Govt. of India�MSME- Development & Facilitation Office�Min. of Micro, Small and Medium Enterprises �Electronics Complex, Chambaghat, �Solan-173213, Himachal Pradesh� Phone 01792-230265//230766���E-mail: dcdi-solan@dcmsme.gov.in �WebSite: www.dfosolan.dcmsme.gov.in�

� Structure of Organization�Development Commissioner (MSME) �

• 30 MSME Development Institutes
• 28 Branch MSME Development Institutes
• 1 Extension Centre (Br. MSME-DI, Okhla)
• 4 Regional Testing Centers (MSME-TDC)

Delhi / Chennai / Kolkata / Mumbai

• 7 Field Testing Stations
• 11 Tool Rooms & Training Centers
• 6 Process cum Product Development Centres
• 2 Central Footwear training Institutes
• 5 Training Institutes
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Scenario of Indian MSMEs

• 6.40 Crore MSMEs
• Employ about 80 million People
• Contribute approx. 45 % of Industrial Production
• Contribute approx. 40% of Exports
• Contribute 8% of GDP
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How to Become MSME?� www.udyamregistration.gov.in

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�Udyam Registration �

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• This certificate has a dynamic QR Code from which the web page on our Portal and details about the enterprise can be accessed.
• There will be no need for renewal of Registration but updation is required.
• Addition of Activities (NIC code) under MSMED Act, 2006 for Udyam Registration - Retail and Wholesale Trade Now, Retail and wholesale trades are allowed to be registered on Udyam Registration Portal as MSMEs. However, benefits to Retail and Wholesale trade MSMEs are to be restricted to Priority Sector Lending only.

Definition of MSME�Revised Classification applicable w.e.f 1st July 2020

Now Traders can be MSME

Inclusion of the Retail and wholesale trades as MSMEs and they are allowed to be registered on Udyam Registration Portal.

(Order No. 5/2(2)/2021-E/P & G/Policy dated 02.07.2021)

Street Vendors can also register as retail trades on Udyam Registration (UR) portal

However, benefits to Retail and Wholesale trade MSMEs are to be restricted to Priority Sector Lending only.

Now Traders can be MSME

The list of eligible additional activities under NIC Code 45, 46 and 47 are as under:

45- Wholesale and retail trade and repair of motor vehicle and motorcycles

46- Wholesale trade except of motor vehicles and motor cycles

47- Retail Trade Except of Motor Vehicles and motor cycles

How can register as MSME

Udyam Registration replaced the earlier registration process of Udyog Aadhaar Memorandum. Udyam Registration is free of cost, transparent, online, hassle- free, based on self-declaration and requires Aadhaar and PAN cards. The registration does not require any documents and has an automatic integration with CBDT and GSTIN. In case of an enterprise, when no prior ITR is available, the investment in Plant & Machinery and turnover will be based on self-declaration on

www.udyamregistration.gov.in

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Year of category as MSME

For registration and Classification 0f MSME

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Benefits as MSME

S.O. 4926(E). Dated 18/10/2022—ln exercise of the powers the Micro, Small and Medium Enterprises Development Act, 2006 (27 of 2006), the Central Government hereby makes the following further amendments in the notification of the Government of India, Ministry of Micro, Small and Medium Enterprises number S.O. 2119(E), dated the 26th June, 2020, the following sub-paragraph shall be substituted, namely:-

"(5) In case of an upward change in terms of investment in plant and machinery or equipment or turnover or both, and consequent re-classification, an enterprise shall continue to avail of all nontax benefits of the category (micro or small or medium) it was in before the re-classification, for a period of three years from the date of such upward change.".

Benefits as MSME https://udyamregistration.gov.in/docs/Benefits_of_UR.pdf

Benefits as MSME

Benefits as MSME

Benefits as MSME

Benefits as MSME

Schemes for MSMEs

Major current�Schemes/Policy of Ministry of MSME

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• Procurement & Marketing Support Scheme
• MSME Innovative Scheme
• MSE-Cluster Development Programme
• Public Procurement Policy
• ZED (Zero Defect Zero Effect)
• Entrepreneurship and Skill Development Programme

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International Cooperation (IC) Scheme of Min. of MSME

• To visit of MSME Delegation( Min. 10 Nos.) in International Fairs/Trade Fairs/ Conference/ Summit/ workshops etc. for tech./ upgradation/ joint venture/market for MSMEs product.
• Applicant organization may be State/Central Govt. organization/ MSME Association/ Societies/ Trust etc. And can participate 2 event in a year.

Assistance:-

• 100% Airfare max. 1.00 Lakh to MSMEs
• 100% space rent max. up to 1.25 lakh for each MSMEs
• Advt./ publicity to applicant organization:- max. 5 Lakh
• Organizing IC/Summits by Ind. Asso. :- Max. 4.5 Lakh

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International Cooperation (IC) Scheme of Min. of MSME- Capacity Building of First Time MSE Exporters (CBFTE)

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• ELIGIBILITY CONDITONS
• Micro and Small Enterprise with valid Udyam Registration
• b. To claim the benefits under the scheme, the applicant's Importer Exporter Code (IEC) must not be older than 3 years on the date of export shipment.

