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PMEGP scheme

BACKGROUND

Prime Ministers Employment Generation Programme (PMEGP) scheme announcedby HonblePrime Minister of India on 15th August, 2008 in his address from Red Fort.

This is credit linked Scheme of Govt. of India by merging erstwhile REGP and PMRY

scheme. KVIC is the Nodal Agency at National Level.

OBJECTIVES

To generate continuous and sustainable employment opportunities in Rural and Urbanareas of the country

To provide continuous and sustainable employment to a large segment of traditional andprospective artisans, rural and urban unemployed youth in the country through setting upof micro enterprises.

To facilitate participation of financial institutions for higher credit flow to micro sector.ELIGIBILITY

Individuals above 18 years of age. VIII Std. pass required for project above Rs.10.00 lakhs in manufacturing and above Rs.

5.00 lakhs for Service Sector.

Self Help Groups and Charitable Trusts. Institutions Registered under Societies Registration Act- 1860. Production based Co-operative Societies.

SALIENT FEATURES

The Scheme is implemented through KVIC and State/UT Khadi & V.I. Boards in Ruralareas and through District Industries Centres in Urban and Rural areas in ratio of

30:30:40 between KVIC / KVIB / DIC respectively.

No income ceiling for setting up of projects. Assistance under the Scheme is available only to new units to be established. Existing units or units already availed any Govt. Subsidy either under State/Central Govt.

Schemes are not eligible. Any industry including Coir Based projects excluding those mentioned in the negative

list.

Per capita investment should not exceed Rs. 1.00 lakhs in plain areas and Rs. 1.50 lakhsin Hilly areas.

Maximum project cost of Rs. 25.00 lakhs in manufacturing sector and Rs. 10.00 lakhs inService Sector.
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AREA OF OPERATION

Rural Area as declared under KVIC Act 2006 - Scheme to be implemented by KVIC,

KVIB and DIC.

(Rural Area means the area comprised in any Village and includes the area comprisedin any town, the population of which does not exceed twenty thousand or such other

figure as the Central Governmetn may specify from time to time as declared under KVIC

Act 2006)

Urban area - Only DIC

NEGATIVE LIST OF ACTIVITIES

Industry / Business connected with productions / processing / sale of meat or intoxicantitems like Beedi / Pan / Cigar / Cigarette etc.

Industry / Business connected with cultivation, sericulture, horticulture, floriculture. Manufacture of Polythene carry bags of less than 20 microns / containers of recycled

plastic.

Processing of Pashmina Wool and products involving hand spinning and hand weavingcoming under purview of Khadi Certification Rule.

Rural Transport (except Auto rickshaw, House boat, tourist boat in A & N Islands andexcept house boat, Shikara & Tourist Boats in Jammu & Kashmir and Cycle Rickshaw.)

CNG Auto Rickshaw will be allowed only in A & N Islands and NER with the approvalof Chief Secretary of the State on merit

QUANTUM OF MARGIN MONEY SUBSIDY

Categories of beneficiaries under

PMEGP

Beneficiarys own

contribution (of project

cost)

Rate of Subsidy

Urban Rural

General Category 10% 15% 25%

Special (including SC/ST/OBC

/Minorities/ Women, Ex-Servicemen,

Physically handicapped, NER, Hill and

Border areas etc)

05% 25% 35%

Special Incentives to SC/ST Entrepreneurs:

35% subsidy on fixed capital investment, Additional 5% subsidy for SC/STWomen and additional 5% Investment Subsidy for the units set up in the

scheduled areas by ST entrepreneurs and ST Women entrepreneurs. Maximumlimit per unit is Rs.50.00 lakhs.
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100% reimbursement of Stamp duty and transfer duty on purchase of land meant

for industrial use.

100% reimbursement of Stamp duty for Lease of Land/Shed/ Buildings.

100% reimbursement of Stamp duty and transfer duty on financial deeds and

mortgages etc.

