Department of Industries and Commerce

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1 Department of Industries and Commerce Head Of The Department- The Industries Commissioner and Director of Industries and Commerce, Guindy, Chennai-32 Office Address The General Manager, District Industries Centre, Collector s Bunglow Road, Theni Contact Phone Number

2 SL.NO GIST OF THE SCHEME ELIGIBLE CRITERIA 1. Unemployed Youth Employment Generation Programme socially and economically weaker section of the society by establishing manufacturing/ service/business enterprises by arranging subsidy linked loans manufacturing sector is Rs. 10Lakhs, for service sector Rs. 3Lakhs and for business sector Rs. 1 Lakh 25% subsidy assistance under the scheme(maximum of Rs. 1,25,000/-) Age: Any individual above 18 years of age (The upper age limit for the General Category is 35 years and Upper age limit is 45 years for the special category comprising (SC/ST/MBC/MINORITY/WOMEN/EX SERVICEMEN/ DIFFERENTLY ABLED/TRANSGENDER) The family income should not exceed Rs. 1,50,000 per annum The applicant shall be resident of the place for not less than three years. Minimum educational qualification pass in VIII th Std 2. New Entrepreneur Cum Enterprise Development Scheme (NEEDS) socially and economically weaker section of the society by establishing manufacturing/ service enterprises by arranging subsidy linked loans manufacturing and service sector will be Rs. 1Crore and minimum project cost will be Rs. 5 Lakhs 25% subsidy assistance under the scheme(maximum of Rs. 25,00,000/-) 3% interest rebate / back ended interest subsidy 3. Prime Minister s Employment Generation Programme (PMEGP) Age: Any individual above 21 years of age (The upper age limit for the General Category is 35 years and Upper age limit is 45 years for the special category comprising (SC/ST/MBC/MINORITY/WOMEN/EX SERVICEMEN/ DIFFERENTLY ABLED/TRANSGENDER) Minimum educational qualification: Any degree / Diploma / I T I / Vocational Training from Recognised Institution and must be a First Generation Entrepreneur Age: Any individual above 18 years of age The applicant shall be resident of the

3 socially and economically weaker section of the society by establishing manufacturing/ service/business enterprises by arranging subsidy linked loans manufacturing sector is Rs. 25Lakhs, for service sector Rs. 10Lakhs 35% subsidy assistance for Rural Areas and 25% subsidy for Urban Areas under the scheme place for not less than three years. Minimum educational qualification pass in VIII th Std for Availing loan above 10Lakhs for manufacturing activity and 5Lakhs for service activity Micro Small & Medium Enterprises Policy 2008 The following incentives are being extended to Micro, Small and Medium Enterprises in the State:- 1. Subsidy schemes for micro manufacturing enterprises: 25%Capital Subsidy 20% low tension power tariff subsidy for the first 36 months from the date of commencement of commercial production or from the date of power connection, whichever is later. Reimbursement of 100% subsidy on the net value of Value Added Tax (VAT) paid by them for the first 6 years up to the value of investment made in plant and machinery on quarterly basis. Stamp duty exemption on mortgaged and pledged documents. 2. Subsidy schemes for Industrially Backward Blocks and Agro Based Enterprises: Micro, Small and Medium Manufacturing Enterprises established in 251 industrially backward blocks, all industrial estates promoted by the Government and Government Agencies like SIPCOT, SIDCO, etc., (excluding Industrial Estates located within a radius of 50 Kms from Chennai city centre) and agro based enterprises set up in all the 385 Blocks in the State are eligible for the following package of incentives: 25% capital subsidy on the value of eligible plant and machinery subject to a maximum of Rs.30 lakh. 5% additional employment intensive subsidy on the value of eligible plant and machinery for providing employment to 25 workers for 3 years within the first 5 years from the date of commencement of commercial production, subject to a maximum of Rs.5 lakh.

4 5% additional capital subsidy on the value of eligible plant and Machinery for enterprises set up by women, SC/ST, differently abled and transgender entrepreneurs subject to a maximum of Rs.2 lakh. 25% additional capital subsidy on the value of eligible plant and machinery installed to promote cleaner and environment friendly technologies subject to a maximum of Rs.3 lakh, if certified by the Tamil Nadu Pollution Control Board. 20% low tension power tariff subsidy for the first 36 months from the date of commencement of commercial production or from the date of power connection whichever is later. 3. Special Capital Subsidy for Thrust Sector Enterprises: A Special Capital Subsidy of 25% on the eligible plant and machinery subject to a maximum of Rs.30 lakh is extended to 13 thrust sector enterprises setup anywhere in the State viz., Electrical and Electronic Industry, Leather and Leather goods, Auto parts and components, Drugs and Pharmaceuticals, Solar Energy Equipment, Gold and Diamond Jewellery for exports, Pollution Control equipments, Sports Goods and Accessories, Cost effective building materials, Readymade Garments, Food Processing, Plastic and Rubber Industries. 4. Generator Subsidy: The Micro, Small and Medium manufacturing enterprises anywhere in the State, which purchase Generator sets up to 320 KVA capacity are eligible for a Generator Subsidy at 25% of the cost of the generator set, subject to a maximum of Rs.5 lakh. 5. Back-ended Interest Subsidy Back-ended interest subsidy at the rate of 3%, subject to a maximum of Rs lakh for a period of 5 years is being provided to Micro, Small and Medium Manufacturing Enterprises for term loans up to Rs.1 crore obtained for Technology up-gradation / modernization and Credit Guarantee Fund Trust Scheme (CGFTS). 6. Value Added Tax Reimbursement Subsidy All micro manufacturing enterprises are entitled to reimbursement of 100% subsidy on the net Value of Value Added Tax paid by them for the first 6 years from the date of commencement of production, up to the value of the investments made in eligible Plant and Machinery on quarterly basis Achievement Under Various Schemes for the year ended S.No Scheme No. of Beneficiaries Subsidy Amount Rs in Lakhs 1. UYEGP NEEDS PMEGP

5 Various Subsidies Released Under MSME Policy 2008 for Theni District S.No Scheme No. of Units Amount of Subsidy (Rs. in Lakhs) 1. Capital Subsidy VAT Subsidy LTPT Subsidy Generator Subsidy

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