International Cooperation (IC) Scheme of Min. of MSME- Capacity Building of First Time MSE Exporters (CBFTE)

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Financial assistance towards costs incurred by first time MSE Exporters on export shipments:

1. Registration-cum-Membership 75 percent of the cost paid subject to Certificate (RCMC) charges/fee paid by the first-time exporter to relaied a maximum of Rs. 20,000/-

2. Export Insurance Premium paid to Maximum financial assistance in a financial Export Credit Guarantee Corporation year of Rs. 10,000/- or actual, whichever is Ltd. (ECGC).

3. Fee paid on Testing & Quality 75 percent of the testing and quality Certification acquired by MSEs to certification with a ceiling of Rs. 1.00 Lakh or Export Products actual, whichever is lower.

Procurement and Marketing Support-Under Development of MSMEs(ESDP) Scheme

Objective of the Scheme for promoting new market access:

• Domestic Fairs / Exhibitions.
• International trade fairs / Exhibitions/ MSME Expo etc.
• To create awareness about process of packaging in marketing, import – export policy, GeM Portal, MSME Conclave, Latest development in International /National trade etc.
• To create awareness about Trade Fairs, Barcode- also reimbursement, Digital advertising, e-marketing, GST, Public Procurement Policy

Procurement and Marketing Support-Under Development of MSMEs(ESDP) Scheme

Financial Assistance in participation of MSEs in Domestic Fairs / Exhibitions On line application:

• 80% of space rent of Gen category and 100% for SC/ST/PH/Women/NER.
• 100% Contingency expenditure including travel, publicity and freight charges subject to max. Rs. 25000/-
• Maximum Budgetary Assistance :

Metro & A Class City: Rs 1.50 lakhs ( incl. All taxes) max or actual.,

Other Class City: Rs 0.80 lakhs ( incl. All taxes) max or actual.

• One Unit may get benefit for max. of 02 events in a year and submit their claims online( or system in place) in prescribed format within 30 days from the date of conclusion of the event.

Procurement and Marketing Support-Under Development of MSMEs(ESDP) Scheme

Organising/ Participation in trade Fairs/ Exibitions by the Ministry/Office of DC(MSME)/Govt. Organisation:

• Implementing Agency(IA) will hire space/built up space and will get 15 Lakh/ 25 Lakh/ 40 lakh for regional/ national/ International event respectively and participating unit will get subsidy as per domestic exhibition.
• The IA may get Rs. 15 Lakh max. for Advertising and publicity for the event and other related activities i.e. cultural programme etc.
• Also may organise Virtual Trade Fairs- Rs. 16.45 Lakh Max.

Procurement and Marketing Support-Under Development of MSMEs(ESDP) Scheme

Capacity Building of MSMEs in Modern Packaging Techniques:

• Cluster Based intervention for specific packaging requirement and will get 15Lakh/ Cluster or Actual of total cost paid to empanelled agency.
• The agency will be Indian Institute of Packaging(IIP) and NID , NIFT etc. with the approval of Competent Authority- DCMSME.

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Procurement and Marketing Support-Under Development of MSMEs(ESDP) Scheme

Adoption of Bar Code/ eCommerce by Micro Unit:

• Unit Based Intervention for Bar Code:- Maximum assistance of 80% (Rs. 50650/-) to Micro Unit (Annual and One Time Registration of Bar Code from GS1
• Adoption of e-Commerce by Micro Enterprises-Providing financial assistance on annual membership fee /subscription fee / contingency expenses (photography, cataloguing, advertising etc.) through e-commerce portal "MSME Global Mart" being operated by NSIC. The financial assistance may be provided 75% of paid amount by Micro Enterprises subject to maximum Rs. 25,000/- (excluding applicable taxes), whichever is less per financial year.

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Procurement and Marketing Support-Under Development of MSMEs(ESDP) Scheme

International / National workshop/ Seminars :

• To educate MSMEs on various aspects of Business development i.e. product & process development, Technology development , IPR, Exim policy, PPP, Design & development etc.
• Rs. 5 lakh for workshop/ seminar in country

Entreprenurship Skill Development Programme (ESDP) -Under Development of MSMEs(ESDP) Scheme

Enterprises Development Centre (EDC):

• To cater the needs of aspiring entrepreneurs w.r.t. Ideation, mentoring and incubation and assist existing MSMEs on various aspects credit facilities, Market accessibility and diagnostic studies in the event of sickness etc.
• Setup in the network of DC(MSME) and connected with national resource centre in the country

Entreprenurship Skill Development Programme (ESDP) -Under Development of MSMEs(ESDP) Scheme

Export Facilitation Cell (EFC) in existing EDCs :

• To cater the needs of MSME entrepreneurs w.r.t. Assistance in Export Formalities, Export Documentation assistance, Export Data compilation, Problem solution w.r.t. Export, coordination with DGFT/ RCMCs/ SEZs/ GST Deptt. – CGST and other stake holders.
• Setup in the network of DC(MSME) and connected with National Resource Centre in the country at Nagpur.

MSME INNOVATIVE SCHEME

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• MSME Innovative Scheme is an amalgamation of the Incubation, Design and IPR Schemes of the Ministry of MSME.

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• MSME Innovative is a new concept for MSMEs with a combination of innovation in incubation, design intervention and by protecting IPR in a single mode approach to create awareness amongst MSMEs about India’s innovation and motivate them to become MSME Champions.

