Government keen to improve the competitiveness of small and medium businesses
New Delhi:
The Ministry of MSME on Friday said that the government has approved the new guidelines of Micro and Small Enterprises Cluster Development Program (MSE-CDP) for implementation during the 15th Finance Commission cycle – 2021-26.
The objective of the scheme is to enhance the competitiveness and productivity of micro and small enterprises by making certain interventions.
Interventions include establishment of common facility centers and development of infrastructure.
As per the guidelines, the central government grant for the development of Common Facility Centers (CFCs) will be limited to Rs 5 crore to Rs 10 crore of the project cost and 60 per cent to Rs 10 of the project cost. crore to Rs.30 crore.
In the case of North-East and hill states, island regions and aspirational districts, the government grant will be from Rs 5 crore to Rs 10 crore, 80 per cent of the project cost and 70 per cent of the project cost from Rs 10. crore to Rs 30 crore, the ministry said in a statement.
For infrastructure development, it said the central government grant would be limited to Rs 5 crore to Rs 15 crore of the project cost for setting up new industrial estates or flat factory premises, while the grant would be 50 per cent. Project cost for upgradation of existing industrial estate/flatted factory premises from Rs.5 crore to Rs.10 crore.