SHILLONG: The performance of the Prime Minister’s Employment Generation Programme (PMEGP) scheme has been dismal though the Khadi and Village Industries Commission (KVIC) is still optimistic considering some of the success stories of beneficiaries.
In the state, the scheme is being implemented by KVIC which is the nodal agency, Meghalaya Khadi and Village Industries Board (MKVIB) and District Commerce and Industries (DCIC).
PMEGP scheme is the flagship programme of Union Ministry of Micro, Small and Medium Enterprises, KVIC is the Nodal Agency at the national and the state levels.
Speaking to The Shillong Times, Assistant Director of KVIC Vikram Khandekar said, “In Meghalaya, the performance is not up to the mark, but we are trying our level best with the help of State Government as well as collectors who are working in different districts because this scheme is implemented in the districts. This year we are expecting very good results in this PMEGP scheme,” he said.
When asked, he said the reason for the low performance is due to lack of encouragement to entrepreneurs by banks.
“The banks are not encouraging the entrepreneurs, though it is not their fault, they have to sanction only the bankable project which is viable. People are not refunding the loan. The issue can be resolved by sponsoring good projects and entrepreneurs to the bank,” he said.
Khandekar informed that an entrepreneur has to attend the interview in front of the committee headed by the District Collector. “So we have to approach the District Collector also, we are trying our level best to meet District Authorities,” he added.
As for the performance of PMEGP in 2009-2010, the target for the total number of projects of the KVIC, KVIB and DCIC is 202 while the achievement exceeded the target which is a total of 399. The employment target was 2021 while the achievement was 2167.
However, the data showed a dismal performance in 2010-2011, the targeted total number of projects is 1012 while it has achieved only 305. The target for achieving employment was 6120 while it was able to give employment to only 1609.
In 2017-18, the achieved number of projects is only 75 against a target of 710 projects. The target to give employment was 6880 while the achievement was only 354.
As on October 3, 2018, the 154 projects were disbursed involving Rs 241.54 lakh margin money during 2018-19.
Khandekar pointed out to the monetary benefits arising out of the scheme which is more than Rs 50, 000 crore all over the country and he maintained that KVIC’s association with big corporate names acts as an impetus.
“KVIC has associated itself with big corporates such as Raymond, Arvind Mills, ONGC and tie up with renowned designer, Ritu Beri who is also associated with KVIC,” Khandekar said.
Turning to success stories from the state he said, “One of the unit is getting a turnover of over Rs 1 crore, it is a turmeric unit. I have seen one unit of kaju (cashew) processing in Phulbari, he is a young chap, his turnover is touching Rs 1 crore.”
He informed that KVIC is having research institutes and also sponsoring candidates participating in international exhibitions.
There are many benefits which the KVIC is providing to them.
“Under this programme we are providing loan upto Rs 25 lakh for the manufacturing sector and Rs 10 lakhs for service sector and subsidy is 35 per cent,” he said.
The loan is provided through nationalised banks, Regional Rural Banks (RRBs) and public sector banks and other private banks.
The units are financed by different banks.
KVIC has reached every nook and corner of the country and KVIC has financed units in most remote areas of the country and in the age of digitization, people can upload their applications online on PMEGP portal as well.
“We are organising awareness camps in different parts of the country where the scheme is not popular,” Khandekar said.
