Central schemes
Central Government and MSME Schemes
PMEGP, CGTMSE-backed credit facilities, the Agriculture Infrastructure Fund and Udyam-related groundwork, assessed alongside the state incentives so the project uses what it is actually eligible for.
Central schemes and the Chhattisgarh state policy are administered separately and each has its own eligibility, documentation and sequence. Some can be used together; others exclude each other, and a unit that has taken one subsidy may be barred from another. We assess the central options as part of the same first-cut note that covers the state incentives, so the promoter sees the whole picture before applying anywhere.
Rates, ceilings, coverage and eligible activities under central schemes are revised periodically. The summaries below describe each scheme's purpose and structure; the figures are confirmed against the current guidelines for each project before we advise.
Prime Minister's Employment Generation Programme
A credit-linked subsidy programme of the Ministry of MSME, implemented through KVIC, KVIB and DICs, for setting up new micro enterprises in manufacturing and service.
- Individuals above 18, self-help groups, trusts, societies and cooperatives setting up a new unit; existing units and units that have taken another government subsidy are generally not eligible.
- Margin money subsidy on the project cost, at rates that vary by the beneficiary category and whether the unit is in an urban or rural area; the balance is bank finance and the beneficiary's own contribution.
- Application through the PMEGP e-portal with a project report, followed by interview, bank sanction, EDP training and release of the margin money to the bank as a lock-in deposit.
- Project cost ceilings apply separately for manufacturing and service units. Rates and ceilings are revised from time to time; we confirm the current values before advising.
Official source: PMEGP e-portal (kviconline.gov.in/pmegpeportal)
Credit Guarantee Fund Trust for Micro and Small Enterprises
A guarantee scheme under which the Trust covers a portion of the lender's loss on eligible credit facilities extended to micro and small enterprises without third-party collateral.
- Eligible micro and small enterprises, through member lending institutions; the lender applies for cover on the facility it sanctions.
- Guarantee cover up to a percentage of the facility amount that varies by borrower category and loan size, within the scheme's ceiling, for an annual guarantee fee.
- The lender appraises the borrower and the project as usual. Guarantee cover is not a loan sanction and does not replace the lender's assessment.
- Ceilings, coverage and fee structures are revised periodically; we check the current circular for each case.
Official source: CGTMSE (cgtmse.in)
Agriculture Infrastructure Fund
A central financing facility for post-harvest management infrastructure and community farming assets, including warehouses, cold storages, sorting and grading units, and primary processing.
- Farmers, FPOs, agri-entrepreneurs, start-ups, cooperatives and private enterprises setting up eligible post-harvest infrastructure.
- Interest subvention on the loan up to a ceiling per project, for a defined period, plus credit guarantee support for eligible borrowers under CGTMSE.
- Application on the AIF portal with a DPR, routed to the lender for sanction; convergence with state schemes is possible subject to each scheme's rules.
- Eligible activities and the list of infrastructure types are defined by the scheme guidelines and should be checked for the specific project.
Official source: Agriculture Infrastructure Fund (agriinfra.dac.gov.in)
Udyam registration and classification
The MSME registration that classifies an enterprise as micro, small or medium on investment and turnover, and is the basis for priority-sector lending, scheme eligibility and various concessions.
- Any manufacturing or service enterprise; registration is free and online on the Udyam portal.
- Classification uses investment in plant and machinery or equipment and turnover, as revised from time to time; the state industrial policy uses its own size thresholds for incentives, which differ.
- Registration precedes most scheme applications, bank concessions and DTIC registration.
- Changes in investment or turnover must be updated to keep the classification correct.
Official source: Udyam Registration portal (udyamregistration.gov.in)
How we assist
- Eligibility check for each scheme against the promoter and the project
- Interaction with the state incentives: what stacks and what excludes
- Project report in the scheme's format
- Portal application and document upload
- Coordination with the lender and the implementing agency
- Training, inspection and disbursement follow-up
- Guarantee cover application through the lender
- Udyam registration, updates and classification queries
Limitations to understand
- Credit guarantee cover is protection for the lender, not a guarantee that a loan will be sanctioned.
- Margin money and interest subvention are released on the scheme's conditions, including lock-in periods and continued operation.
- Having taken one government subsidy can make a unit ineligible for another; this is checked before any application.
- Scheme portals, formats and implementing agencies change; the current process is confirmed at the time of filing.
Check which schemes may apply
Send the project outline and we will map the central and state options together.