MSME Innovative Scheme (Incubation, Design and IPR)
MSME Innovative Scheme (Incubation, Design, and IPR)
Ministry of MSME (Medium, Small, and Micro Enterprises) has launched the MSME Innovative Scheme (Incubation, Design, and IPR) along with the MSME Idea Hackathon on 10th March 2022. It is the combination of existing sub-schemes around incubation, design, and Intellectual Property Rights (IPR) for MSMEs.
Know more about the MSME Registration Benefits in India
The objective of the MSME Innovative Scheme
MSME Innovative Scheme aims to guide the MSMEs in developing business ideas into viable business propositions. Thus the scheme acts as a hub for innovation activities.
Features of MSME Innovative Scheme
The features of the MSME Innovative Scheme (Incubation, Design, and IPR) are as follows:
- MSME Innovative Scheme will help entrepreneurs in developing new ventures.
- This new will also promote and support the untapped creativity of the MSME sector.
- MSME Innovative Scheme will act as a hub for innovation activities facilitating and guiding the development of ideas into a viable business proposition that benefits society directly.
- The scheme will provide support through guidance, financial and marketing assistance, technical support, etc. to ensure the scaling up of MSMEs.
- MSME Innovative is a holistic approach to unify, synergies, and converge three sub-components and interventions with a single purpose.
MSME Innovative Scheme – Incubation:
The incubation component of the MSME Innovative Scheme will help MSMEs in adopting the latest technologies.
The objective of the Sub-Scheme
The primary objective of the scheme is to promote and support untapped creativity and to promote the adoption of the latest technologies in MSMEs
This support is only for those MSMEs that seek validation of their ideas at the proof-of-concept stage.
Certain institutes will be recognized by the government to act as business incubators. Such institutes are called host institutes and they will be provided financial support to MSME units.
As part of this new scheme financial assistance up to Rs 15 lakh per idea and up to Rs one crore for relevant plants and machines will be provided.
MSME Idea Hackathon
As part of the incubation scheme, the government also announced the launch of an MSME Idea Hackathon to invite ideas from MSMEs, innovators, and students through host institutes from March 10 to March 24, 2022
MSME Innovative Scheme –Design
The design component of the Scheme will guide towards solving problems related to the design of the product, both new and existing.
The objective of the Scheme
This sub-scheme of Innovative Scheme aims to bring the Indian manufacturing sector and design expertise/design fraternity onto a common platform.
This scheme aims to provide expert advice and cost-effective solutions on real-time design problems for new product development, its continuous improvement, and value addition in existing/new products.
- ISC Bangalore, IITs, NITs, National Institute of Design, etc. would act as partner institutions.
- As part of the scheme, financial assistance up to Rs 40 lakh for design projects and up to Rs 2.5 lakh for student projects will be provided.
MSME Innovative Scheme – IPR (Intellectual Property Rights)
IPR component of the new Innovative Scheme will deal with measures related to the protection and commercialization of ideas of MSMEs. In this regard, consultation support will be provided. The cost incurred by MSMEs on registration of patent, trademark, geographical indications (GI), and design will be reimbursed.
The objective of the scheme
The objective of the scheme is to improve the IP culture in India with a view to enhance the awareness of Intellectual Property Rights (IPRs) amongst the MSMEs
- To encourage creative intellectual Endeavour in the Indian economy
- To take suitable measures for the protection of ideas, technological innovation, and knowledge-driven business strategies developed by the MSMEs for their commercialization and effective utilization of IPR tools through IP Facilitation Centre
Financial assistance upto Rs 5 lakh for a foreign patent, Rs 1 lakh for a domestic patent, Rs.2 lakh for GI registration, Rs 15,000/- for design registration, Rs.10,000/- for a trademark in the form of reimbursement.
The government also announced equity support of up to Rs 1 crore for the commercialization of ideas, designs, and patents across all three sub-schemes and also to help MSMEs further scale up to raise subsequent funding.
For this, a separate corpus will be created and managed by SIDBI as the fund manager.
To get the official announcement of the MSME Innovation Scheme, click here
Post by Renu Suresh
Renu is experience content writer specialised in compliances and company rules.