PRIME MINISTERS EMPLOYMENT GENERATIONEMPLOYMENT GENERATION

PROGRAMME(P M E G P)

Govt.ofIndia

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Khadi and Village Industries Commission

(KVIC)(KVIC)

National Nodal AgencyFor PMEGPFor PMEGP

Welcomes You2

Welcomes You

Salient Features

A new Central sector Scheme of Govt. of India bymerging REGP and PMRY schememerging REGP and PMRY scheme.State Khadi & V.I.Board and District Industriescentre of State Government have also beencentre of State Government have also beenassociated in implementation of the programme.Special Package of subsidy to promote ruralSpecial Package of subsidy to promote ruralindustrialization.Empowering entrepreneurs through SkillEmpowering entrepreneurs through SkillDevelopment and entrepreneurial developmentprogramme (EDP)

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Objectives

To generate employment opportunities in ruraland urban areas of the country through selfemployment ventures/ projects / microenterprises.

To bring together widely dispersed traditionalartisans / rural and urban unemployed youthartisans / rural and urban unemployed youthand give them self employmentopportunities to the extent possible, at theirlplace.

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Objective cont.

To provide continuous and sustainableemployment to a large segment of traditionalemployment to a large segment of traditionaland prospective artisans, rural and urbanunemployed youth in the country for theirbetter livelihood.To increase the wage earning capacity ofartisans and contribute to increase in thegrowth rate of rural and urban employment.T f ilit t ti i ti f fi i l i tit tiTo facilitate participation of financial institutionsfor higher credit flow to micro enterprises.

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Eligibility

Individuals above 18 years of age

VIII Std. Passed (project costing aboveRs.10.00 lakhs in manufacturing and aboveRs 5 00 lakhs for Service Sector)Rs.5.00 lakhs for Service Sector)

Self Help Groups

Institutions Registered under Societies Registration Act- 1860.

Production based Co-operative Societies

Charitable Trusts

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C a tab e usts

ELIGIBILITY cont..

No income ceiling for setting up of projects.

A i t d th S h i il bl lAssistance under the Scheme is available onlyto new units to be established.

E i ti it it l d il dExisting units or units already availed anyGovt. Subsidy either under State / CentralGovt Schemes are not eligible

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Govt. Schemes are not eligible.

Certificates to be attached alongwith Application

Age proof certificateCaste certificate if beneficiaries are from specialCaste certificate if beneficiaries are from special categories (SC/ST/Minority/Ex-Servicemen etc..)Educational qualification certificate if beneficiariesEducational qualification certificate if beneficiaries opting project cost above Rs.10.00 lakhs in case manufacturing and above Rs.5.00 lakhs for gservice sector.Rural Area Certificate.Photo Identity Card.Residential Certificate.

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Copy of Project Report.

Implementing Agencies

For easy approach and accessibility, three agencies will workin each district.

Khadi & Village Industries Commission Khadi & Village Industries BoardsKhadi & Village Industries BoardsDistrict Industrial Centres of State Govts.

Facilitators Rajiv Gandhi Udyami Mitra YojanaMinistry of Women & Child DevelopmentPanchayati Raj Institutions KVI Federations Nehru Yuva Kendra Sangathan

A Wi W lf A i i

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Army Wives Welfare Association

Financing AgenciesAll Public Sector Banks

All Regional Rural BanksAll Regional Rural Banks

SIDBI

Co-operative Banks approved by a committeeheaded by the Secretary Industries of theheaded by the Secretary, Industries of theState.

P i t S t C i l B k d bPrivate Sector Commercial Banks approved bya committee headed by the Secretary,Industries of the State.

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Industries of the State.

Industry

Any industry including Coir Based projectsexcluding those mentioned in the negative list.excluding those mentioned in the negative list.

Per capita investment should not exceed Rs 1 00Per capita investment should not exceed Rs.1.00lakhs in plain areas and Rs.1.50 lakhs in Hillyareas.

Maximum project cost for Rs 25 00 lakhs in caseMaximum project cost for Rs.25.00 lakhs in caseof manufacturing and Rs.10.00 lakhs for ServiceSector.

