Akhilesh Govt in UP to Enhance Subsidy for MSE Units

Akhilesh Govt in UP to Enhance Subsidy for MSE Units

In order to increase the quality of products of SMEs in Uttar Pradesh, the State Government is going to enhance the subsidy element for plant and machinery deployed in units of micro and small scale industries across the state under its technology upgradation mission from Rs.2 lakh to Rs.10 lakh to upgrade quality of products coming out of such units.

Speaking to the members of PHD Chamber of Commerce and Industry at a Seminar on Empowering Enterprises through Technology under the aegis of Chamber here today, GP Goswami, Assistant Commissioner Noida informed that this technology upgradation mission is available even for startups and standups provided these are setting up plants in the micro and small scale segment in which machineries needed to be deployed in the state.

“The government of Uttar Pradesh at higher level has taken this decision which is likely to be notified in next 10-15 days and would benefit those entrepreneurs whose total capital investment in such units does not exceed the limit of Rs.5 crores”, he said.

Goswami, however, further clarified stating that the UP government has no other particular scheme for startups and standups as these are financed through various schemes of the central government through its commercial banks.

Speaking on the occasion, Deputy General Manager, SIDBI, A K Pandey said that the newly launched scheme of the central government, relating to startups and standups, though the SIDBI has been financing them with an interest rates of 5% but the response has been not that encouraging since queuing up of startups and standups for these has yet to happen.

He, however, added that some entrepreneurs have come forward to avail of financing and re-financing advantages under this scheme but it has yet to be evolved into success as startups and standups have to come out with project reports that can satisfy the SIDBI and its technological partner who can fathom the economic viability of such project reports.