Centre gives nod to new guidelines for MSME Cluster Development Programme

New Delhi, May 27 (KNN) The central government has approved the fresh guidelines for Micro & Small Enterprises Cluster Development Programme (MSE-CDP) for 2021-22 to 2025-26 which aims at enhancing the competitiveness and productivity of micro & small enterprises.

Under the Common Facility Centers (CFCs), the central government grant will be restricted to 70 per cent of the cost of project from Rs 5 crore to Rs 10 crore and 60 per cent of the cost of project from Rs 10 crore to Rs 30 crore, said the MSME Ministry on Friday.

However if the centre is in NE & Hill States, Island territories, Aspirational Districts, government grant will be 80 per cent of the cost of project from Rs 5 crore to Rs 10 crore and 70 per cent of the cost of project from Rs 10 crore to Rs 30 crore.

Consideration will also be given to project for CFC with cost more than Rs 30 crore but the government assistance would be calculated by taking into account the maximum eligible project cost of Rs 30 crore.

For infrastructure development the grant will be restricted to 60 per cent of the cost of project from Rs 5 crore to Rs 15 crore for setting up of new Industrial Estate / Flatted Factory Complex and grant will be 50 per cent of the cost of project from Rs 5 crore to Rs 10 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 per cent of the cost of project from Rs 5 crore to Rs 15 crore for setting up of new Industrial Estate / Flatted Factory Complex and 60 per cent of the cost of project cost from Rs 5 crore to Rs 10 crore for up-gradation of existing Industrial Estate / Flatted Factory Complex.

The project for industrial development with project cost more than Rs 10 crore/15 crore can also be considered but the government assistance would be calculated by taking into account the maximum eligible project cost of Rs 10 crore/15 crore.  (KNN Bureau)