Question : AGRO AND RURAL INDUSTRY SCHEMES



(a) the details of the schemes related to agro and rural industries being implemented all over the country;

(b) the total funds granted during each of the last three years and the current year, scheme-wise and State-wise;

(c) the steps taken by the Government to protect agro and rural industries; and

(d) the extent to which the Government has been successful in this regard?

Answer given by the minister


MINISTER OF THE STATE (INDEPENDENT CHARGE) FOR MICRO, SMALL AND MEDIUM ENTERPRISES (SHRI DINSHA PATEL)

(a): The Government of India (through the Ministry of Micro, Small and Medium Enterprises) supplements the efforts of State Governments to develop the agro and rural industries sector through central sector schemes, including the erstwhile Rural Employment Generation Programme (REGP), erstwhile Pradhan Mantri Rojgar Yojana (PMRY) and the present Prime Minister’s Employment Generation Programme (PMEGP). PMEGP is being implemented from 2008-09 through KVIC as national level nodal agency and through field offices of KVIC, State/Union Territory Khadi and Village Industries Boards and District Industries Centres (DICs) with involvement of banks.

(b): The State-wise details of margin money subsidy utilised by KVIC under the erstwhile REGP / PMEGP during the last three years and current year are given at Annex. I. The State -wise details of funds allocated (released) to the States/UTs under the PMRY during 2007-08 are given at Annex. II.

(c): The steps taken by the Government to protect agro and rural industries include:

(i) Enhancing artisans’ welfare by introducing Market Development Assistance (MDA) Scheme on production of khadi with effect from 01.04.2010 under which a definite share (25%) of the production incentives is given to the spinners and weavers through their Bank / Post Office accounts;

(ii) Making available concessional credit (@ 4% interest) to khadi institutions under the Interest Subsidy Eligibility Certificate (ISEC) Scheme;

(iii) Providing financial support to institutions to the tune of Rs.42 lakh under the Scheme for Enhancing Productivity and Competitiveness of khadi industry and Artisans;

(iv) providing better work environment to khadi spinners and weavers under the Workshed Scheme for Khadi Artisans;

(v) Khadi Reform and Development Programme (KRDP) has been launched with the help of Asian Development Bank to revitalize the khadi sector to be implemented through 300 khadi institutions and also to establish synergies with the village industries;

(vi) Developing under Scheme of Fund for Regeneration of Traditional Industries (SFURTI) more than 100 agro and rural industries clusters (29 khadi, 50 village industries and 26 coir) mostly having more than 500 traditional artisans per cluster, by providing them with improved equipment, business development services, training, capacity building and exposure visits, design and marketing support, common facilities centres, etc., to make these activities competitive and become sustainable.

(vii) Assisting spinners and tiny household weaving units under a central sector scheme titled ‘Scheme for Rejuvenation, Modernization and Technological Upgradation of Coir Industry’

(viii) Providing social security to the khadi artisans under Khadi Karigar Janashree Bima Yojana

(d) Successful implementation of the schemes has resulted in growth in production, sale and employment in khadi, village industries, as well as export of coir and also

employment in coir sector, as given below:

Year	Production	Sales/Export	Cumulative	(Value Rs.crore)	estimated	Employment	(lakh persons)

Khadi V. I. Coir Khadi V. I. Coir Khadi V. I. Coir (Value (Value fibre Sale Sale Export Rs. Rs. (Quantity crore) crore) in lakh MTs)

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)

2007 543.39 16134.32 4.38 724.39 20819.09 592.88 9.16 90.11 6.59 -08

2008 585.25 16753.62 4.91 799.61 21948.59 639.97 9.50 94.41 6.75 -09
2009 628.98 17172.76 5.15 839.58 22324.20 804.05 9.81 98.72 6.84 -10
Provisional figures.