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• The implementation agencies (Host Institutes, IISc, IITs, NITs and IPFCs, etc.) will be common for these sub schemes for taking them through the initial stage of idea conceptualization to handholding to business development to final growth and outreach.

https://innovative.msme.gov.in)�

INTELLECTUAL PROPERTY RIGHT (IPR) COMPONENT

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This component offers legal and intellectual property filing support including patents, trademarks, copyrights, designs, geographical indications (GI) etc. The programme also provides IP advisory, consultation, Patentability Searches, Technology Gap Analyses and IP commercialisation through establishment of Intellectual Property Facilitation Centres (IPFCs) across the country.

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1. Intellectual Property Facilitation Centre (IPFC)

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• Financial Assistance for IPFC: A Grant of up to Rs. 1 crore would be provided to an IPFC in milestone-based three (or) more instalments.

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• Financial Assistance for MSMEs:

Reimbursement for registration of Patent, Trademark, Geographical Indications (G.I.), Design:

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Maximum Financial Assistance

1. Foreign Patent Rs. 5.00 lakh

2. Domestic Patent Rs. 1.00 lakh

3. GI Registration Rs. 2.00 lakh

4. Design Registration Rs. 0.15 lakh

5. Trademark Rs. 0.10 lakh

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BUILDING AWARENESS ON INTELLECTUAL PROPERTY RIGHTS (IPR) -A Component under CLC-TUS

ACTIVITIES UNDER THE SCHEME

1. MAJOR ACTIVITIES a. Financial assistance on grant of patent/ registration under geographical indications of goods/trademarks

1. Domestic Patent Rs. 1.00 Lakh
2. Foreign Patent Rs. 5.00 Lakh
3. GI Registration Rs. 2.00 Lakh
4. Trademark Rs. 0.10 Lakh

2. Assistance for setting up IP Facilitation Centre Rs.1 Crore

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FULL SCHEMES-(CLCS-TUS) AVAILABLE AT:-

http://www.dcmsme.gov.in/schemes/nmcp_scm.htm

BUILDING AWARENESS ON INTELLECTUAL PROPERTY RIGHTS (IPR) -A Component under CLC-TUS

MAJOR ACTIVITIES- Patent/GI/Trade Marks

Eligibility Criteria:-

1. The applicant/entity/unit must have a valid Udyog registration. Patents/Trademarks filled/registered in the name of individuals are also eligible for reimbursement subject to holding a valid Udyam Registration.
2. For reimbursement of expenses incurred towards registration of GI, the agency, institutions, associations, Institutes, non-profit bodies, NGOs, societies, trusts, or similar other noncommercial bodies, other entity which might not have Udyam Registration, should provide relevant incorporation/establishment documents, PAN number of entity.

BUILDING AWARENESS ON INTELLECTUAL PROPERTY RIGHTS (IPR) -A Component under CLC-TUS

MAJOR ACTIVITIES- Patent/GI/Trade Marks

How to Apply:-

Applicants can apply for reimbursements through online portal of MSME i.e. MY.MSME.GOV.IN by furnishing all the relevant details and uploading the necessary supporting documents. All application received through online portal will be allocated to the concerned Implementing Agency for scrutiny, approval and release of funds to reimburse the expenditure incurred towards grant of patent, Trademarks & Geographical Indications. In case of disputes, such cases may be forwarded to the Office of Development Commissioner for seeking any relaxation on the basis of merit of the case, if required.

CREDIT GUARANTEE FUND SCHEME FOR MICRO & SMALL ENTERPRISES (CGTMSE)

To make available collateral-free credit upto Rs. 5.00 crore to the micro and small enterprise sector.

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Fee for guarantee

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A one time guarantee fee –

1.00% in the case of credit facility upto Rs. 5 Lakh and 1.5% in the case of credit facility above Rs. 5 Lakh

The annual service fee –

Currently 0.50% in the case of credit facility upto Rs. 5 Lakh and 0.75% in the case of credit facility above Rs. 5 Lakh

Components under MSE-Cluster Development Programme

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• Under the MSE CDP scheme, Government of India will provide grant for the following admissible components:

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• Common facility Centers (CFCs)

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• Industrial Infrastructure Development (IID)

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Details & Components

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• (1) Common facility Centers (CFCs)
• To create tangible assets like- common production/ processing center, common recycling/ resource recovery plant, Industry 4.0 and its learning facilities, Design centre, Testing and Quality upgradation Centre, Packaging facilities, logistics faciltities, plug and play, renewable energy generation, , export promotion facilities, Design/ Incubation centers, effluent treatment, etc.
• GoI Assistance:

For project Cost from Rs. 5 to 10 crores: 70%

For Project Cost Rs. 10 to 30 crores: 60 %

For CFCs in NEs region, Aspirational Districts, Island territories, LWE affected districts and clusters with more than 50 % (a)micro/village or (b) women-owned or © SC/ST owned units )

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(2) Industrial Infrastructure Development (IID)

1. Consists of projects for infrastructural facilities like boundary wall, fencing, laying roads, water supply and harvesting, power distribution network, telecommunication, drainage, pollution control facilities, roads, Raw material storage, safety/ disaster risk reduction cells, etc. for MSEs in the new/ existing industrial estates/areas
2. The GoI grant will be restricted to 60% of the cost of Project from Rs. 5 to 15 crore for setting up of new Industrial Estate and Flatted Factory Complex and 50 % of cost from Rs. 5 to 10 crores for upgradation of existing ones. ( 70 % and 60 %, respectively, in NEs region, Aspirational Districts, Island territories).

