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Published byBrian Herbert Richardson Modified over 8 years ago
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Opportunities for New Enterprises
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Promotional Schemes Subsidies -Textiles – 5% interest or 5% exchange fluctuation, 15% credit linked capital subsidy or 20% for power loom, 5% interest plus 10% capital subsidy for special processing machinery -Food processing – 25% of P & M subject to 50 lakh, and 33% up to 75 lakhs in difficult areas
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Contd Leather industry – 30% of P & M for SSI, and 20% for others with ceiling of 50 lakhs. Coir Industry – 40% of the project cost max of 80000(spinning unit) tiny unit 40% of cost max of 2 lakhs. For diesel set generators 25% max of 50000 Credit linked capital subsidy scheme for technology up gradation – micro & small 15% subsidy max of 100 lakhs
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Contd Quality up gradation – ISO 9000 ISO 14001 75% of expenditure max of 75000 Market development assistance – for participation in international trade fairs, 75% airfare and 50% space rental charges, for SC/ST/ women 100% Subsidy of NSIC – financial assistance for raw material procurement, economies of purchases, documentation and letter of credit.
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Contd Marketing assistance – international & domestic exhibitions, co-sponsoring of exhibition, buyer seller meets, campaigns and other support activities. Credit rating
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NABARD Promotion of agriculture, small scale industries, cottage and village industries, handicrafts and rural crafts -Capital Govt & RBI -Directors of RBI are board members, and Dy Governor as chairman
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Operations of NABARD SHG Women entrepreneurs in rural areas Projects covering irrigation, rural roads and bridges Rural non-farm sector – MAHIMA, ARWIND DRIP REDP Marketing Rural innovation fund
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SIDBI Set up by IDBI to support small scale sector -Marketing, infrastructure development, obsolescence of technology, quality improvement, export finance and venture capital. -Factoring, OTCEI, category I merchant banker adviser, consultant, manager, underwriter, portfolio manager.
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Operations of SIDBI Refinancing & bill discounting Equity participation Loans on soft terms Working capital Foreign currency Venture capital
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Channels of Assistance Indirect assistance – refinancing for new, expansion, up gradation, modernization, rehabilitation, small road transport operators, professionals, hotels, tourism Rediscounting Direct assistance
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SIDBI Technology development and modernization fund TUFS Tannery modernization schemes 12 % capital subsidy on select product Short –term loans to facilitate purchases from SSI Interest subsidy to hotels after tourism dept approval Support for credit rating
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Contd Foreign currency assistance for import of equipment, letter of credit, export bills financing Venture capital – IT & software industry, MOU with Small enterprise
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Lines of Credit SFC SIDC SSIDC Factoring NSIC
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Development & Support Services Enterprise promotion HRD Technology up gradation Quality & environment management Marketing promotion & information dissemination
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Enterprise Promotion Micro finance institutions, SIDBI foundation entered into MOU’s with IFAD Rome, dept of international development UK Rural industries programme
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