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AREA OF OPERATION

Rural area S h t bRural area Scheme to beimplemented byKVIC, KVIB & DIC.

Urban area Only by DICUrban area Only by DIC .

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Quantum and Nature of Financial Assistance

Categories of beneficiaries under PMEGP

Beneficiarys contribution ( f j t

Rate of Subsidy (of Project Cost)

(of project cost)

Area Urban RuralArea (location of project/unit)

Urban Rural

General Category 10% 15% 25%General Category 10% 15% 25%

Special Category 05% 25% 35%

(including SC/ST/OBC/ Minorities/ Women, Ex-Servicemen, Physically

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Servicemen, Physically handicapped, NER, Hill and Border areas etc)

BANK FINANCE

The Bank will sanction 90% of the project cost incase of General category beneficiary and 95% incase of General category beneficiary and 95% incase special category of beneficiary / institutions.

The Bank will disburse full amount suitably forsetting up of the project.g p p j

Credit Guarantee Scheme of Ministry of MSME isyalso available for PMEGP units to facilitateentrepreneurs for collateral security free loans.

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Selection of BeneficiariesProject proposals will be invited from potentialbeneficiaries at District level through Print andgElectronic Media by KVIC/KVIBs and DIC atperiodic intervals.

Facilitating agencies may also collect applicationsand submit the same to the KVIC,KVIB and DICsand submit the same to the KVIC,KVIB and DICsfor placing the same before District Task ForceCommittee.To ensure the transparency in identification ofthe beneficiaries, Panchayati Raj Institutions to

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be involved in the process of selection.

Colour Coding

Colour Coding will be given for application, M. M.Claim format, adjustment letter and physicallyverification format for identifying the beneficiaryverification format for identifying the beneficiaryand source of application i.e. KVIC, KVIB, DIC.

DICKVIC KVIB(Sky Blue)(White) (Light Yellow)

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How to apply?

Prescribed application may be downloaded fromKVIC website www.kvic.org.in/www.pmegp.in orf fi ld ffi f KVIC KVIB DICfrom any field offices of KVIC or KVIB or DICs.

The application alongwith required certificate mayThe application alongwith required certificate maybe submitted to any one of the Offices of KVIC orKVIB or DICs.

The application will be placed before District TaskForce Committee by respective Offices.y p

Personal Interview will be conducted by DistrictTask Force Committee

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Task Force Committee.

Cont

A District Task Force will be constituted to recommendthe applications for consideration of Banks.Dist Magistrate / Deputy Commissioner/ Collector

: Chairman

Lead Bank Manager : MemberRepresentative of KVIC / KVIB/DIC : MemberRep. of NYKS/SC/ST/Women Corporation : Special InviteeRep. of MSME-DI, ITI/Polytechnic : Special InviteeRep. from Panchayat by rotation : 3 Members(To be nominated by Collector/Di t M i t t / D t C i iDist. Magistrate/ Deputy CommissionerGeneral Manager, DIC/ Rep of KVIC /KVIB :Member Convenor

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Cont.

Selection will be made on the basis ofb k d d l i t ibackground and personal interview.

The District task force will forward itsrecommendation to KVIC /KVIB /DICs within aperiod of one month of the meeting The sameperiod of one month of the meeting.The samewill be forwarded by the implementingagencies to Financing Branch of the Bankagencies to Financing Branch of the Bankwithin 15 days of receipt of the same.

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Operational Procedure

The Bank will take their own credit decision onselection of projects In case of any rejection theselection of projects. In case of any rejection, thesame will be intimated to the District Task Forcewith reasons.

After sanctioning of project, the beneficiary has tod it 5% 10% f th j t t thdeposit 5% or 10% of the project cost as the casemay be, in the bank.

Project cost will include capital expenditure andone cycle of working capital.

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Entrepreneurs Development Programme (EDP)

Duration 2 weeks

Training Institutions Training Institutions

- Departmental and Non- Departmental

T i i C t f KVIC /KVIBTraining Centres of KVIC /KVIB

- Accredited training Centres

- EDP Institute of National repute like

NIESBUD, NIMSME, IIE, EDI etc. , , ,

After release of 1st installment of loan, the bank will sponsor the entrepreneurs for EDP training

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p p gwhich may be completed within one year.