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1. SPV- Minimum 10 MSEs/ Start-ups/ Greenfield MSEs/ FPOs for projects below 10 crore. ( Minimum 20 for projects above Rs. 10 crore) to be members of SPV & registered as section 8 company.
2. Minimum members direct Contribution should be 10% of the cost of CFC for projects below 10 crore ( 5 % for NER) and 20 % for projects more than 10 crore( 15 % for NER)

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• No single unit will hold more than 10 per cent in the equity capital of the SPV.

MICRO AND SMALL ENTERPRISES –

CLUSTER DEVELOPMENT PROGRAMME  (MSE-CDP)

COMMON FACILITY CENTRE (REVISED – 24.05.2022)

• Includes diagnostic study, trust building, development of skills, marketing &

export, technology up gradation of enterprises, formation of consortia,

setting up CFCs, etc. Financial Assistance:- 30 Crore Max.

70% PROJECT COST FROM 5CR UP TO 10 CR (80% *)

60% PROJECT COST FROM 10CR UP TO 30 CR(70%*)

* MORE THEN 50% MICRO/WOMEN/SCST UNITS.

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INFRASTRUCTURAL DEVELOPMENT (REVISED – 24.05.2022)

• For New/existing clusters, upgradation proposals will be based on actual requirements

Financial Assistance:-

60% of cost of project for New from 5CR 15Cr. For IE/FFC(70%*)

50% of cost of project 5CR to 10CR For Existing IE/FFC (60%*)

* MORE THEN 50% MICRO/WOMEN/SCST UNITS.

(OM Dated 26.07.2022)

MSMEDI AGRA AKG

Public Procurement Policy for MSEs

• 25% Purchase by All Central Ministry / Central PSUs / Some state Government dept./ Min. etc. have been made mandatorily from MSEs having UAM.
• Out of which 3% are reserved for Women Enterprises
• All CPSUs / Ministries of the Union Government must now compulsorily be a part of GeM and MSMEs are encouraged to be registered on GeM portal for fulfilling the needs of CPSUs/ Central Ministries etc.
• 358m items ( Now 469 items inclues some services too – OM dated 27.10.2022)are reserved for exclusive purchase from MSE Sector Under the Govt. Purchase Programme . The other benefits are

(i) Issue of tender sets free of cost;

(ii) Exemption from payment of Earnest Money;

(iii) Price Preference upto 15% over the quotation of

large-scale units

NATIONAL AWARD SCHEME

OBJECTIVE

The ministry of Micro, Small and Medium Enterprises with a view to recognizing the efforts and contribution of MSMEs gives National Award annually to selected entrepreneurs and enterprises under the scheme of National Award.

The awards are given in following categories

Outstanding efforts in Entrepreneurship in MSME Sector

Research and Development efforts in MSME Sector

Quality Products in MSME Sector

Prime Minister Employoment Generation Programme

Objective:

To generate employment opportunities in rural as well as urban areas through setting up of new self employment ventures/projects/micro enterprises/ Business/ Service- Tour Operator etc. The maximum cost of the project/unit admissible under manufacturing sector is Rs. 50.00 lakh and under service sector is Rs. 20.00 lakh.

Apply on-line:- https://www.kviconline.gov.in/pmegpeportal/pmegphome/index.jsp

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Quantum and Nature of Financial Assistance

CLCS under CLC-TUS for Technical Upgradation for MSEs

Credit Linked Capital Subsidy (CLCS) for technical up- gradation Provides 15% upfront capital subsidy max Rs. 15 lakhs (i.e. the invest in plant & Machinery upto Rs. 1.00 Crore.

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Rightnow, the CLCSS Scheme is under operation upto 31.03.2020. Guideline issued on dated 13.08.2019 by O/o The DC(MSME), New Delhi.

In addition to the above, after disbursement 15% subsidy under CLCS, additional 10% subsidy to SC/ST MSEs will be provided under National SC/ST Hub (NSSH) as per the guidelines of SCLCSS.

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(The amendments will be effective from 01.04.2017 and the present validity of the CLSS Component of CLCS-TU Scheme is extended upto 31st March, 2020. In case of Special Credit Linked Capital Subsidy Scheme (SCLCSS), the effective date of implementation will be the date of notification of SCLCS Scheme i.e. 17.05.2017. )

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INCUBATION COMPONENT

Objectives

To promote and support untapped creativity and promote adoption of latest technologies in MSMEs seekING the validation of their ideas at the proof-of-concept level. Support FPR engagement with enablers who advise MSMEs in expanding the business by supporting them in design, strategy and execution

Incubation Component:

1. Recognition of eligible institutions as Host Institute (HI) to act as Business Incubator (BI)

2. Approval of Ideas of Incubatees submitted through Host Institute (HI)

3. Assistance for nurturing of Ideas to HI

4. Assistance towards Capital Support to HI for Plant and Machinery

Implementing Agencies: MSME DI / TCs / Govt. of India / State Government and its organizations.

