BHUBANESWAR: In a bid to enable the MSMEs to face the challenges arising out of the Covid-19 pandemic and recoup their losses, Chief Minister Naveen Patnaik on Tuesday announced a Rs 289.42 crore package including a number of assistance measures such as interest subvention, top-up subsidy, reimbursement of State GST and waiver of annual institutional maintenance charges.
The package aims to benefit a range of entrepreneurs in the MSME sector, mostly women and from weaker sections of society, to overcome the unprecedented crisis resulting from the pandemic. About 1.7 lakh MSME units will reap the benefit of interest subvention under the Emergency Credit Line Guarantee Scheme (ECLGS) with one year moratorium.
Besides, to promote women entrepreneurs, Rs 108.29 crore will be released with a focus to cover 40 per cent eligible MSMEs. The package has also earmarked Rs 27 crore as subsidy for weaker sections as promoters’ contribution under the Prime Minister’s Employment Generation Programme (PMEGP) in 2020-21.Similarly, a provision of Rs 10 crore has been made to cover around 1,000 food processing units by providing 15 per cent extra top-up subsidy. The subsidy would be extended under the Prime Minister’s Formalization of Micro Food Processing Enterprises (PMFME) scheme.
The Covid-19 assistance to be extended by the Panchayati Raj and Drinking Water department will bring relief to nano and micro enterprises. Around Rs 100 crore has been earmarked to be disbursed through women SHG members. The package includes Rs 38.3 crore for reimbursement of State GST from July 1, 2017 to March 31, 2020 to 175 eligible enterprises as per the recently amended Industrial Policy Resolution (IPR) approved by the State Cabinet.
Besides, as per the package around 5,000 MSMEs will not have to pay the annual institutional maintenance charge to the Odisha Industrial Infrastructure Development Corporation (IDCO) for carrying out their operations in various industrial estates. The amount which comes to around Rs 5.83 crore will be borne by the IDCO.