(a) whether the Union Government has received representation from the Government of Kerala for relaxation in norms of Market Development Assistance Scheme guidelines on Coir and Coir Products produced by Co-operative Societies;
(b) if so, the details thereof ; and
(c) the reaction of the Government thereto?
MINISTER OF MICRO, SMALL AND MEDIUM ENTERPRISES (SHRI VIRBHADRA SINGH)
(a) Yes, Madam.
(b) Financial assistance provided under the Market Development Assistance (MDA) Scheme is to be utilized for
the following purposes:- (i) Publicity (ii) Opening of new showrooms/sales outlets (iii) Market study
(iv) Renovation of existing sales outlets (v) Setting up of market intelligence network/upgradation of
design facilities like installation of Computer aided design Centre, engagement of qualified designers
introduction of E-commerce facilities, computerization of showrooms etc. (vi) Godown (vii) Innovative marketing
strategies including payment of discounts. The Government of Kerala had expressed difficulties faced by the
Primary Coir Spinning Cooperative Societies in utilizing the assistance for the purposes included in the Scheme.
The State Government, therefore, have recommended for relaxation of guidelines so as to utilize the MDA for
purchase of raw-materials, payment of wages for production, to offer discount to attract customers and for
purchase of transport vehicle.
(c) Any proposal for amendment in a Plan Scheme requires consultation with all stake holders. Coir Board has
informed that they have taken up the matter with all other Coir Producing states. Further, since the current
year is the last year of the XI Five Year Plan, any amendment in the Scheme on the basis of consultation with
the stakeholders and evaluation of the scheme, if any, may be possible in the XII Five Year Plan only.