Overview

The objective of the scheme is to generate employment opportunities including self-employment to tiny units located in towns and rural areas having population of less than ₹ 1 lakh (According to census 1981) and with investment in plant & machinery below ₹ 2 lakhs. Such identified tiny units falling within the purview of the Small Scale Industries Board and Village Industries, handicrafts, handlooms, Silk & Coir Industries are covered for financial assistance in the form of margin/seed money under the Scheme.

In case of entrepreneur belonging to general category, the extent of Margin Money assistance is 20% of the total investment or ₹ 40,000/- whichever is less. Similarly in case of entrepreneur’s belonging to scheduled caste & scheduled tribe Margin Money assistance of upto 30% of the total fixed capital investment or upto maximum of ₹ 60,000/- whichever is less is provided.

There is a provision of levying interest on this loan @ of 4% p.a. and 1% penal interest in case of default in repayment schedule. Repayment of the margin money assistance is to be done within 8 years with an initial moratorium of two years. This scheme is particularly useful for rural artisans. The statement showing outlay and expenditure since 2011-12 to 2014-15 is enclosed herewith.

Eligibility Criteria

The Eligibility criteria for the scheme is as follows:

• Educational qualification is not required
• No age limit
• Unit should be registered with the Directorate of Industries as Micro/ small scale enterprise
• Investment in Plant & Machinery should be below ₹ 2 lakh
• The population of the area of unit should be up to ₹ 1 lakh (as per 1981 census)

Statistics

The statement showing outlay and expenditure since 2011-12 upto 2014-15 under District Industries Centre Loan Scheme for Tiny Industries is as shown below (₹ in Lakhs):

General
Year	Target	Provision	Expenditure	Target	Achievement
2011-12	124.61	124.61	14.44	416	74
2012-13	39.67	39.67	43.83	39	43
2013-14	47.30	49.80	46.60	129	158
2014-15	334.11	81.36	73.81	208	182

SCP
Year	Target	Provision	Expenditure	Target	Achievement
2011-12	51.56	51.56	16.32	172	31
2012-13	115.30	95.80	76.00	247	193
2013-14	92.10	92.10	75.15	240	191
2014-15	82.75	82.75	72.48	215	168

Tribal Sub-plan (TSP)
Year	Target	Provision	Expenditure	Target	Achievement
2011-12	6.05	6.05	5.14	20	16
2012-13	5.85	5.85	5.24	16	21
2013-14	6.50	6.50	6.50	16	18
2014-15	7.11	7.11	7.11	19	16

Other Tribal Sub-plan (OTSP)
Year	Target	Provision	Expenditure	Target	Achievement
2011-12	4.55	4.55	3.87	15	6
2012-13	5.56	5.56	4.98	17	27
2013-14	6.36	6.36	6.25	16	23
2014-15	6.84	6.84	6.84	19	21

GR's and Notifications
GR RBI Collateral Free Loan - 26.10.2010	View Details
GR DIC Loan Scheme - 03.12.1985	View Details
GR DIC Loan Scheme 12.09.1979	View Details