Singh in a written reply to a question in the Lok Sabha today.

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