Margin Money Release and Adjustment

The beneficiary will submit the Margin Moneyclaim through Financing Bank after release of firstclaim through Financing Bank after release of firstinstallment of loan.The Financing Branch will forward the same to theThe Financing Branch will forward the same to therespective Nodal branch.The Nodal Branch after being satisfied that theThe Nodal Branch after being satisfied that theunit fulfills the criteria under PMEGP will releasethe Margin Money to the Financing Branch.g y gThe original claim format to be forwarded torespective office i.e. KVIC/KVIB/DIC by the Nodal

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Branch of the Bank keeping a copy with them.

Margin Money Release and Adjustment cont..

The lock in period of Margin Money is of 3years in the TDR in the name of beneficiaryyears in the TDR in the name of beneficiary.

No interest will be paid on the TDR and noi t t ill b h d l t thinterest will be charged on loan to thecorresponding amount of TDR.

Margin Money will be adjusted only afterphysical verification.

The concerned agency will issue the MarginMoney adjustment letter to the Bank.

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y j

Physical Verification

100% Physical Verification of the units establishedwill be made within a period of 24 months from therelease of CE loan from Bank.

It will be done by out sourcing agencies havingexpertise and experience in the field.

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NEGATIVE LIST OF ACTIVITES

a) Any Industry/business connected with Meat(slaughter) i.e. processing, canning and/or(slaughter) i.e. processing, canning and/orserving items like Beedi / Pan / Cigar / Cigaretteetc. any Hotel or Dhaba or sales outlet servingliquor, preparation / producing tobacco as rawmaterials, tapping of toddy for sale.

b) Any industry / business connected withcultivating of crops / plantation like Tea, Coffee,Rubber etc sericulture (cotton rearing)Rubber etc. sericulture (cotton rearing),Horticulture, Floriculture, Animal Husbandry likePisciculture, Piggery, Poultry, Harvester

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Pisciculture, Piggery, Poultry, Harvestermachines etc.

NEGATIVE LIST OF ACTIVITES Cont

d) Manufacture of Polythene carry bags of less than 20microns thickness and manufacture of carry bags orcontainers made up of recycled plastic for storingcontainers made up of recycled plastic for storing,carrying, dispensing or packaging of food stuff andany other item which causes environmental

blproblems.e) Industries such as processing of Pashmina Wool and

such other products like hand spinning and handsuch other products like hand spinning and handweaving, taking advantage of Khadi Programmeunder the purview of Certification Rules and availingsales rebate.

f) Rural Transport (except Auto rickshaw in Andaman &Nicobar Islands House boat Shikara & Tourist Boats

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Nicobar Islands, House boat, Shikara & Tourist Boatsin Jammu & Kashmir and Cycle Rickshaw).

ROLE OF NODEL AGENCY AT STATE LEVEL

Dissemination of Scheme.P idi l ifi ti d d tiProviding clarification and updations.Enforcing (spirit) of the Scheme guidelines.Co-ordination with Implementing Agency (IA) and Banks.C ll i f d d iCollection of data and reporting.Monitoring and pursuance.Backward & Forward linkages.EDP.

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STATE LEVEL MONITORING COMMITTEE

a) Secretary Industries Chairman

b) Director Industries Member)

c) Chief Executive Officer, KVIB Member

d) Rep of public sector Banks Memberd) Rep. of public sector Banks Member

e) Rep. of SC/ST Corporation Member

f) Rep of Dept Panchayati Raj Memberf) Rep. of Dept. Panchayati Raj Member

g) Rep. of State Women Dev. Corp. Member

h) R f SIDBI M bh) Rep. of SIDBI Member

i) Rep. of NABARD Member

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j) State Director, KVIC Member Convenor

ROLE OF IMPLEMENTING AGENCIES

Conducting Awareness Camp for public.Generating and collection of project proposals.Generating and collection of project proposals.Hand holding support in preparation of project profiles wherever necessary.p yRegistering of project proposals.Scrutiny and forwarding of project proposalsScrutiny and forwarding of project proposals to DTFC-15 days.Calling for interview and placing of rejections g p g jto DTFC.Follow-up with Banks.