33.33 % rebate on land cost in IEs/IDAs limited to Rs. 5.00 Lakhs

40% investment subsidy for the units set up in Scheduled areas by ST

entrepreneurs or ST women entrepreneurs with a maximum limit per unit isRs.50.00 Lakhs.

Power cost will be reimbursed @ Rs.1.00 per unit for 5 years to all those unitswhich commence commercial production on or before 31-3-2010.

50% of the VAT / CST Reimbursement for 5 (five) years to all those units which

commence commercial production on or before 31-3-2010.

5% Interest subsidy on Prime Lending Rate (PLR) on the term loan and working

capital taken by the Micro and Small Enterprises subject to a maximum of Rs.5.00 Lakhs per year for a period of 5 years.

5% of project cost will be provided as seed capital assistance to New MSEs as agrant under National Equity Fund Scheme limited to Rs.5.00 Lakhs.

For Micro and Small Enterprises Infrastructure like roads, power and water will

be provided at door step for stand alone units by contributing 50% of the cost of

infrastructure from IIDF with a ceiling of Rs.1.00 Crore.

50% of the cost of infrastructure is raised to 75% in respect of units set up by ST

entrepreneurs in Scheduled areas.

8% subsidy on capital equipment for technology upgradation limited to Rs.50.00

lakhs (for MSEs)

50% subsidy on the expenses incurred for quality certification limited to Rs.

1.00 Lakh.25% subsidy on cleaner production measures limited to Rs.5.00 Lakhs


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M/S Raghava Industries

Industrial Park, Nowluru, Mangalagiri

Name of the entrepreneur & Contact No : P. Suneel (9912377868)

Social Status : SC

Line of Activity : Manufacturing of Paper Cones

Annual Capacity : 150 Lakh Cones

Project Cost : Rs 1,25,00,000/-

Financing Institution : Andhra Bank ,Mangalagiri Branch.

Employment Generation : 20


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M/S Sri Jyothi Packagings

Industrial Park, Nadikude, Dachepalli

Name of the entrepreneur & Contact No : M Sri Jyothi ()

Social Status : SC (Woman)

Line of Activity : Manufacturing of Corrugated Boxes

Annual Capacity : 500 Tons

Project Cost : Rs 60,00,000/-

Financing Institution : State Bank of India ,Dachepalli Branch.



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M/S Bala Teja Meghana Granites

Vinukonda Road, Karempudi

Name of the entrepreneur & Contact No : V Jyothi ()


Line of Activity : Granite cutting and polishing.

Annual Capacity : 3,60,000 Sft


Financing Institution : State Bank of India, Karempudi Branch.



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M/S Dolphin Designer Tiles

Turpu Veedhi, Gorantla, Guntur

Name of the entrepreneur & Contact No : A. Vijayalakshmi ()

Social Status : OC (Woman)

Line of Activity : Manufacturing of Designer Tiles.

Annual Capacity : 5 Lakh Sft


Financing Institution : Karur Vysya Bank, Guntur Branch.



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M/S S.S Plastic Industries

Lingamguntla Village, Narasarao Pet

Name of the entrepreneur & Contact No : P. Aneel Kumar (9492580115)

Social Status : SC

Line of Activity : Manufacturing of Plastic Caps



Financing Institution : State Bank of India ,Narasaraopeta Branch.



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M/S Sreedevi Paper Plate Industries

Rajeev Gandhi Nagar, Guntur

Name of the entrepreneur & Contact No : P. Sreedevi (9700022573)

Social Status : OBC (Woman)

Line of Activity : Manufacturing of Gold & Silver foiled paper plates

Annual Capacity : 5 Lakhs


Financing Institution : Union Bank of India, Kothapet Branch.



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M/S Sri Gayathri Poly Packs

Plot No 59, Phase 2, Autonagar, Guntur

Name of the entrepreneur & Contact No : P. Venkata Veerendra Prasad (9440668482)

Social Status : OC

Line of Activity : Manufacturing of Polythene Bags

Annual Capacity : 1,00,000 Pieces

Project Cost : Rs 15,00,000

Financing Institution : Self Finance



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M/S Sona Foods

R.T.C Colony, Guntur

Name of the entrepreneur & Contact No : V. Sri Poorna (9462469436)

Social Status : OC (Woman)

Line of Activity : Manufacturing of Khara items and Wafers



Financing Institution : Corporation Bank ,G.T Road Branch , Guntur.