Registration as Host Institute (HI)

Technical colleges, universities, professional colleges/institutes, R&D institutes, NGOs involved in relevant activities, Entrepreneurs Development Centre (EDCs), MSME-Dls/Technology Centers (TCs), DICs or any institute/organization of Central/State Govt. may apply for HI and set up a Business Incubator (BI). The institutions may apply for registration as HI through the MIS portal of the DC MSME website. (https://innovative.msme.gov.in).

Grant in Aid support to HIs

Financial Assistance to HI for developing and nurturing the ideas :Gol assistance up to max. Rs. 15 lakh per idea shall be provided to HI. For students, the contribution will be Nil for MSMEs/others, contribution will be 15 % of total project cost.

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Financial assistance for Plant and Machinery to HI up to Rs. 1.00 cr. (max): HIs shall be provided grant of up to Rs. 1.00 Cr. for procurement and installation of relevant plant and machines including hardware and software etc.

Ideas should contain following basic types of innovation Processes:

Marketing & Branding: Innovation related to the customer experience.

Ideation: Innovation related to the product idea & concept.

Technology: Innovation related to the product functionality.

Co-creation: Innovation related to the customer involvement.

Social Innovation: Innovation related to the corporate culture.

Entrepreneurship: Innovation related to through entrepreneurial thinking.

Open Innovation: Innovation related to with stakeholders.

Business Model Innovation: Innovation related to the purpose and strategy

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�Support For Entrepreneurial And Managerial Development Through Incubators – A Component under CLC-TUS  

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Component of Scheme:

• Registration as Host Institute (HI) Institutions such as Technical colleges, universities, other professional colleges/institutes, R&D institutes, NGOs involved in relevant activities, Entrepreneurs Development Centre (EDCs), MSME-Dls/Technology Centers (TCs), DICs or any institute/organization of Central/State Govt. may apply for HI and set up a Business Incubator (BI).
• The Hls/Bls should also encourage participation from women/ SC/ST candidates
• Awareness Programme :- to sensitize and create awareness amongst MSMEs/ Students funded @ RS.0.70 lakhs per programme to NMIU/IA.

�Support For Entrepreneurial And Managerial Development Through Incubators – A Component under CLC-TUS  

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Component of Scheme:

• Workshop :- funded @ Rs. 5 lakhs per day for national level and Rs. 3 Lakh per day for regional level workshop.
• Grant in Aid support to Host Institutes (HIs)- Gol Grant in Aid support will be provided to approved Host Institutes (HIs) for incubation related defined activities by Implementing Agency (IA). Govt. of India shall provide Grant in Aid through NMIU as mentioned in next slide.

�Support For Entrepreneurial And Managerial Development Through Incubators – A Component under CLC-TUS  

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Component of Scheme:

• Grant in Aid support for Plant and Machinery to HI up to Rs. 1.00 cr. (max) {two equal installments of Rs. 50.00 lakh each} for procurement and installation of relevant plant and machines including hardware and software etc. in BI in order to strengthen the technology related R&D activities and common facilities for incubatees of BI.
• Grant in Aid to HI for developing and nurturing ideas up to max. Rs. 15.00 lakh per idea for duration of one year in two installments 70% and 30%

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�Support For Entrepreneurial And Managerial Development Through Incubators – A Component under CLC-TUS  

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Component of Scheme:

• SEED Capital support fund for setting up of Startups: Assistance of up to Rs.1.00 cr as grants in aid for the seed capital support to appropriate Incubates. Financial assistance may be given in the form of soft loan, interest free loan, equity participation, grant or combination of these etc.

DESIGN COMPONENT

The Design scheme is divided in two major parts, viz., Design Projects and Design Awareness Programme

Components:

Design Project - To facilitate MSMEs to develop new design strategies and or design related products through interventions and consultancy.

Design Awareness Programme: The objective is to create general awareness and sensitization about the value and power of design for businesses through seminars, talks, workshops etc. The purpose of these activities is to sensitize MSMEs about the usage of design/innovation in various facets of their industry

Eligibilty Criteria:

The beneficiary unit(s) must typically be a registered MSMEs and should have a valid UAM or Udyam Registration. The manufacturing MSMEs may be a profitable entity preferably in the last 1 year of its operations. The designer that a unit employs in this scheme should be qualified Industrial designers having a relevant experience in that field. Implementing agencies should verify all the relevant documents.

Financial Assistance under Design Component :

Design Project: To facilitate MSMEs to develop new design strategies and or design related products through interventions consultancy MSMEs may submit their design projects to the nominated IAs. For the design projects approved for any MSME, 75% (Micro) and 60% (Small & Medium) of the total project cost will be contributed by GoI up to a maximum of Rs. 40 lakh and the remaining project cost will be borne by MSMEs and deposited to the IA.

Student Design Project: This subcomponent can be availed by all the students of any institution accredited by AICTE/UGC. The proposed student design project must facilitate student participation into helping MSMEs achieve Design capabilities. This component supports design work of bona-fide students by providing financial assistance up to Rs. 2.5 lakh. For the student design projects approved for any MSME,75% of the total project cost will be contributed by GoI up to a maximum of Rs. 2.5 lakh and the remaining project cost will be borne by MSME and deposited to the IA

Implementing Agencies: Indian Institute of Science (IISc), Bengaluru, IITs (Kanpur, Indore, BHU, Roorkee, Ropar, Bhubaneshwar), NITs (Tiruchirappalli, Warangal, Silchar, Arunachal Pradesh, Jaipur, Allahabad, J&K, Bhopal, Nagpur, Calicut, Kurukshetra, Surathkal, Raipur).