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p

ROLE OF FINANCING BANKS

Credit decision.No collateral up to Rs. 10.00 lakhs.Technical feasibility & economical viability

i) Industry / Service.ii) P it i t tii) Per capita investment.iii) Rural Area.i ) O C t ib tiiv) Own Contribution.v) Negative list.

Sanction of loanSanction of loan. After release of 1st installment, Bank will inform KVIC for EDP training

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KVIC for EDP training.Contd..2

ROLE OF FINANCING BANKS contd..2

Own Contribution.

Loan disbursement.

Claming of subsidy.

TDR 3 i t tTDR 3 years no interest.

In case of loan going badIn case of loan going bad.

Credit Guarantee Scheme.

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Credit Guarantee Scheme.

ROLE OF DTFC

Analysis of application/proposal and personal interviewspersonal interviews.A) Manufacturing :

- Technical qualification.- Skill.- Past experience.- Geographical location- Geographical location.- Aptitude.

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Contd.

ROLE OF DTFC

B) Service Industries :- Locational advantage- Locational advantage.- Demand of that service..- Aptitude.

Accept or reject within 30 days.p j ySocial categories and Range.

Not to be done :-

- Physical verification/pre-inspection.

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- Scaling down the project proposal

ROLE OF NODAL BANK

Opening of account by KVIC in all PMEGP implementing Banks.implementing Banks.a) KVIC PMEGP.

JKVIB PMEGP.DIC PMEGP.

b) Advance stamped receipt-JKVIB & DIC.Settling of subsidy to Financing Banks.No Project with Bank No account.No operational Bank Accounts for KVIB & DIC-letter of authority will be issued by KVIC.R f d f i t t

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Refund of interest.

POINT FOR DISCUSSION AND DECISION

Finalisation of the documents to be taken from the beneficiaries proposed as under.from the beneficiaries proposed as under.

- Age proof.- Educational qualification.q- Caste Certificate for weaker section.- Identification proof e.g. Voter Card, Ration Card etc.

- Residential proof. - Project Report with quotation.- Blue print in case of Shed.

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BANK-WISE ALLOCATION OF TARGET FOR 2012-13

(Rs. in lakhs)

Sr. No. Name of the Bank

Target of PMEGP for 2012-13

Target of KVICfor 2012-13

Target of JKVIB for 2012-13

Target of DIC for 2012-13 RURAL URBAN

Phy. M.M. (lakhs) Phy. M.M. (lakhs) Phy. M.M.

(lakhs) Phy. M.M. (lakhs) Phy. M.M. (lakhs) Phy. M.M. (lakhs)

