Coir Udyami Yojana (CUY)

Coir Udyami Yojana (CUY) is a credit-linked subsidy scheme introduced by the Government of India to establish coir units. Coir industry is an evolving industry in India, especially in the southern parts of the country where numerous factories produce various coir products. The primary role of the Coir Board is to enhance its production and promote the products in the global market. The Coir Board launched the Coir Udyami Yojana scheme to assist micro and small-scale industries in the coir industry.

Objectives of Coir Board

• To incorporate modern technology in Coir Industry for the production and processing of coir and coir products • Update the production and processing technology to improve the productivity and product diversification. • To create employment opportunities in the rural areas of the States /Union Territories producing coconut.

Coir Udyami Yojana Eligibility

Any coir project with a project cost up to 10 lakhs along with the working capital, which does not exceed 25% of total cost is acceptable for this scheme. In addition the following criteria must be fulfilled:

This scheme can be availed only by the projects that come under coir sector, i.e., projects that manufacture coir fiber products.
Applicant should be an Indian citizen above 18 years of age.
There is no income ceiling to set up a project under this scheme.
Individuals, Companies, Non-Governmental Organizations, Institutions registered under Societies Registration Act 1860, Production Co-operative Societies, Joint Liability Groups and Charitable Trust can apply to benefit from this scheme.

Amount of Subsidy

The scheme offers financial assistance in the following pattern. However, the working capital is not considered for subsidy.

Rate of Subsidy (of project cost) provided by Government of India	40%
Bank credit	55%
Beneficiary’s contribution for project	5%

Coir Udyami Yojana Application Procedure

Filling up the application form involves the following phases.

Phase 1: New Login Registration

Registered users can only login to apply for this scheme. For a new registration, click ‘New Login Registration.’ Provide necessary details.

CUY New Registration

Username and password will be intimated by SMS with which one can login to fill the online application form.

Phase 2: Beneficiary registration

Common details of the beneficiary are furnished here.

Phase 3: Selection of the Scheme: Coir Udyami Yojana and Submit the Application

Select the scheme and fill in the application form. Submission of the documents will go along with the uploading of scanned documents at appropriate places.

The documents required are mentioned below Beneficiary Registration

1. Photograph in JPEG format. 2. Copy of PAN Card 3. MSME Registration Certificate 4. Community Certificate (In case of SC/ST) 5. Company Registration Certificate (If not individual)

Coir Udyami Yojana Scheme

1. Training certificate 2. Project Report 3. Title deed 4. Plan & Estimate 5. Machinery Invoice On receiving the application form, the bank shall intimate the beneficiary about the sanction within 60 days. The bank sanctions 95% of the project cost after the beneficiary depositing the 5% contribution. The contribution should be made within 30 days of receiving the sanction letter. All the Scheduled Commercial Banks and all Regional Rural Banks provide this financial assistance. The rate of interest for the loans shall be in equivalence with the base rate. Repayment should be made within 7 years.

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Frequently Asked Questions

Common questions about Coir Udyami Yojana: Credit.

The Coir Udyami Yojana (CUY) is a credit-linked subsidy scheme introduced by the Government of India to assist in establishing coir units or projects in the coir industry. It aims to promote and enhance the production of coir and coir products, particularly in the southern parts of the country where the coir industry is prominent.

Individuals, companies, non-governmental organizations, institutions registered under the Societies Registration Act 1860, production cooperative societies, joint liability groups, and charitable trusts can apply for the Coir Udyami Yojana. The applicant should be an Indian citizen above 18 years of age, and the project cost should not exceed ₹10 lakhs, with the working capital not exceeding 25% of the total cost.

The Coir Udyami Yojana offers a subsidy of 40% of the project cost, excluding the working capital. The remaining cost is divided between a bank credit of 55% and the beneficiary's contribution of 5%.

To apply for the Coir Udyami Yojana, you need to register for a new login on the scheme's website, provide the necessary details, and then fill out the online application form. You will be required to upload scanned documents such as a photograph, PAN card, MSME registration certificate, community certificate (if applicable), company registration certificate (if not an individual), training certificate, project report, title deed, plan and estimate, and machinery invoice.

The documents required for the Coir Udyami Yojana application include a photograph, PAN card, MSME registration certificate, community certificate (for SC/ST), company registration certificate (if not an individual), training certificate, project report, title deed, plan and estimate, and machinery invoice.

All scheduled commercial banks and regional rural banks provide financial assistance under the Coir Udyami Yojana. The rate of interest for the loans will be equivalent to the base rate.

The repayment period for the loan under the Coir Udyami Yojana is 7 years.

No, the Coir Udyami Yojana is specifically designed for establishing new coir units or projects in the coir industry. Existing coir units or projects are not eligible for this scheme.

No, there is no income ceiling specified to set up a project under the Coir Udyami Yojana.

The maximum project cost eligible for the Coir Udyami Yojana is ₹10 lakhs, including the working capital, which should not exceed 25% of the total cost.