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V POWER BATTERY INDUSTRIESCHAMPADU(V), VEMURU (M), GUNTUR DISTRICT

Name of the Entrepreneur : Mrs. K. Dhanuja Bai

Manufacturing Activity : Power Batteries

Annual Production Capacity : 1800 Batteries / Annum

Product Range :

A) Tubular Batteries B) Automobile Batteries

Annual Turnover : Rs. 100.00 lakhs

Experience of the Entrepreneur : Worked with M/s Blue Tech Energy,

Bengaluru from June,2012 to Jan,2013

Social Status : S.C.

Address of the Unit : Champadu (V), Vemuru Mandal,

Guntur District.

Contact Person : Mr. K. Vijaya Raju

Mob : 9885485919


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M/S Lakshmi Ganapathi Industries

D No: 419-2&3, Angalakuduru, Tenali

Name of the entrepreneur & Contact No : A Vemu Sekhara Reddy (9394449926)

Social Status : OC

Line of Activity : Manufacturing of hand pumps and Centrifugal pumps

Annual Capacity : 600 Pumps


Financing Institution : State Bank of India ,Bazaar(SME) Branch, Tenali.



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M/S Charlie Chemicals

9-25, Sangam Jagarlamudi,Tenali

Name of the entrepreneur & Contact No : K Charles Babu (9959303142)

Social Status : SC

Line of Activity : Manufacturing of Dish Wash Active gel

Annual Capacity : 450 Litres


Financing Institution : Andhra Bank ,Sangam Jagarlamudi Branch.



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M/S Savithra Agro Bio Fuels

690/3A,Yerrabalem, Penumaka Road, Mangalagiri

Name of the entrepreneur & Contact No : R. Sreenivas Rao (9848405642)

Social Status : OBC

Line of Activity : Manufacturing of Fuel Briquettes

Annual Capacity : 4000 Tonnes


Financing Institution : Andhra Bank ,Mangalagiri Branch.



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M/S L V Plastics

S No 458, Koppuravuru, Pedakakani (M)

Name of the entrepreneur & Contact No : E. Lakshmirajyam (9866943900)

Social Status : OC(Woman)

Line of Activity : Manufacturing of Flexible Water Tubes

Annual Capacity : 450 Tonnes


Financing Institution : Allahabad Bank ,Brodipet Branch, Guntur.



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M/S D. S. Industries

Plot No 61, IP-Nowluru, Mangalagiri (M)

Name of the entrepreneur & Contact No : B. Venkatappaiah (9490047159)

Social Status : SC

Line of Activity : Anodizing of Aluminium Channels

Annual Capacity : 50,000 Channels


Financing Institution : Andhra Bank ,Mangalagiri.



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M/S Surakshitha Packaged Drinking water

S No 178/3, Vykuntapuram, Amaravathi (M)

Name of the entrepreneur & Contact No : M. Kiran Kumar (9246777399)

Social Status : SC

Line of Activity : Manufacturing of Packaged Drinking Water

Annual Capacity : 5000 K Ltrs


Financing Institution : Andhra Bank ,Vykuntapuram.



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M/S A & A Enterprises

D No 3-345/A/1, Muggu Road Centre, Tadepalli (M)

Name of the entrepreneur & Contact No : P. Sulochana (9848202670)


Line of Activity : Manufacturing of Chappals

Annual Capacity : 3,50,000 Pairs


Financing Institution : Punjab National Bank ,Vijayawada.



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M/S Sovereign Agro Industries

Plot No 6, Block No 35, IDA Auto Nagar, Guntur

Name of the entrepreneur & Contact No : P. Satyanarayana (9848268448/9000542666)

Social Status : OC

Line of Activity : Manufacturing of Micro Nutrients



Financing Institution : Self Finance



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