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Financial Support to MSMEs in ZED Certification Scheme

• Introduced in order to prepare the MSMEs of India to create a value chain for the new regime.
• continuously improve its processes,
• aiming to move up the ZED maturity
• assessment model

(Bronze- Silver-Gold).

• The scheme is an extensive drive to create proper awareness in MSMEs about Zero Defect Zero Effect (ZED).
• To maintain uniformity of certification, final certificate for ZED or ZED Defence will be issued by QCI

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Financial Support to MSMEs in ZED Certification

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Under the scheme. 28,570 MSMEs will be given financial assistance for opting ZED assessment and certification.

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i) Online (e-Platform) self assessment: Nil Fee

ii) Desk Top assessment : Rs 10,000/-per MSME

iii) Complete assessment :

(a) Rs 80,000/- for ZED rating per MSME

(b) Rs 40,000/- for additional ZED Defence rating

(c) Rs 40,000/- for Re-rating

Above rating costs will include cost of Rs 10,000/- as certification cost by QCI.

iv) Subsidy for Micro, Small & Medium Enterprises will be 80%, 60% and 50%

respectively.

ZED Certification

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ZED Certification

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�MSME Sustainable (Zero Defect Zero Effect) �ZED Certification Levels

Cost of Certification

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Certification Level 1:

BRONZE: Rs. 10,000/-

Certification Level 2:

SILVER: Rs. 40,000/-

Certification Level 3:

GOLD: Rs. 90,000/-

The above cost includes cost of verification, assessment, certification and monitoring, and taxes, as applicable.

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• *
• Certification Level 1:
• BRONZE

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• Certification Level 2:
• SILVER

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• ***
• Certification Level 3:
• GOLD

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Process of Certification

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Certification Level 1: Bronze

Certification Level 2: Silver

Certification Level 3: Gold

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Each Unit (under one Udyam Registration) will need to apply for Certification separately to avail subsidy/benefits/incentives.

Any number of Units registered under one Udyam Registration can apply for subsidy under this Scheme.

ZED CERTIFICATION STEPS

Free online Registration and Pledge

Basic Information & Document Upload

Desktop Assessment

Get Certified

Certification Cost

Rs. 10,000

Certification Cost

Rs. 40,000

Certification Cost

Rs. 90,000

Free online Registration and Pledge

Basic Information & Document Upload

Onsite Assessment

Get Certified

Free online Registration and Pledge

Basic Information & Document Upload

Onsite Assessment

Get Certified

The Ministry of MSME has also decided to provide financial assistance and support to MSMEs under the ZED certification scheme

• Subsidy on cost of Certification
• Financial assistance in Testing/Systems/ Product Certification
• Subsidy on Handholding
• Subsidy on technology upgradation for Zero Effect Solutions

• There will be an additional subsidy of 10% for the MSMEs owned by Women/SC/ST Entrepreneurs OR MSMEs in NER/Himalayan/ LWE/Island territories/aspirational districts.
• There will be an additional subsidy of 5% for MSMEs which are also a part of the SFURTI OR Micro & Small Enterprises - Cluster Development Programme (MSE-CDP) of the Ministry.

ADDITIONAL SUBSIDIES/ FINANCIAL ASSISTANCE FOR ZED CERTIFICATIONS

80%

Micro Enterprises

60%

Small Enterprises

50%

Medium Enterprises

CERTIFICATION SUBSIDY

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Joining Reward

Rs.10,000/-

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Subsidy on Cost of Certification

  Any number of Units registered under one Udyam Registration can apply for subsidy under this Scheme. Each Unit (under one Udyam Registration) will need to apply for Certification separately to avail subsidy/benefits/incentives. MSMEs will be given financial assistance/subsidy for obtaining for a ZED Certification Level.

An MSME unit will get subsidy as per the following structure, on the cost of certification: 

Micro Enterprises: 80%

Small Enterprises: 60% 

Medium Enterprises: 50%

Additional Subsidy:

There will be an additional subsidy of 10% for the MSMEs owned by Women/SC/ST Entrepreneurs OR MSMEs in NER/Himalayan/LWE/Island territories/aspirational districts.

In addition to above, there will be an additional subsidy of 5% for MSMEs which are also a part of the SFURTI OR Micro & Small Enterprises - Cluster Development Programme (MSE-CDP) of the Ministry.

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Joining Reward

A limited-purpose joining reward of Rs. 10,000/- will be offered to each MSME once they take the ZED Pledge which needs to be utilized within a defined time period for the purpose defined as per the following modalities:

• This joining reward may be used by an applicant MSME only once while applying for a ZED Certification (Bronze, Silver, Gold).
• If the joining reward is used for any Certification, then the cost of the reward will be first deducted from the cost of Certification and then the Subsidy may apply if applicable. For example, if an MSME uses the reward for applying for Bronze Certification, the effective cost to MSME becomes zero, while in case an MSME applies for the Silver or Gold Certification, the reward amount will be adjusted in the Certification Cost and the subsidy will apply on the balance amount as per the type of the MSME (Micro, Small or Medium).
• This joining reward will be valid only for 1 year after taking the ZED Pledge.

