Bhubaneswar: In order to help Micro, Small & Medium Enterprises (MSME) tide over the loss sustained due to COVID-19 pandemic in Odisha, Chief Minister Naveen Patnaik on Tuesday approved a package of Rs 289.42 crore for the sector.
The package includes a number of assistance measures such as interest subvention, top-up subsidy, reimbursement of the state Goods and Services Tax (GST) and waiver of annual institutional maintenance charges.
It aims at helping the entrepreneurs, mostly women and weaker sections of society, in the MSME sector recover from the unexpected challenges posed by the COVID-19 pandemic.
Under the Emergency Credit Line Guarantee Scheme (ECLGS), 1.7 lakh MSME units will benefit from the interest subvention. As per the provision, the government will provide an interest subvention for the MSMEs under ECLGS with a one-year moratorium.
A sum of Rs 108.29 crore is being released to cover 40 per cent of eligible women-run MSMEs.
Under the Prime Minister Employment Generation Programme (PMEGP) for the 2020-21 financial year, the top-up subsidy to weaker sections is 5 per cent as promoters’ contribution as per the prescribed norm. Besides, Rs 27 crore has been provisioned to meet the requirement of the weaker sections (SC/ST/OBC/minority community/women/physically challenged/ex-servicemen) in facing the pandemic crisis.
The food processing units functioning under the Prime Minister’s Formalization of Micro Food Processing Enterprises (PMFME), a Centrally sponsored scheme on 60:40 basis, will be given 15% extra top-up subsidy to cover around 1000 units for the current financial year. Besides, Rs 10 crore will be given towards top-up subsidy under the scheme.
COVID-19 Assistance Package (CAP) launched by Panchayati Raj and Drinking Water department is another assistance provision that will bring relief to nano and micro-enterprises. Currently, assistance to the tune of Rs 100 crore is made available through women self-help group (SHG) members.
As per the recently amended Industrial Policy Resolution (IPR) approved by the state Cabinet, 175 enterprises will be eligible for reimbursement of state GST for the period from July 1, 2017 to March 31, 2020. Under this proposal, Rs 38.30 crore will be disbursed.
The waiver of annual institutional maintenance charge of Rs 5.83 crore payable by 5000 MSMEs in various Industrial Estates to the Industrial Infrastructure Development Corporation (IDCO) will be borne by the IDCO.