Lok Sabha Question No. 4112 (UNSTARRED), answered on 2024-12-19
Subject: Manufacturing Industries
Ministry: MICRO, SMALL AND MEDIUM ENTERPRISES
Asked by: Shri Devesh Chandra Thakur

## GOVERNMENT OF INDIA MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES

## LOK SABHA UNSTARRED QUESTION No. 4112 TO BE ANSWERED ON 19.12.2024

## MANUFACTURING INDUSTRIES

## 4112. SHRI DEVESH CHANDRA THAKUR:

Will the Minister of MICRO, SMALL AND MEDIUM ENTERPRISES be pleased to state:

- (a) whether  the  Government  has  launched  any  awareness  campaign  to  set  up  manufacturing industries in rural areas;
- (b) if so, the details of the areas where such industries have been set up so far and the number of people got employment therein; and
- (c) the details of the assistance provided to entrepreneurs for setting up MSMEs in Bihar in each of the last three years?

## ANSWER

## MINISTER OF STATE FOR MICRO, SMALL AND MEDIUM ENTERPRISES (SUSHRI SHOBHA KARANDLAJE)

- (a): Ministry of MSME, through Khadi and Village Industries Commission (KVIC), is implementing Prime Minister's Employment Generation Programme (PMEGP) for assisting entrepreneurs in setting up of new micro enterprises in the non-farm sector. Under PMEGP, General Category beneficiaries can avail of Margin Money (MM) subsidy of 25% of the project cost in rural areas and 15% in urban areas. For beneficiaries belonging to special categories such as Scheduled Castes, Scheduled Tribes, OBCs, Minorities, Women, Ex-servicemen, Physically Handicapped, transgenders, beneficiaries belonging to Aspirational Districts, Northeastern Region, Hill and Border areas, etc., the Margin Money subsidy is 35%  in  rural  areas  and  25%  in  urban  area.  The  maximum  cost  of  project  is  Rs.50  lakh  in  the manufacturing sector and Rs.20 lakh in the service sector.

Since 2018-19,  existing  PMEGP /MUDRA enterprises are also supported based on past  good performances  with  2 nd loan  for  upgradation  and  expansion.  Under  2 nd Loan,  maximum  project  cost admissible  for  Margin  Money  (MM)  subsidy  under  Manufacturing  sector  is  Rs.  1.00  crore  and  for Service sector is Rs. 25 Lakhs. Eligible subsidy on 2nd loan for all categories is 15% of project cost (20%  for NER & Hill States).

The  steps  taken  by  Government  to  raise  awareness  for  setting  up  of  new  micro  enterprises, including manufacturing units under PMEGP among potential beneficiaries across the country including in rural areas include the following:

- i.    Awareness  programs  in  all  the  States/UTs  including  backward  and  under-performing  areas, aspirational districts, Northeastern Region etc.
- ii.  Publicity of PMEGP scheme through print and electronic media.

- iii. Webinars are organized on various activities for setting up of micro-enterprises on every Sunday to create awareness among the youth and prospective entrepreneurs.
- iv.  Radio jingles in regional languages have been made to create awareness of the scheme.
- v.    PMEGP  applications  from  prospective  beneficiaries  in  11  regional  languages  since  January 2024.
4. (b): Details of number of units assisted and estimated employment generated under PMEGP since inception i.e. 2008-09 is given at Annexure-I.
5. (c): Details of assistance provided to entrepreneurs in the state of Bihar under PMEGP during the last three years is given below:

| Year       | No. of Units Assisted   |   Margin Money Subsidy (Rs. Crore) |
|------------|-------------------------|------------------------------------|
| FY 2021-22 | 2,477                   |                              81.7  |
| FY 2022-23 | 4,459                   |                             121.23 |
| FY 2023-24 | 6,837                   |                             191.76 |

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## Annexure-I

## Annexure referred to in reply to part (b) of the Lok Sabha unstarred question no. 4112 for answer on 19.12.2024.

Rural and Urban area-wise performance under PMEGP scheme during 2008-09 to 2024-25:

| Year     | No. of units assisted   | No. of units assisted   | No. of units assisted   | Estimated employment generated   | Estimated employment generated   | Estimated employment generated   |
|----------|-------------------------|-------------------------|-------------------------|----------------------------------|----------------------------------|----------------------------------|
| Year     | Rural                   | Urban                   | Total                   | Rural                            | Urban                            | Total                            |
| 2008-09  | 15333                   | 3833                    | 19166                   | 163798                           | 40949                            | 204747                           |
| 2009-10  | 32734                   | 8184                    | 40918                   | 339986                           | 84996                            | 424982                           |
| 2010-11  | 39251                   | 9813                    | 49064                   | 384490                           | 96123                            | 480613                           |
| 2011-12  | 39437                   | 15698                   | 55135                   | 361255                           | 134269                           | 495523                           |
| 2012-13  | 42356                   | 15477                   | 57884                   | 314982                           | 113264                           | 428246                           |
| 2013-14  | 40786                   | 9707                    | 50493                   | 314948                           | 68773                            | 378907                           |
| 2014-15  | 40478                   | 7690                    | 48168                   | 304132                           | 53370                            | 357502                           |
| 2015-16  | 35658                   | 8682                    | 44340                   | 261103                           | 62259                            | 323362                           |
| 2016-17  | 42834                   | 10078                   | 52912                   | 334408                           | 73432                            | 407840                           |
| 2017-18  | 39543                   | 8759                    | 48398                   | 316344                           | 70072                            | 387184                           |
| 2018-19  | 60323                   | 13104                   | 73427                   | 482584                           | 104832                           | 587416                           |
| 2019-20  | 53714                   | 12939                   | 66653                   | 429712                           | 103512                           | 533224                           |
| 2020-21  | 60761                   | 13654                   | 74415                   | 486091                           | 109229                           | 595320                           |
| 2021-22  | 84696                   | 18523                   | 103219                  | 677568                           | 148184                           | 825752                           |
| 2022-23  | 68470                   | 16697                   | 85167                   | 547760                           | 133576                           | 681336                           |
| 2023-24  | 68939                   | 20179                   | 89118                   | 551512                           | 161432                           | 712944                           |
| 2024-25* | 23155                   | 5341                    | 28496                   | 185240                           | 42728                            | 227968                           |
| Total    | 7,88,468                | 1,98,358                | 9,86,973                | 64,55,913                        | 16,01,000                        | 80,52,866                        |

*(as on 12.12.2024)