MSME Sarthak Scheme and Kalpavruksha Kayaka Niti Policy in Karnataka

 

MSME Sarthak Scheme and Kalpavruksha Kayaka Niti Policy in Karnataka

Various coir industry and small and medium sized ventures are present in the state of Karnataka. But these ventures lack the financial support and thus, they are not healthy. It is here that the state government has stepped in with two new schemes. With the implementation of MSME Sarthak Scheme and Kalpavruksha Kayaka Niti Policy, the authority will not only solve the financial crisis, but will also pave the path for new employment opportunities.

Launch details

Name of the schemesMSME Sarthak Scheme and Kalpavruksha Kayaka Niti Policy
Launched inKarnataka
Launched byH.D Kumaraswamy
Date of the announcementFebruary 2019
Implementation dateSoon (2019 – 2020)
Target beneficiariesCoir manufacturers and small and marginal business owners

Key features of the scheme

  1. Development of business sector – Business establishment and nurturing are the only ways to bring overall prosperity in any state. The Karnataka authority is thus preparing itself to generate more revenue by utilizing raw materials, found in the state, and boosting small and local business ventures.
  2. Progress of MSME ventures – The ventures, falling under the MSME category are often underfunded. The implementation of these two projects will change the situation.
  3. Employment generation – development of the business ventures is not the only agenda behind the implementation of this scheme. Successful operation, under both these projects will pave the path for multiple job opportunities for the people within the state.
  4. Implementation in backward areas – The implementation of these schemes will mainly be concentrated in the underdeveloped areas of the state. The level 2 and 3 areas will benefit holistically with the implementation of these projects.
  5. Assistance to SHGs – The Self-help groups, which work with coir production and processing will receive 10% subsidy on the raw material procurement.
  6. Subsidy for coir production – Several SHGs and private agencies are associated with the development of coir processing will receive a whopping 90% subsidy for overall development. Every unit will attain a maximum of Rs.2.5 lakhs under this scheme.
  7. Special subsidy – Apart from the smaller subsidies, private organizations, which are associated with manufacture of value added items will attain a special subsidy of one crore rupees.
  8. Development of coir clusters – For the overall development of the coir manufacturing companies, the state will develop coir clusters. These will consist of a specific number of coir makers.
  9. Development of readymade products – China is the number one nation that dominates the ready-made item market. With the implementation of these projects, the Karnataka government will develop 9 clusters, which will work on the development and establishment of readymade item factories. These clusters will be established in nine separate districts.

Eligibility and documents necessary for application

  1. Residents of Karnataka – It is mandatory for all applicants to be legal residents of the state. They will have to submit their legal residential certificate to gain these perks.
  2. Small and medium business owners only – Only those business owners, who fall under the MSME category, will be allowed to get the benefits of this scheme.
  3. Trade license and other papers – As one of the projects is targeted towards the development of small and medium business organizations, applicants will have to submit necessary documents, which highlight the registration of the business.
  4. Personal ID documents – All applicants, desirous of getting the benefits under the scheme will have to submit their personal ID documents like the voter card, Aadhar card and the ration card.
  5. Bank account details – The money will be deposited either in the bank account of the business owners or in the SHG’s account. Thus, it is mandatory for the applicants to submit their bank account related details.
  6. Self-help group registration – As the schemes have benefits lined for the people associated with self-help groups, applicants will have to submit their SHG registration papers as well.

How to get application form and apply?

The state government has not decided anything about the actual implementation date of this project. The CM has just announced the schemes. Nothing in detail has been announced so far. Information pertaining to the application procedure and registration documents has not yet been released. The state government is more likely to opt for an online application process for the ease of the applicants. When the state government comes out with these details, you will get it on this site.

Conclusion

Both these schemes have been targeted towards the development of the small and medium business ventures and coir manufacturing units. If these sectors can progress, then the people associated with these businesses will also be able to have a good life. These various schemes will offer financial as well as other assistances to the business owners.

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