MSME DEVELOPMENT INSTITUTE MINISTRY OF MSME, Govt. OF INDIA HYDERABAD-37
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 INDIA:THE UNFOLDING SCENARIO GDP: Current US $ 4.4 Trillion By 2020 > US $ 8 Trillion Share of Mfg. Sector in GDP: Current - ~ 15% Required / Expected by 2022 - 25%
Population Median Age By 2020 27 Years
Current Challenges ( Short Term): High inflation, High Interest Rates, Growth rate in GDP, Credit flow, Globalised competition, Technology, HR skills
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37
MSME THE ENGINE OF
INCLUSIVE GROWTH
AND
DEVELOPMENT
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 MSME SECTOR - AN OVERVIEW NO. OF MSMEs 29.8 Million
EMPLOYMENT 69.5 Million
SHARE IN GDP 8 9%
SHARE IN MANUFACTURING OUTPUT 45%
SHARE IN EXPORTS 40%
GROWTH RATE ~ 13% ( Industry Average 6.5 to 7 %)
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 CLASSIFICATION OF ENTERPRISES CATEGORY INVESTMENT LIMIT Rs. Manufacturing Service Enterprises Enterprises In plant & machinery In equipment
MICRO ENTERPRISES up to 25 lakh up to 10 lakh
SMALL ENTERPRISES above 25 lakh above 10 lakh and up to 5 crore and up to 2 crore
MEDIUM ENTERPRISES above 5 crore above 2 crore and up to 10 crore and up to 5 crore
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 6
CHANGING PARADIGM PRODUCTIVITY ENHANCEMENT
COMPETETIVE ABILITY ENHANCEMENT
COLLECTIVE EFFICIENCY
INFRASTRUCTURE DEVELOPMENT
CREATION OF CRITCICAL INFRASTRUCTURE
SKILL DEVLOPMENT
FOCUS THROUGH COLLECTIVES OF MSME
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 ROLE OF MSME-DI, HYDERABAD ESTABLISHED IN THE YEAR 1956 AS SISI
TECHNO-MANGERIAL CONSULTANCY
TECHNICAL AND SURVEY REPORTS
AWARENESS AND IMPLEMENTATION OF GOI SCHEMES
WORKSHOPS, SEMINARS, VDPs, EXHIBITIONS, IMCs
TRAININGS: MDP, BSDP, ESDP, SDP
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 MSME SCHMES CGTMSE: Credit Guarantee Fund Trust for Micro & Small Enterprises. Guarantee cover to collateral free term loan and working capital facility up to Rs.1crore extended to existing and new enterprises
Guarantee cover available is 75% /Max cap of 62.5 Lakhs.
One time guarantee fee - 1.0% ; up to Rs. 5 lakh credit facility; and 1.5% for credit facility above Rs. 5 Lakh
Annual service fee of 0.50% for credit facility up to Rs. 5 Lakh and 0.75% for credit facility above Rs. 5 Lakh
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 PMEGP: PRIME MINISTERS EMPLOYMENT GENERATION PROGRAMME
OBJECTIVE: TO GENERATE EMPLOYMENT OPPURTUNITIES IN RURAL AND URBAN AREAS TO PROVIDE CONTINUOUS AND SUSTAINABLE EMPLOYMENT TO A LARGE SEGMENT OF ARTISANS AND UNEMPLOYED YOUTH COST OF PROJECT: 25 LAKHS UNDER MANUFACTURING SECTOR 10 LAKHS UNDER SERVICE SECTOR MARGIN MONEY ( MIDDLE ENDED SUBSIDY ): Beneficiary Subsidy contribution URBAN RURAL
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 CLCSS: Credit Linked Capital Subsidy Scheme For Technology Upgradation Facilitating technology up gradation of MSEs
Subsidy of 15 per cent subject to a ceiling of Rs.15 Lakhs
Subsidy linked to availing of institutional finance
Eligible technologies identified in 49 sectors
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 Reimbursement of charges of acquiring ISO-90000/ ISO-14001/HACCP certifications Reimbursement to the extent of 75% of the expenditure subject to a maximum of Rs. 75,000/- in each case.
