Question : SETTING UP OF KHADI AND GRAMODYOG UNITS

(a) the number of various units of Khadi and Gramodyog presently functioning in the country along with the employment generated, State-wise;

(b) whether the Government has received proposals for setting up of more units especially in backward/tribal areas;

(c) if so, the details and the status thereof along with the funds allocated for the purpose during each of the last three years and the current year, location and State-wise;

(d) the details of employment opportunities which are likely to be generated through setting up of the said units during the said period, State-wise; and

(e) the steps taken by the Government to expeditiously clear the said proposals in a time bound manner?

MINISTER FOR MICRO, SMALL AND MEDIUM ENTERPRISES (SHRI KALRAJ MISHRA)

(a)to(e): A statement is laid on the Table of the House.

STATEMENT REFERRED TO IN REPLY TO THE LOK SABHA STARRED QUESTION No. 417 FOR ANSWER ON 22.12.2014

(a): State-wise number of khadi institutions, number of units assisted under Prime Minister’s Employment Generation Programme (PMEGP) and estimated employment generated under khadi and village industries during 2013-14 are given at Annex I.

(b)to(d): Government in the Ministry of MSME has been implementing PMEGP, a credit-linked subsidy programme through Banks with KVIC as national nodal agency since 2008-09 for generating self-employment in the Country including backward/tribal areas by setting up micro-enterprises in the non-farm sector. Individual project proposals are received under PMEGP and the same are screened by the District Level Task Force Committees (DLTFCs) headed by the District Magistrate/ Collector and recommended to Banks for sanction. State-wise release of margin money subsidy which is treated as target as also the achievements in term of the margin money subsidy utilized, the corresponding number of projects assisted and estimated employment generated under PMEGP during the last three years and current year are given at Annex II

State-wise allocation of margin money subsidy, the corresponding number of projects to be assisted and estimated employment to be generated under PMEGP during 2014-15 are given at Annex III

(e): As per RBI guidelines Banks are required to complete the process of sanction of loan within 30 days from the date of receipt of application and the entire process from the receipt of application to disbursal of loan is fixed at 130 days after scrutiny, appraisal and sanction by the concerned bank. To expedite the timely sanctioning of loans under PMEGP as well as their disbursal by Banks, the process is monitored at District Level by District Level Task Force Committees(DLTFCs) and by State Government concerned. A District Level Advisory Committee has also been constituted under the Chairmanship of the Member of Parliament of the district for monitoring of the PMEGP Scheme. Khadi and Village Industries Commission(KVIC) and Ministry of MSME have also taken up the issue with CMDs of Banks to sensitize the bank officials on timely disbursal of credit. The process is periodically monitored at the national level by a monitoring committee for PMEGP and at State Level Banker Committee meeting by the respective state governments.