Quick Summary
New Guidelines of Micro & Small Enterprises Cluster Development Programme (MSE-CDP) approved
The Government has approved New Guidelines of Micro & Small Enterprises Cluster Development Programme (MSE-CDP), which will be implemented during 15th Finance Commission Cycle(2021-22 to 2025-26). The scheme aims at enhancing the competitiveness and productivity of Micro & Small Enterprises by undertaking interventions such as:
- Common Facility Centers (CFCs): The central government grant will be restricted to 70% of the cost of project from Rs. 5.00 crore to Rs. 10.00 crore and 60% of the cost of project from Rs. 10.00 crore to Rs. 30.00 crore. In case of NE & Hill States, Island territories, Aspirational Districts, government grant will be 80% of the cost of project from Rs. 5.00 crore to Rs. 10.00 crore and 70% of the cost of project from Rs. 10.00 crore to Rs. 30.00 crore. The project for CFC with project cost more than Rs. 30.00 crore shall also be considered but the Government assistance would be calculated by taking into account the maximum eligible project cost of Rs.30.00 crore.
- Infrastructure Development: The central government grant will be restricted to 60% of the cost of project from Rs. 5.00 crore to Rs. 15.00 crore for setting up of new Industrial Estate / Flatted Factory Complex and grant will be 50% of the cost of project from Rs. 5.00 crore to Rs. 10.00 crore for up-gradation of existing Industrial Estate / Flatted Factory Complex. In case of NE & Hill States, Island territories, Aspirational Districts, grant will be 70% of the cost of project from Rs. 5.00 crore to Rs. 15.00 crore for setting up of new Industrial Estate / Flatted Factory Complex and 60% of the cost of project cost from Rs. 5.00 crore to Rs. 10.00 crore for up-gradation of existing Industrial Estate / Flatted Factory Complex. The project for ID with project cost more than Rs. 10.00 crore/15.00 crore can also be considered but the government assistance would be calculated by taking into account the maximum eligible project cost of Rs. 10.00 crore/15.00 crore.
The New guidelines of MSE-CDP are available on the website of the Office of DC(MSME).
FAQ :
MSE-CDP stands for Micro & Small Enterprises Cluster Development Programme, a scheme designed to enhance the competitiveness and productivity of micro and small enterprises.
The new guidelines will be implemented during the 15th Finance Commission Cycle, which runs from 2021-22 to 2025-26.
The programme supports interventions such as the establishment of Common Facility Centres (CFCs) and infrastructure development, including new industrial estates and upgrading existing ones.
For CFCs, the central government grant is typically 70% for projects costing Rs. 5-10 crore and 60% for projects costing Rs. 10-30 crore. Higher percentages apply for NE & Hill States, Island territories, and Aspirational Districts.
For infrastructure development, the grant is 60% for new industrial estates (Rs. 5-15 crore) and 50% for upgrading existing ones (Rs. 5-10 crore). NE & Hill States, Island territories, and Aspirational Districts receive higher grant percentages.
The new guidelines are available on the website of the Office of DC(MSME).
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