MSME-MDA SCHEME: Participation of MSE manufacturing units in Select International Trade Fairs / Exhibitions under MSME stall. Reimbursement of 75% of air fare by economy return class & 50% space rent subject to upper ceiling limit of Rs.1.25 lakhs per unit For SC/ST/Women the reimbursement is 100% subject to the ceiling of Rs. 1.25 lakhs per unit per year
ISO 9000/ISO 14001 CERTIFICATION REIMBURSEMENT SCHEME
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 MSE-CDP : Micro and Small Enterprises Cluster Development Programme OBJECTIVES: PRODUCTIVITY ENHANCEMENT CREATION OF COMMON INFRASTRUCTURE COLLECTIVE EFFICIENCY PROVISIONS: Activity Project Cost (Rs.) GOI Grant 1. DIAGNOSTIC STUDY 2.5 lakhs 90 %
3. HARD INTERVENTIONS : 15 Crores / Cluster 70 to 90 % ( For setting up CFC: Testing Labs, R&D Centres, Design Centres etc.) 4. INFRASTRUCT. DEVELOPMENT 10 crores 60 to 80 %
5. DETAILED PROJECT REPORT 5 lakhs 100 %
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 Capacity Building of Associations: Strengthening of database and advocacy by Industry/Enterprise Associations and for holding Seminars/Symposiums/Workshops by the Associations. 50% of Total project cost Limited to 10Lakhs
International Cooperation Scheme: Assistance would be provided under the scheme to the eligible organisations for deputation of MSME delegations to foreign countries, with the objectives of exploring new areas of technology infusion/upgradation, facilitating joint ventures, improving market of MSMEs
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 Public Procurement Policy
Applicable to Central Ministries/Department/PSUs w.e.f 01.04.2012
Procurement goal of minimum 20%of the Total Annual Purchases of products and services
4%(i.e. 20% out of 20%) earmarked for procurement from MSEs owned by SC/ST Entrepreneurs
About Rs. 35,000 Crore/annum Marketing Opportunity for MSEs
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 S.No. Name of the Scheme Status of Scheme 1 Marketing Support/Assistance to MSMEs (Bar Code) Available 2 Support for Entrepreneurial and Managerial Development of SMEs through Incubators Available 3 Enabling Manufacturing Sector to be competitive through Quality Management Standard & Quality Tech. Tools (QMS/QTT) Available 4 Building Awareness on Intellectual Property Rights (IPR) for MSME Available 5
National Programme on Application of Lean Manufacturing (LEAN) Available 6 Mini Tool Rooms proposed to be set up by Ministry of MSME (MTR) Available 7 Design Clinic Scheme for design expertise to Manufacturing sector (DESIGN) Available 8 Marketing Assistance & Technology Up-gradation Scheme for MSMEs. Available 9 Technology and Quality Upgradation Support to MSMEs Available 10 Promotion of ICT in Indian Manufacturing Sector (ICT) Available NATIONAL MANFACTURING COMPETITIVENESS PROGRAMME UNDER XI PLAN
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 Marketing Support/Assistance to MSMEs: BAR CODE FINANCIAL ASSISTANCE: 75% (up to Rs. 22, 500/-) of the one time registration fee paid to GS1 India. 75% ( up to Rs. 4,000/) of the annual fee paid to GS1 India for the first 3years Support for Entrepreneurial and Managerial development of SMES through Incubators NMCP Schemes Contd.. Eligibility: Technical/Management Institutions, Universities having established in-house support services and facilities with experienced/devoted faculty who can nurture/mentor innovative business ideas that are at near commercialization stage. Funding: Rs 66.28 Lakhs for 10 business ideas @ Rs. 6.25 lakh per idea and Rs. 3.78 lakh for infrastructure support, training etc.
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 Lean Manufacturing Competitiveness Programme OBJECTIVE: To enhance the manufacturing competitiveness of MSEs through application of Lean Manufacturing techniques. Lean Manufacturing: Involves applying Lean Techniques to identify and eliminate waste and streamline a system
ELIGIBILITY: Mini clusters Viz. 8 to 12 units 87 mini clusters selected. Target is 100 Mini clusters
FUNDING: Programme to be implemented for 2 years in MSEs GOI assistance maximum of 80% of cost of the consultant for the first year NMCP Schemes Contd..
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 Cost of Waste : Sigma level & Competitiveness Sigma Level Defect Rate PPM Cost of WASTE (of Turnover) Competitiveness 6 3.4 < 10% 5 233 10 - 15% 4 6210 15 - 20% 3 66807 20 - 30% 2 308537 30 - 40% 1 690000 > 40% Industry Average Non Competitive World Class
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 Quality Management Standards & Quality Tech. Tools (QMS/QTT) OBJECTIVE: To sensitize and motivate MSEs to adopt QMS and QTT
ACTIVITIES: Introduction of appropriate modules for Tech. institutes.