MSMEs may opt for upgrading their Certification Level at any point of time before the expiry of validity of their existing ZED Certification. Cost and subsidy will remain the same for the applied Level.

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��FINANCIAL ASSISTANCE IN TESTING/SYSTEM/PRODUCT CERTIFICATION�

In case the MSME wishes to apply for any Testing, Management System or Product Certification, a subsidy on the cost of Certification will be extended to the MSME, subject to the following conditions:

• The product testing must be through a Laboratory that is accredited by the National Accreditation Board for Testing & Calibration Laboratories (NABL).
• The Management System Certification must be through a Certification Body that is accredited by the National Accreditation Board for Certification Bodies (NABCB)
• The Product Certification must be through Bureau of Indian Standards (BIS)
• The subsidy will be 75% of the total cost of Testing/System/Product Certification, with the maximum ceiling of subsidy being Rs. 50,000/-
• The subsidy will be applicable on only one Testing ORone Quality ORone Product Certification after achieving this Level
• The Certification pertaining to Testing, Management Systems or Product, obtained through a Government Agency/Organisation will also be eligible for the said Financial Assistance

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Handholding through Consultancy�

MSMEs with minimum Bronze certification are eligible to apply for handholding support. A provision of up to Rs. 5 Lakhs (per MSME) has been made available for handholding and consultancy support for MSMEs under ZED Certification for assisting them to move towards Zero Defect Zero Effect solutions. Out of this, an amount upto Rs. 2 Lakhs to be utilized for handholding support (as needed) through consulting organizations and up to Rs. 3 Lakhs may be utilized towards technology upgradation for moving towards zero effect solutions/pollution control measures/cleaner technology. The utilization of the Financial Support of upto Rs. 3,00,000/- for moving towards zero effect solutions will be subject to Consultant’s recommendations, verification by respective MSME-DI and approval by the PMAC.

The Ministry will subsidize the handholding support as follows:

• Micro Enterprises: 80%
• Small Enterprises: 60% 
• Medium Enterprises: 50%

Additional Subsidy:

There will be an additional subsidy of 10% for the MSMEs owned by Women/SC/ST Entrepreneurs OR MSMEs in NER/Himalayan/LWE/Island territories/aspirational districts.

In addition to above, there will be an additional subsidy of 5% for MSMEs which are also a part of the SFURTI OR Micro & Small Enterprises - Cluster Development Programme (MSE-CDP) of the Ministry.

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Lean Manufacturing Competitiveness Scheme (LMCS)

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MSMEs will be assisted in reducing their manufacturing costs, through

• proper personnel management,
• better space utilization,
• scientific inventory management,
• improved processed flows,
• reduced engineering time and so on with application of LM Techniques.

SPV will be formed, Consultant will be hired and 80% of the Consultant fees (Max 36.00 Lakh ) for each Mini Cluster of 10 units will be provided

��Public Procurement Policy �

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Under this policy, 358 items have been reserved to be purchased from MSEs. (http://dcmsme.gov.in/old/publications/reserveditems/Itemssi.htm)

Every Central Ministry /Department / PSUs shall set an annual target for 25% procurement from MSE Sector.

A sub-target of 4% out of 25% target of annual procurement earmarked for procurement from MSEs owned by SC/ST entrepreneurs and 3% from MSEs owned by Women.

Tender sets free of cost and exemption from payment of earnest money to registered MSEs.( UAM/ Udyam)

MSEs quoting price within price band L-1 + 15%, when L1 is from someone other than MSE, shall be allowed to supply at least 25% of tendered value at L-1 subject to lowering of price by MSEs to L-1.

For enhancing participation of MSEs in government procurement, Ministry /Department/CPSUs shall conduct Vendor Development Programmes or Buyer Seller Meets for MSEs especially for SC/ST entrepreneurs.

Government e-Marketplace(GeM)�

• Government e-Marketplace (GeM) is the National Public Procurement Portal; an end-to-end online Marketplace for Central and State Government Ministries / Departments, Central & State Public Sector Undertakings (CPSUs & SPSUs), Autonomous institutions and Local bodies, for procurement of common use goods & services. The portal is owned and managed by GeM SPV which is a Section 8 (Non-Profit) Company registered under the Companies Act, 2013. GeM SPV operates, monitors and supervises all the business transactions on the portal through the Managed Service Provider as per roles and responsibilities defined in the Legal Framework Document available on GeM portal.

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MSME Support And Outreach

Access to Markets

• Public Procurement Policy
• Mandatory procurement from MSE inrceased from 20 to 25%
• 3 % Reserved for Women Entrepreneur
• All public sector undertakings of the Union Government must now compulsorily be a part of GeM

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MSME Support And Outreach

Technology Upgradation

• 20 hubs will be formed across the country and 100 spokes in the form of tool rooms will be established.
• Clusters will be formed of pharma MSMEs. 70 percent cost of establishing these clusters will be borne by the Union Government.

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Ease of Doing Business

• The return under 8 labour laws and 10 Union regulations will now need to be filed only once a year.

MSME Support And Outreach

Ease of Doing Business......contd

• Establishments to be visited by an Inspector will be decided through a computerised random allotment.
• Air pollution and water pollution laws have now been merged as a single consent. The return will be accepted through self-certification.
• Ordinance has been brought under which, for minor violations under the Companies Act, the entrepreneur will no longer have to approach the Courts, but can correct them through simple procedures.