1 All h b d B k 280 643 86 84 193 20 84 193 20 112 257 46 56 128 73 56 128 731 Allahabad Bank 280 643.86 84 193.20 84 193.20 112 257.46 56 128.73 56 128.732 Andhra Bank 10 23.00 3 6.90 3 6.90 4 9.19 2 4.60 2 4.603 Bank of Baroda 80 183.96 24 55.20 24 55.20 32 73.56 16 36.78 16 36.784 Bank of India 600 1379.70 180 414.00 180 414.00 240 551.70 120 275.85 120 275.855 Bank of Maharashtra 8 18.40 2 4.60 2 4.60 4 9.19 2 4.60 2 4.606 Canara Bank 80 183.96 24 55.20 24 55.20 32 73.56 16 36.78 16 36.786 Canara Bank 80 183.96 24 55.20 24 55.20 32 73.56 16 36.78 16 36.787 Central Bank of India 180 413.91 54 124.20 54 124.20 72 165.51 36 82.75 36 82.758 Corporation Bank 10 23.00 3 6.90 3 6.90 4 9.19 2 4.60 2 4.609 Dena Bank 20 45.99 6 13.80 6 13.80 8 18.39 4 9.19 4 9.1910 Indian Bank 10 23.00 3 6.90 3 6.90 4 9.19 2 4.60 2 4.6011 Indian Overseas Bank 50 114.98 15 34.50 15 34.50 20 45.97 10 22.99 10 22.9912 O.B.C. 10 23.00 3 6.90 3 6.90 4 9.19 2 4.60 2 4.6013 Punjab & Singh Bank 10 23.00 3 6.90 3 6.90 4 9.19 2 4.60 2 4.6014 Punjab National Bank 230 528.89 69 158.70 69 158.70 92 211.48 46 105.74 46 105.7415 Syndicate Bank 50 114.98 15 34.50 15 34.50 20 45.97 10 22.99 10 22.9916 Union Bank 90 206.96 27 62.10 27 62.10 36 82.75 18 41.38 18 41.3817 United Bank of India 80 183 96 24 55 20 24 55 20 32 73 56 16 36 78 16 36 7817 United Bank of India 80 183.96 24 55.20 24 55.20 32 73.56 16 36.78 16 36.7818 UCO Bank 80 183.96 24 55.20 24 55.20 32 73.56 16 36.78 16 36.7819 Vijaya Bank 10 23.00 3 6.90 3 6.90 4 9.19 2 4.60 2 4.6020 State Bank of India 600 1379.70 180 414.00 180 414.00 240 551.70 120 275.85 120 275.8521 Vananchal Grmn. Bank 310 712.85 93 213.90 93 213.90 124 285.04 62 142.52 62 142.5222 Jharkhand Gmn. Bank 146 335.73 44 101.20 44 101.20 58 133.33 29 66.66 29 66.6623 State Bank of Bikaner & Jaipur 10 23.00 3 6.90 3 6.90 4 9.19 2 4.60 2 4.60

TOTAL : 2954 6792.73 886 2037.82 886 2037.82 1182 2717.10 591 1358.55 591 1358.55

DISTRICT-WISE ALLOCATION OF TARGET FOR 2012-13

(Rs in lakhs)(Rs. in lakhs)

Sr. No. Name of Districrts

PMEGP Target2012-13

Target of KVIC 2012-13

Target of JKVIB2012-13

Target of DIC 2012-13 RURAL URBAN

Phy. M.M. (lakhs) Phy. M.M. (lakhs) Phy. M.M. (lakhs) Phy. M.M. (lakhs) Phy. M.M. (lakhs) Phy. M.M. (lakhs)

1 Bokaro 180 413.91 54 124.20 54 124.20 72 165.51 36 82.75 36 82.752 Chatra 75 172.46 23 52.90 22 50.60 30 68.96 15 34.48 15 34.483 Deoghar 140 321.93 42 96.60 42 96.60 56 128.73 28 64.36 28 64.364 Dhanbad 200 459.90 60 138.00 60 138.00 80 183.90 40 91.95 40 91.955 Dumka 130 298.94 39 89.70 39 89.70 52 119.53 26 59.77 26 59.776 E. Singhbhum 220 505.89 66 151.80 66 151.80 88 202.29 44 101.14 44 101.147 Garhwa 100 229 95 30 69 00 30 69 00 40 91 95 20 45 97 20 45 977 Garhwa 100 229.95 30 69.00 30 69.00 40 91.95 20 45.97 20 45.978 Giridih 210 482.90 63 144.90 63 144.90 84 193.09 42 96.55 42 96.559 Godda 120 275.94 36 82.80 36 82.80 48 110.34 24 55.17 24 55.17

