Gram Samridhi Yojana

Gram Samridhi Yojana

Gram Samridhi Yojana

Gram Samridhi Yojana has been launched by the Central Government to help the unorganised food processing enterprises focused in rural areas. Under this Scheme, the Government grants a subsidy to small or marginal farmer producer organisations and individual food processors to enhance capacities, performances and strengthening the farm-to-market supply chain. In this article, we look at the Gram Samridhi Yojana in detail.

Objectives of the Scheme

The primary objectives of Gram Samridhi Yojana is to implement entrepreneurship development process with required skills and knowledge in setting up the food processing units besides upgrading technology in existing units, improve management of units and to provide technical support.

Features and Benefits

The below listed are the range of features and benefits of Gram Samridhi Yojana.

  • This scheme means to focus on setting up Common Facility Centers (CFCs) and provide business incubators facilities in rural areas. The incubator will provide the required infrastructure, incubation space and services to support the growth of new food businesses.
  • It will provide support services, equipment and assistance programs to help businessmen/entrepreneur in launching a new product into the market by enhancing the sales and revenue through development.
  • This scheme additionally aims to guarantee an Increase in farmers income and also ensures job opportunities in rural zones, and they are accompanying this plan for food processing ventures.
  • Nearly 25 lakhs of food processing enterprises in the unorganised sector/units to be targeted under this Gram Samridhi Yojana.

Eligibility Criteria

The applicant must fulfil the following conditions to apply for the Gram Samridhi Yojana.

  • Applicant must be an Indian resident.
  • Food processing units and rural area food processing unit are eligible under this scheme

Documents Required

The unorganised food processing units, which constitute the Agro Processing clusters, who will have to furnish their production and concerned registration papers. In case if the applicant has opted for the credit, then the applicant will be charged within 3% to 5% by the Government.

Subsidy

  • A maximum subsidy of Rs. 10 Lakhs is given by the government for each food processing unit. This subsidy provides infrastructure facilities and services to improve the growth of new food businesses. Under this scheme, the government plans for the interest subsidy on loans, if an entrepreneur or businessman has taken a loan from any bank.
  • There is also a provision to extend financial assistance to micro enterprises of about 70,000 units at the maximum of 50% of the eligible project cost subject to a maximum of Rs. 5 lakhs for the expansion and upgradation of their micro-enterprises. There is a provision for getting subsidy on bank interest by 3% to 5%

Application Procedure

Gram Samridhi Yojana can be applied by providing a unit to fill up the applications along with the information of the persons who are ready to avail the benefits of this scheme. The applicants will have to fill in the enrollment forms and submit them to the relevant office. Then the respective department will make the verification process and prepare the beneficiary list. The scheme will run in for a five year period in the states of Uttar Pradesh, Andhra Pradesh, Maharashtra and Punjab. After that, the scheme will be applied to overall India. The clear online application procedure for this scheme will be intimated in the official portal by the government. The state government is more likely to opt for an online application process for the ease of the applicants.

Post by Sinduja Shankar

IndiaFilings is India's largest online compliance services platform dedicated to helping people start and grow their business, at an affordable cost. We were started in 2014 with the mission of making it easier for Entrepreneurs to start their business. We have since helped start and operate tens of thousands of businesses by offering a range of business services. Our aim is to help the entrepreneur on the legal and regulatory requirements, and be a partner throughout the business lifecycle, offering support at every stage to ensure the business remains compliant and continually growing.