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Pradhan Mantri Shram Yogi Maan-Dhan (PM-SYM)

By Ministry of Labour and Employement

1. Min. Assured Pension:- Rs. 3000/- PM after the age of 60 Yrs.
2. Also Family Pension as per rule.
3. Age 18-40Yrs. Contribution as per age + Govt. Con.
4. Enrolment:- at Community Service Centre with doc.-Aadhaar+ Saving Bank A/c. Details+ Mob. No.
5. Exit / Withdrawal :- very flexible.
6. In Uttar Pradesh:- Regd. labours Contribution by State Govt.

Champions Portal�www.champions.gov.in

Champions Portal�www.champions.gov.in

Champions Portal�www.champions.gov.in

Innovation Portal�www. ideas.msme.gov.in

Samadhaan Portal�www. samadhaan.msme.gov.in

Samadhaan Portal�www. samadhaan.msme.gov.in

TReDs Portal- 3 Nos.�

Sambandh Portal�www.sambandh.msme.gov.in

Udyam Registration Portal�www.udyamregistration.gov.in

Dashboard Portal�www.dashboard.msme.gov.in

Dashboard Portal�www.dashboard.msme.gov.in

Dashboard Portal�www.dashboard.msme.gov.in

My MSME Portal�www.my.msme.gov.in

Important Portals of Ministry of MSME

https://udyamregistration.gov.in

https://champions.gov.in

https://my.msme.gov.in

https://samadhaan.msme.gov.in

https://sambandh.msme.gov.in

https://ic.msme.gov.in

https://msme.gov.in/

https://dcmsme.gov.in/

https://pmvishwakarma.gov.in/

https://www.kviconline.gov.in/pmegpeportal/pmegphome/index.jsp

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����������MSME-Development & Facilitation Office�Min. of Micro, Small and Medium Enterprises �Electronics Complex, Chambaghat, �Solan-173213, Himachal Pradesh� Phone 01792-230265//230766 �www.dcmsme.gov.in �www.dfosolan.dcmsme.gov.in�dcdi-solan@dcmsme.gov.in�� Presented by: A. K. GAUTAM, IEDS� Asstt. Director Gr-I/ Head of Office� Mob.- 9412372661�gautamashok@rediffmail.com�akgautam@msmediagra.gov.in � Thank you…..

�������MSME-Development & Facilitation Office�Min. of Micro, Small and Medium Enterprises �Electronics Complex, Chambaghat, �Solan-173213, Himachal Pradesh� Phone 01792-230265//230766 �www.dcmsme.gov.in �www.dfosolan.dcmsme.gov.in��gautamashok@rediffmail.com�akgautam@msmediagra.gov.in� Presented by: A. K. GAUTAM, IEDS� Asstt. Director Gr-I/ Head of Office� Mob.- 9412372661 � Thank you…..

Presentation on

�HOW TO BEGIN AN EXPORT BUSINESS�PROCEDURE & CHALLENGES

Meaning of Exports in India

• India’s Foreign Trade i.e. Exports and Imports are regulated by Foreign Trade Policy notified by Central government in exercise of powers conferred by section 5 of foreign trade (Development and Regulation) Act 1992.
• Presently Foreign Trade Policy 2015-20 is effective till 31st March, 2023  Accordingly as per FTP, Export is defined as an act of taking out of India any goods by land, sea or air and with proper transaction of money. 

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How to Start Exports

• Export in itself is a very wide concept and lot of preparations is required by an exporter before starting an export business. 
• Establishing an Organisation
• Opening a Bank Account
• Obtaining Permanent Account Number (PAN)
• Obtaining Importer-Exporter Code (IEC) Number
• Obtaining the GST Registration (Mandatory)
• Registration cum membership certificate (RCMC) i.e. Registration with Various Export Promotion Councils

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Briefs of the Exports Procedure

• Establishing an Organisation

To start the export business, first a sole Proprietary concern/ Partnership firm/Company has to be set up as per procedure with an attractive name and logo.

• Opening a Bank Account

A current account with a Bank authorized to deal in Foreign Exchange should be opened.

• Obtaining Permanent Account Number (PAN)

It is necessary for every exporter and importer to obtain a PAN from the Income Tax Department.

• Obtaining the GST Registration

It is necessary for every exporter and importer to obtain a GST No. from GST Department.

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Briefs of the Exports Procedure Continue…

• Obtaining Importer-Exporter Code (IEC) Number

As per the Foreign Trade Policy, it is mandatory to obtain IEC for export/import from India. Para 2.05 of the FTP, 2015-20 lays down the procedure to be followed for obtaining an IEC, which is PAN based. An application for IEC is filed online at www.dgft.gov.in as per ANF 2A, online payment of application fee of Rs. 500/- through net Banking or credit/debit card is made along with requisite documents as mentioned in the application form

• Registration cum membership certificate (RCMC)

For availing authorization to import/ export or any other benefit or concession under FTP 2015-20, as also to avail the services/ guidance, exporters are required to obtain RCMC granted by the concerned Export Promotion Councils such as CEPC, EPCH etc.

/ FIEO/Commodity Boards/ Authorities.

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Major Challenges for Exports

• Selection of product
• Selection of Markets
• Finding Buyers
• Sampling
• Pricing/Costing
• Negotiation with Buyers
• Covering Risks through ECGC

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