10 Gumla 100 229.95 30 69.00 30 69.00 40 91.95 20 45.97 20 45.9711 Hazarirbagh 170 390.92 51 117.30 51 117.30 68 156.31 34 78.16 34 78.1612 Jamtara 60 137.97 18 41.40 18 41.40 24 55.17 12 27.58 12 27.5813 Khunti 50 114.98 15 34.50 15 34.50 20 45.97 10 22.99 10 22.9914 Koderma 70 160.97 21 48.30 21 48.30 28 64.36 14 32.18 14 32.1815 Latehar 70 160.97 21 48.30 21 48.30 28 64.36 14 32.18 14 32.1816 Lohardaga 40 91.98 12 27.60 12 27.60 16 36.78 8 18.39 8 18.3917 Pakur 70 160.97 21 48.30 21 48.30 28 64.36 14 32.18 14 32.1818 Palamu 170 390 92 51 117 30 51 117 30 68 156 31 34 78 16 34 78 1618 Palamu 170 390.92 51 117.30 51 117.30 68 156.31 34 78.16 34 78.1619 Ramgarh 60 137.97 18 41.40 18 41.40 24 55.17 12 27.58 12 27.5820 Ranchi 309 710.55 92 211.60 93 213.90 124 285.04 62 142.52 62 142.5221 Sahebganj 100 229.95 30 69.00 30 69.00 40 91.95 20 45.97 20 45.9722 Saraikela 100 229.95 30 69.00 30 69.00 40 91.95 20 45.97 20 45.9723 Simdega 60 137.97 18 41.40 18 41.40 24 55.17 12 27.58 12 27.5824 W. Singhbhum 150 344.93 45 103.50 45 103.50 60 137.92 30 68.96 30 68.96

TOTAL : 2954 6792.73 886 2037.82 886 2037.82 1182 2717.10 591 1358.55 591 1358.55

DISTRICT-WISE ACHIEVEMENT FOR THE YEAR 2011-12

Sr. No. Name of DistricrtsNo. of unit Margin Money utilized

Employment (Nos.)Phy. M.M. (lakhs)

1 Ranchi 335 602.17 10052 Khunti 29 37.47 873 Bokaro 124 300.08 3724 Dhanbad 146 268.13 4385 Hazaribagh 141 197.66 4236 Ramgarh 65 109.33 1957 Koderma 30 68.31 908 Chatra 33 31.26 999 Palamu 121 151.00 363

10 Garhwa 87 163.61 26111 Latehar 45 58.90 13512 E.Singhbhum 98 97.76 29413 W.Singhbhum 89 93.23 26714 Saraikela 74 68.97 22215 Deoghar 339 331.58 101716 Dumka 128 136.93 38417 Jamtara 30 27.41 9018 Godda 76 85.91 22819 Pakur 60 152.14 18020 Sahebganj 52 134.88 15621 Lohardaga 45 53.94 13522 Gumla 63 98.21 189

Si d 55 16523 Simdega 55 45.52 16524 Giridih 107 171.92 321

TOTAL : 2372 3486.33 7116

BANK-WISE ACHIEVEMENT DURING 2011-12

(Rs. in lakhs)

Sr. No. Name of the Bank No. of unit Margin Money utilized

1 Bank of India 491 856.522 State Bank of India 850 1073.133 Central Bank of India 126 184.434 Punjab National Bank 180 265.875 Allahabad Bank 214 345.186 Vijaya Bank 8 20 936 Vijaya Bank 8 20.937 Indian Overseas Bank 33 84.848 Andhra Bank 5 15.309 UCO Bank 82 64.93

10 Union Bank 79 131.4111 United Bank 41 81.0512 Bank of Baroda 44 80.3913 Canara Bank 78 87.0714 Dena Bank 11 15.6815 Syndicate Bank 35 52.3216 Oriental Bank of Commerce 6 5.0017 Bank of Maharashtra 2 2.7518 Indian Bank 8 13.0819 Jharkhan Gramin Bank 79 106 4319 Jharkhan Gramin Bank 79 106.43

TOTAL : 2372 3486.33

INFORMATION

For any further information, you may

contact :contact :-

- Shri Sewa Lal, State Director, KVIC

Mob.: 082927 49512

Sh i N d R D Offi KVIC- Shri Nandu Ram, Dev. Officer, KVIC

Mob.: 094303 53577

e-mail I.D. : stateoffice_ranchi@yahoo.com.

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For further details, please visit our web it k i i / isite www.kvic.org.in/www.pmegp.in

or any field offices of KVIC, KVIBs, DIC d N ti li d B kDICs and Nationalized Banks.

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