Migrants Employment Generation Programme
Category: Business & Entrepreneurship
Level: State | State: Tamil Nadu

Details:
The Government of Tamil Nadu has launched the “Migrants Employment Generation Programme (MEGP)” for the Non-Resident Tamils, who returned back to Tamil Nadu due to Covid-19 Pandemic. This scheme is to be implemented by the Commissionerate of Industries and Commerce and this Commissionerate is the Nodal Agency at the State Level. Also, the Government has ordered that the District Industries Centre (DICs) of the concerned Districts and the Office of the Regional Joint Director of Industries and Commerce in respect of Chennai District is the implementing agencies in coordination with this Commissionerate.
            The Covid-19 pandemic has wreaked havoc across the global economy. This in turn has rendered many migrants jobless and forced them to return to their own native places. The emigrants who are already skilled in their respective fields as they have been working on that for many years abroad, this scheme will help in tapping the potential of such returnees who want to turn into small scale Entrepreneurs. The scheme will help to mitigate the unemployment problem of the huge number of COVID returnees and will also generate employment for others by converting the eligible one into Small Scale Entrepreneurs. This will be executed after continuous deliberation with the Micro, Small, and Medium Enterprises Departments which have a scheme similar for the unemployed youth of Tamil Nadu.
**Objectives:**

   1. To generate employment opportunities for the migrant returnees who have come back to their homeland due to Covid by setting up self-employment ventures in Microenterprises in the Manufacturing service and Business Sectors.
   1. To provide livelihood opportunities to the migrant returnees who have lost their jobs and livelihood due to Covid.
   1. To facilitate the provision of collateral-free advances under Credit Guarantee Trust for Micro, Small Enterprises (CGTMSE) dovetailing under the Unemployed Youth Employment Generation Programme.

**Nodal Agency:** The Commissionerate of Non-Resident Tamils is the Nodal Agency at the State level and the scheme will be implemented it through the Commissionerate of Industries and Commerce.
**Areas of operation:** The scheme is applicable to all areas in the State including rural and urban areas.
Implementing Agencies: District Industries Centre (DICs) of the concerned Districts and the office of the Regional Joint Director of Industries and Commerce in respect of Chennai District will be the implementing agencies in coordination with the Commissionerate of Non-Resident Tamils.
**Maximum Project cost:** ₹15 lakhs for the manufacturing sector, ₹5 lakhs for the service sector and business sector.
**Promoter’s contribution (Owner’s contribution):** 10% for the General category and 5% for the special category (Scheduled Caste / Scheduled Tribes / Backward Classes / Most Backward Classes / Minorities / Women / Physically Challenged / Transgender)
**Activities covered:** All economically viable manufacturing services and business activities excluding direct agricultural operations like raising corporation etc.
**Training:** Training for two days in the “Entrepreneur Development Programme” to be conducted by the Entrepreneur Development Institute (EDI) of the Government of Tamil Nadu is mandatory. However, the training shall be completed within 12 months from the date of selection by the District Task Force Committees (DTFCs).
**Task Force Committee:** The Task Force Committee will comprise of General Manager, District Industries Centre as Chairman, and Personal Assistant (General) to the Collector as representative of the Commissionerate of Rehabilitation. The members of the Committee will be as under:
a.	Lead Bank
b.	District Manager, Tamil Nadu Adi Dravidar Housing and Collector as Development Corporation Limited (TAHDCO)
c.	District Coordinators from Leading Banks in the Districts
d.	Representative from District Micro, Small, and Medium Enterprises Associations
e. Representative from National Small Industries Corporation Limited/Micro, Small and Medium Enterprises - Development Institute
f.	District Employment Officer.
**Project sanction:** The project will be sanctioned by financing branches of the Banks as	per techno-economic viability.
**Financial Institutions:** All Nationalized Banks, Private Sector Banks, and &#39;Tam Nadu Industrial Co-operative Bank.
**Collateral:** No collateral is required.
Amount of the Bank Loan: Banks sanction and release 90-95% loan of the project cost. (Including Government subsidy of 25%)
**Rate of interest:** Normal Bank rate of interest.
**Repayment period:** The repayment Schedule shall be for 5 years after an initial moratorium period of 6 months or the date of commencement of the project whichever is earlier.
**Defaulter:** The applicant should not default in any nationalized bank financial institution / Cooperative bank. Further, a person who has already been assisted under other subsidy-linked Government schemes would not be eligible under this scheme.
**Marketing Support:**
As marketing support for the products produced by Migrants Unemployed Youth Employment Generation Program units, Exhibitions, Buyer-Seller Meet, etc., will be arranged by General Manager, District Industries Centres to promote their products and will be done in coordination with the Unemployed Youth Employment Generation Programme (UYEGP).
**Review &amp; Monitoring:**
The progress of the Scheme will be reviewed by the District Collector at the Banker&#39;s Standing Committee, District Level Co-Ordination Committee (DLCC) / District Level Review Committee (DLRC) meetings conducted periodically with the Bankers. At the State level, the progress of the Scheme will be monitored by the State Level Bankers-Committee (SLBC). The Secretary to Government and Rehabilitation Department will review the progress on a quarterly basis.

Benefits:
Under the scheme, the subsidy @ 25% of the project cost will be sanctioned to the beneficiaries subject to a maximum of ₹2.5 lakhs.

Eligibility Criteria:
1. The applicant should have returned to Tamil Nadu on &amp; after 01-01-2020 due to the Covid-19 outbreak.
   1. The age of the applicant should be between 18 to 45 years in general and for special categories (Women/Minorities/ BC/MBC/SC/ST/Ex-servicemen/Transgender/Differently abled), the age relaxation is up to 55 years.
   1. The applicant should possess a minimum educational qualification of 8th standard pass.
   1. The family income of the applicant should be below ₹5.00 lakh.
   1. The maximum project costs for Manufacturing / Trading / Service projects should be ₹15.00 lakh / ₹5.00 lakh / ₹5.00 lakh respectively.
   1. The applicant’s/promoter’s contribution should be 10% of the project cost for the General category and 5% for the Special Category.