New Guidelines Passed For Central Sector Scheme Promotion Of MSMEs In North East And Sikkim

The Central Government has approved New Guidelines of Central Sector Scheme “Promotion of MSMEs in North Eastern Region and Sikkim”.

The scheme will be implemented during the 15th Finance Commission Cycle, this means from 2021-22 to 2025-26. The Scheme is envisaged to provide financial support for enhancing the productivity and competitiveness as well as capacity building of Micro, Small and Medium Enterprises (MSMEs) in the NER and Sikkim.

The scheme has following components:

Setting up of new and modernization of existing Mini Technology Centres

The Scheme envisages financial assistance to State Governments for setting up new and modernization of existing Mini Technology Centres. Projects for creation of common facilities to supplement manufacturing, testing, packaging, R&D, product and process innovations and training for natural resources such as fruits, spices, agriculture, forestry, sericulture and bamboo etc. available in NER and Sikkim would be given priority. The financial assistance of the Central Government will be 90 percent. The projects with total project cost more than INR 15.00 crore, will also be considered but maximum assistance shall be limited to INR 13.50 crore.

Development of new and existing Industrial Estates

Central Government financial assistance will be provided for development of new and existing Industrial Estates, Flatted Factory Complexes. The financial assistance of the Government will be 90 percent. The maximum project cost for calculation of assistance shall be INR 15.00 Crore for development of new industrial estate whereas Rs.10.00 crore for development of existing Industrial Estate. The projects with total project cost more than INR 10.00/15.00 crore, will also be considered but maximum assistance shall be limited to INR 9.00/13.50 crore as the case may be.

Development of Tourism Sector

The projects for creation of common services such as kitchen, bakery, laundry and dry cleaning, refrigeration and cold storage, IT infra, potable water, display centre for local products, centre for cultural activities etc. in a cluster of home stays may be considered under the scheme. There has to be linkages of projects with local MSEs. The financial assistance of the Central Government will be 90 percent for projects with maximum assistance limited to INR 4.50 crore.