(a) the steps taken by the Government to generate employment for persons during the last three years through the Khadi and Village Industries Commission (KVIC);
(b) the details of schemes initiated for this purpose; and
(c) the names of States which are likely to benefit from the said proposal including Karnataka?
MINISTER OF MICRO, SMALL AND MEDIUM ENTERPRISES
(SHRI NITIN GADKARI)
(a)&(b): Ministry of Micro, Small and Medium Enterprises (MSME) is implementing the following schemes through Khadi and Village Industries Commission (KVIC) to generate employment for persons:
1. Prime Minister’s Employment Generation Programme (PMEGP) is a credit linked subsidy scheme, for setting up of new micro-enterprises and to generate employment opportunities in rural as well as urban areas of the country through KVIC, State Khadi & Village Industries Boards (KVIBs) and District Industries Centres (DICs). 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 SC/ST/Women/PH/ Minorities/ Ex-Servicemen/NER, 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.
2. Market Promotion Development Assistance (MPDA) scheme is formulated as a unified scheme by merging different schemes/sub-schemes/components of different Heads implemented in the 11th Plan, namely, Market Development Assistance, Publicity, Marketing and Market promotion. A new component of Infrastructure namely setting up of Marketing Complexes/ Khadi Plazas has been added to expand the marketing net worth of Khadi & VI products.
Under Modified Market Development Assistance (MMDA) is provided at 30% of the Prime Cost of Khadi and Polyvastra production and will be distributed amongst producing Institutions (20%), selling institutions (10%), Artisans (40%) and the remaining (30%) is to be given to best performing Khadi Institutions selected through a transparent scorecard.
3. Interest Subsidy Eligibility Certificate (ISEC) scheme would continue as a sub-component of Khadi Vikas Yojana (KVY) providing assistance to Khadi institutions to avail working capital loan from the banks at a sub-vented interest rate of 4%. This is one of the critical components to provide institutional financial support to any Khadi Institution.
4. Gramodyog Vikas Yojana (GVY) - The budget provision under this sub-head is meant for promotion and development of village industries through technology upgradation and appropriate IT support, allocation for development of new products, designs and better packaging for VI products, undertaking Human Resource Development through upgradation of existing training centres of KVIC/KVIBs and institutions affiliated to KVIC/KVIBs, providing Common Facilities etc.
Cumulative employment opportunities were generated for 142.03 lakh persons till 2018-19 under entire Khadi and Village Industries (KVI) sector.
State-wise number of Khadi Institutions is placed at Annexure-I and Village Industries units established under PMEGP is placed at Annexure-II. State-wise Margin Money disbursed under PMEGP during the last three years is placed at Annexure-III. Details of State-wise employment opportunities created under PMEGP during last three years is placed at Annexure-IV.
(c): All the States/UTs of the country, including the State of Karnataka, are benefitted from the implementation of the above mentioned schemes/programmes of KVIC.