Lok Sabha Question No. 3577 (UNSTARRED), answered on 2015-12-21
Subject: Promotion of KVIC
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: KAPIL MORESHWAR PATIL, FAGGAN SINGH KULASTE, K. KAMARAAJ, BHAGWANTH KHUBA

3577.

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

## LOK SABHA UNSTARRED QUESTION NO.3577 TO BE ANSWERED ON 21.12.2015

## PROMOTION OF KVIC

SHRI KAPIL MORESHWAR PATIL: SHRI  FAGGAN SINGH  KULASTE: DR. K. KAMARAJ: SHRI  BHAGWANTH  KHUBA:

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

(a) whether the objective  of  the  Khadi  and  Village  Industries  Commission  (KVIC)  for utilising local talent and resources has been achieved and if so, the details thereof;

- (b) whether  the  Government  proposes  to  provide  any  financial  assistance  to  KVIC  for research and development activities particularly to meet the global challenges;
- (c) if  so,  the  details  thereof  including  the  funds  released  and  utilised  for  the  purpose during each of the last three years;

(a) whether the Government has granted ''Deemed Export Promotion Council'' status to the KVIC to promote its products; and

(e) if  so,  the  details  thereof  including  its  likely  benefits  in  terms  of  employment generations for women and rural people in the country?

## ANSWER

## MINISTER OF STATE IN THE MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES (SHRI GIRIRAJ SINGH)

(a): Yes  Madam.  Ministry  of  MSME  has  a  Scheme  of  Fund  for  Regeneration  of Traditional  Industries  (SFURTI)  which  is  being  implemented  through  Khadi  and  Village Industries  Commission (KVIC) and Coir Board.   The objective of the scheme is to utilize local  manpower,  local  resources  and  local  technologies.  SFURTI  is  a  cluster  development programme wherein  large  number    of  artisans  located  in  a  geographical  concentration  are supported with various interventions like training,  capacity building,  marketing  and design development,  tools  and  machineries,  etc.  to  develop  quality  and  standard  products  and  is marketed, aimed at making them competitive, profitable and enhanced wages to Artisans.

Prime  Minister's  Employment  Generation  Programme  (PMEGP)  is  providing  selfemployment opportunities to unemployed persons for setting up of local enterprises in their region, which also channelizes the local resources and local entrepreneur's skills for creating sustainable employment opportunities.

(b)&(c):  Yes Madam.  The details of targets, fund released/utilized during the last three years 2012-13, 2013-14 and 2014-15 for research and development activities are given below:

Rs. in crore

| Year    | Head               |   Target (RE) | Fund released by Ministry   |   Utilized by KVIC |
|---------|--------------------|---------------|-----------------------------|--------------------|
| 2012-13 | Khadi              |          1.25 | 0.24                        |               0.41 |
| 2012-13 | Village Industries |          1.25 | 0.59                        |               0.71 |
| 2013-14 | Khadi              |          0.81 | 0.27                        |               0.23 |
| 2013-14 | Village Industries |          1.24 | 0.48                        |               0.47 |
| 2014-15 | Khadi              |          0.41 | -                           |               0.36 |
| 2014-15 | Village Industries |          0.41 | -                           |               0.2  |

The fund utilized by KVIC is more than funds released by the Ministry in view of opening balance available with KVIC under S&T.

(d)&(e): Yes  Madam.    Government  of  India  has  given  the  status  of  Deemed  Export Promotion Council to KVIC for supporting the introduction of KVI products in international market.  1018 Khadi and Village Industries Institutions and REGP/PMEGP units have taken its membership to enter the export market.

Under  the  scheme,  Ministry  is  providing  financial  support  for  participation  in International exhibitions would be subject to maximum limit of upto Rs. 1.25 lakh.

- (a) To and Fro air fare reimbursement  by economy class
- (i) SC/ST, Women managed and Units from NE region - 100%
- (ii) All others   -   75%
- (b) Reimbursement of Stall rent
- (i) SC/ST, Women managed and Units from NE region - 100%
- (ii) All others   -   50%

As 1018 KVI Institutions and REGP/PMEGP units have entered the field of export, it will help to generate employment opportunities for women and rural people also.

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