PM Modi Launches Rs 6,000-Cr Scheme for MSMEs, New Initiative for First-Time Exporters
Prime Minister Narendra Modi on June 30, Thursday, launched a number of initiatives to accelerate the rise of Micro, Small and Medium Enterprises in India. The PM kickstarted a number of key initiatives including the ‘Raising and Accelerating MSME Performance’ (RAMP), and the ‘Capacity Building of First-Time MSME Exporters’ (CBFTE) scheme. He also flagged off new features of the ‘Prime Minister’s Employment Generation Programme (PMEGP) to ramp up the MSME sector. PM Modi launched these programmes at the ‘Udyami Bharat’ programme in New Delhi on the day.
“The MSME sector is one of the main pillars behind the nation’s overall development. In the Indian economy, around one-third of the contribution is from the MSME sector. Empowering the MSME sector is equal to empowering the entire society,” said PM Modi after launching the key initiatives to aid MSMEs in India.
He also transferred financial assistance of Rs 550.08 crore digitally to 18,000 beneficiaries under Prime Minister Employment Generation Programme.
What is the RAMP Scheme?
The Raising and Accelerating MSME Performance” (RAMP) is a World Bank-assisted Central Sector Scheme worth Rs 6,062.45 crore, that was approved by the government earlier this year. RAMP programme will address the generic and COVID-related challenges in the MSME sector by way of impact enhancement of existing MSME schemes, especially, on the competitiveness front.
RAMP programme, through enhanced collaboration with States, will be a job-enabler, market promoter, and finance facilitator, and will support vulnerable sections and greening initiatives, as per the Centre. “Further, the programme will bolster the inadequately addressed blocks of capacity building, handholding, skill development, quality enrichment, technological upgradation, digitization, outreach and marketing promotion, amongst other things,” the government had said in a press release in March.
What is the CBFTE Scheme?
As per the government, the CBFTE scheme will benefit first-time exporters. “‘Capacity Building of First-Time MSME Exporters’ (CBFTE) scheme aims to encourage MSMEs to offer products and services of international standards for the global market. This will enhance the participation of Indian MSMEs in the global value chain and help them realise their export potential,” it said in a press release on June 30.
New Features of PMEGP
The new features of the ‘Prime Minister’s Employment Generation Programme’ include an increase in the maximum project cost to Rs 50 lakh (from Rs 25 lakh) for the manufacturing sector and Rs 20 lakh (from Rs 10 lakh) in the service sector and the inclusion of applicants from aspirational districts and transgenders in the special category applicants for availing higher subsidies. Also, handholding support is being provided to applicants and entrepreneurs through the engagement of banking, technical and marketing experts.