Awareness campaigns for MSEs
Organising competition watch
Implementation of QMS and QTT in select MSEs
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 Setting up of Mini Tool Rooms under PPP Mode
OBJECTIVE: To develop more tool rooms/technological support to MSMEs for designing and manufacturing quality tools and also to provide training facilities.
Centre PPP mode : 40% of project cost ( not exceeding Rs. 9 crore)
State PPP Mode : 90% of cost of M&E; restricted to Rs. 9 cr.
Centre-State Mode : - Do ( State Govt. or State Agencies )
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 Building Awareness on Intellectual Property Rights (IPR) For MSME
Awareness/ Sensitisation Programmes on IPR. RS 1.00 Lakh Pilot Studies for Selected Clusters/ Groups of Industries Rs 2.50 Lakhs Interactive Seminars / Workshops. Rs 2.00 Lakhs Setting up of IP Facilitation Centre for MSMEs Rs 65.00 Lakhs
Assistance for Grant on Patent/ GI Registration. (i) Domestic Patent Rs 0.25 Lakhs (ii) Foreign Patent Rs 2.0 Lakhs (iii) GI Registration Rs 1.0 Lakhs
NMCP Schemes Contd..
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 Technology & Quality up gradation : ( For Energy Efficiency and product quality certification)
Subsidy to MSMEs acquiring International/ National Product Certification : National standards ( BIS,BEE etc) max Rs 1.5 lakh International standard (CE, UL, ANSI etc) max 2.00 lakhs
25% subsidy for Implementation of energy efficient technologies (EET) by MSMEs, subject to a ceiling of Rs. 10.00 lakhs
75% ( max of 15 lakhs) of cost for setting up Carbon Credit Aggregation Centres (CCA) in MSME clusters. NMCP Schemes Contd..
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 Design Clinic Scheme One day Sensitization: GOI Rs. 60,000/- Need Assessment & Work Shop: GOI Rs. 3.00 Lakh Design Projects: For group of three units GOI Rs. 9.00 Lakh For group of Four units or More GOI Rs. 12.00 Lakh Student Project: GOI Rs. 1.50 Lakh NMCP Schemes Contd..
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 Marketing Assistance and Technology Upgradattion for MSEs: Assistance for skill development in modern marketing techniques Technology up gradation in packaging Reimbursement of 50% of stall rent and travel expenses for participation in domestic trade fairs and exhibition. Adopting Limited Liability Partnership (LLP) Framework - Reimbursement of 50% of total expenditure subject to maximum amount of Rs. 45,000 NMCP Schemes Contd..
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 Scheme for promotion of Information and Communication Technology (ICT) in MSME Sector 100 MSME Manufacturing clusters are to reap benefit in respect of standardization of their business process, improvement in delivery time, reduction in inventory carrying cost, improvement in productivity and quality of production, etc through need based ICT interventions. Activities include Setting up of e-Readiness Centres Subsidy for procurement of hardware and software Establishment of National Portal for MSMEs Evaluation /Impact assessment studies Miscellaneous items, National Workshops, etc:
NMCP Schemes Contd..
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 MSME-DI SETUP IN AP MSME DEVELOPMENT INSTITUTE MINISTRY OF MSME, Govt. OF INDIA BALANAGAR, HYDERABAD-50037 Phone: 23078131 , Fax: 23078857 E-mail: dcdi-hyd@dcmsme.gov.in Website: http://msmehyd.ap.nic.in BRANCH MSME-DI INDUSTRIAL DEVELOPMENT AREA VISAKHAPATNAM 12 Telefax: 0891-2517942 MSME TESTING STATION INDUSTRIAL ESTATE, SANATNAGAR HYDERABAD Telefax: 040-23704371
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 Our websites:
www.dcmsme.gov.in
http://msmehyd.ap.nic.in
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 FACTORS FOR HIGH ACHIEVEMENT
THE FOUNDATION: VISION & PERSISTANCE
THE FOCUS : ENVIRONMENT, WAVE LENGTH & FLEXIBILTY
THE PRACTICES : CUSTOMER ORIENTATION & COLLECTIVE EFFICIENCY
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 THE STORY OF TWO EAGLES
MSME DEVELOPMENT INSTITUTE, HYDERABAD-37 THANK YOU