Coir Industry Technology Upgradation Scheme (CITUS)
Coir Industry Technology Upgradation Scheme (CITUS)
The Coir Board is promoting the development of coir industry in the country. The Coir Board has introduced “Coir Industry Technology Upgradation Scheme (CITUS)” which aims at aims at giving away assistance to the entrepreneurs for upgrading and/or procurement of eligible Plant & Machinery for modernization and thereby establishing a new unit that is capable of making an application for the larger investment in the coir sector. The financial assistance provided under this scheme will be set at 25% of the total cost of admissible items of ‘Plant and Machinery’ that are procured by the Coir units. The maximum financial assistance provided under this scheme will be at Rs.2.50 crores per coir unit/project. In this article, let us have a look at Coir Industry Technology Upgradation Scheme (CITUS).
Read: GST rates for Cotton, Yarn, Silk, Wool and Nylon
The Coir Board has released following schemes under Coir Vikas Yojana to promote coir industry. The revised guidelines were released for the below components, and CITUS is the most prominent scheme.
- Science and Technology (S&T)
- Skill upgradation and Mahila Coir Yojana
- Export Market Promotion (EMP)
- Domestic Market Promotion (DMP)
- Trade and Industry Related Functional Support Services (TIRFSS)
- Welfare Measures
Objective of CITUS
The objectives of this component include:
- Providing modern infrastructure facilities to the production units which will result in the improvement of productivity and quality.
- The new generation of entrepreneurs.
- Modernising and improving the existing coir units.
- Supporting and establishing of new ‘State-of-the-Art’ Coir Processing Units.
- Promoting the development and installation of IT, including enterprise resource planning (ERP).
- Spreading the industry to new potential areas of development.
- Promoting the enhancement and utilization of available raw material.
- Creating more employment opportunities especially for women living in rural areas.
- Making the Coir Industry integrated and more competitive by providing modern technologies.
- Achieving the target of a pollution-free coir industry with technological advancements.
- Supporting the production of high-value customer-oriented products and services.
- Facilitating the adoption of eco-friendly production techniques.
Nature of Assistance
The financial assistance provided under this scheme is 25% of the cost of admissible items of ‘Plant and Machinery’ procured by the Coir units for modernization, upgradation or establishing a new unit. The maximum financial assistance will be of Rs.2.50 crores per coir unit/project.
Eligibility for CITUS Scheme
All coir production or processing units that are newly established are eligible to apply for this assistance. All coir production or processing units that are registered with the ‘Coir Board’ under ‘Coir Industry’ (Registration) Rules 2008 and are having ‘Udyog Aadhar’ are eligible to apply for the financial assistance available under this scheme for modernisation.
- Financial assistance should be within the investment limits prescribed for Small and Medium Enterprises under the MSME Act from time to time.
- On submitting the application, the officers of the Coir Board will inspect the unit, verify the documents and finalise the quantum of assistance as per the guidelines.
- The equipment and motors should meet minimum standards of BIS which are prescribed from time to time.
- The upper limit for this assistance is Rs.2.5 crores.
- The machinery/equipment procured can be sourced from the choice of entrepreneurs with a valid invoice with GST details. Machinery can also be imported for which the unit shall substantiate the reason for the import of machinery.
- The suppliers should give a guarantee for at least two years.
- The entrepreneurs should not have availed any financial assistance under Central Government subsidy under PMEGP, CUY, DPI, TUF etc. for the same purpose.
- If the original documents are with banks on hypothecation, the application can be attached with the copies duly attested by the Manager of the bank.
- The selection of beneficiary shall be purely on merits and the rankings given by the “Project Steering Committee.”
Nodal Agency of CITUS
Coir Board, Kochi is the Nodal Agency. The various components of CITUS will be implemented through the Regional/Sub-regional Offices of the ‘Coir Board’. Technical interventions will be provided by Central Coir Research Institute (CCRI) (Kalavoor) and Central Institute of Coir Technology (CICT) (Bangalore) and other such institutes that are engaged in the promotion and development of the coir industry. The main components will be periodically monitored by the Coir Board and the Ministry of Micro, MSME, Government of India.
Application Procedure for the CITUS Scheme
The applicant/beneficiary unit that is seeking assistance under this scheme should file applications online with all relevant details/documents prescribed on the website.
Step 1: Access the official website of ‘Coir Board’ or click on this link to be re-directed to the CITUS scheme webpage of the website.
Step 2: Click on the “Apply Now” button located under the brief description of the CITUS scheme.
The following details need to be filled by the applicant:
- Aadhar card number
- Mobile (For SMS purpose)
- Select a Security Question & answer
- Security PIN
Then click on the “Confirm” button to complete the registration process.
- The filled-in application form
- The certificate issued by a Chartered Accountant
- The certificate by the Coir Unit
On submitting the application, the officers of the Coir Board will inspect the unit, verify the documents and finalise the quantum of incentive as per the guidelines. The acceptance or rejection will be communicated to the applicant within 15 days, and the reason for rejection will be provided from the Coir Board.
Instructions to Follow after Availing the Assistance
- The beneficiary shall not mortgage the assets except to the financial institution/bank from where he had availed the loan for the establishment of the unit.
- The coir unit cannot dispose of the items within a period of 7 years from the date of receipt of assistance.
- To identify machines, embossing/engraving Identification Code (IC) to be done on each plant/machine.
Post by Arnold Thomas
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