About the Hub
Micro, Small and Medium Enterprises (MSME) plays an important role in the nation’s economy. The development of MSME is critical to meet the national imperatives of financial inclusion and generation of significant levels of employment across urban and rural areas across the country. Further, the sector can nurture and support development of new age entrepreneurs who have the potential to create competitive businesses at global level.
The Government of India envisions entrepreneurship as an integral part of accomplishing rapid and robust economic growth. To ensure, that benefits of growth spread across all sections of the society, especially the marginalized groups including SC/ST entrepreneurs, government is trying to make procurement activities of the public sector to more inclusive and participative.
In this regard, the “Public Procurement Policy for MSEs” of 2012 mandates that central government ministries, departments and public sector undertakings procure minimum of 20 percent of their annual value of goods or services from MSEs. In addition, 20% of such procurement from MSEs, i.e. 4% of total procurement of goods and services shall be made from Micro and Small Enterprises owned by SC & ST entrepreneurs .
Additionally, the Hon’ble Prime Minister also launched Start-Up India initiative, facilitating bank loans aimed at promoting entrepreneurship at the grass root level enabling economic empowerment and subsequent job creation.
To expedite achievement of the policy target, the government has initiated the establishment of the National SC/ST Hub with an aim not only to increase market access and ensure higher participation of SC/ST entrepreneurs in public procurement but also promote creation of new enterprises. Ministry of Micro, Small and Medium Enterprises (MoMSME), has made an initial allocation of Rs. 490 Crore for the period 2016-2020 for the National SC/ST Hub.
The National Schedule Caste Schedule Tribe Hub
The National SC/ST Hub has been set up to provide professional support to Scheduled Caste and Scheduled Tribe Entrepreneurs to fulfil the obligations under the Central Government Public Procurement Policy for Micro and Small Enterprises Order 2012, adopt applicable business practices and leverage the Stand Up India initiative.
The Hub would be implemented by the Ministry of MSME through National Small Industries Corporation (NSIC), a public sector undertaking under the administrative control of this Ministry of MSME.
Features of SCs/STs Hub Scheme
Ministry of Micro, Small and Medium Enterprises (MSME) is implementing a scheme of National Schedule Caste and Schedule Tribes (SC/ST) Hub. The National SC-ST Hub was formally launched by the Prime Minister on 18.10.2016 at Ludhiana, Punjab.
The Hub is set up to provide professional support to SC/ST entrepreneurs to fulfill the obligations under the Central Government Public Procurement Policy for Micro and Small Enterprises Order 2012, adopt applicable business practices and leverage the Stand Up India initiatives.
The functions of Hub include collection, collation and dissemination of information regarding SC/ST enterprises and entrepreneurs, capacity building among existing and prospective SC/ST entrepreneurs through skill training and EDPs, vendor development involving CPSEs, NSIC, MSME-DIs and industry associations including Dalit Indian Chamber of Commerce & Industry (DICCI), promoting participation of SC/ST entrepreneurs in exhibitions and organizing special exhibitions for this purpose, facilitating SC/ST entrepreneurs participating in public procurement and monitoring the progress, etc.
Four special subsidy schemes/programmes have been approved under National SC/ST Hub namely (i) Single Point Registration Scheme (ii) Special Marketing Assistance Scheme (SMAS) (iii) Performance & Credit Rating Scheme and (iv) Special Credit Linked Capital Subsidy Scheme.
The Hub has conducted 37 Special Vendor Development Programmes(VDPs) in which 1447 SC/ST MSMEs participated. Under Special Marketing Scheme, Hub has facilitated the participation of 416 SC/ST MSMEs in 42 domestic exhibitions, 32 MSMEs in 8 international exhibitions and arranged the visit of 40 MSMEs in 4 International Exhibitions. Training programme for capacity building of SC/ST entrepreneurs are also being conducted through select premium academic institutions.
The total estimated budget for the SC/ST Hub Scheme is Rs.490.00 crore for the period 2016-17 to 2019-20. Rs.4.532 crore was the expenditure in 2016-17 under SC/ST Hub Scheme.
This Ministry is implementing a number of schemes for micro, small and medium enterprises(MSMEs) across India including Chhattisgarh like National Manufacturing Competitiveness Programme(NMCP), Prime Minister’s Employment Generation Programme(PMEGP), schemes for Khadi & Village Industries and Coir, International Cooperation Scheme, Performance and Credit Rating Scheme(PCRS), Marketing Assistance and Technology Upgradation(MATU) schemes, Scheme for Credit Guarantee Fund for Micro and Small Enterprises etc. Benefits under these schemes are available to all eligible MSMEs including those belonging to SC and ST entrepreneurs of Chhattisgarh.
In addition to the schemes implemented by this Ministry, the Ministry of Social Justice and Empowerment is also implementing schemes for SC entrepreneurs including the Credit Enhancement Guarantee Scheme for Scheduled Castes(CEGSSC) and Venture Capital Fund scheme for micro, small and medium entrepreneurs. Under Venture Capital Fund for Scheduled Castes, one SC beneficiary viz. Steeledge Pipes and Scaffold Pvt. Ltd. in Chhattisgarh has been sanctioned Rs.383.00 lakh for manufacturing of steel pipes. Ministry of Tribal Affairs is also implementing schemes for self-employment of Scheduled Tribes including term loan scheme and micro credit scheme for self-help groups.
High Powered Monitoring Committee
Minister of MSME is the chairperson of the committee. The committee members are representatives of various stakeholders including states, various ministries, industry associations & SC/ST entrepreneurs.
Advisory Committee
The Chairperson of this committee is Shri Milind Kamble, Chairman, DICCI (Dalit Indian Chamber of Commerce & Industry). This committee would work under the High Powered Monitoring Committee in order to bring the industry and SC/ST entrepreneurs’ perspective to the Hub with the purpose of developing an effective, mutually beneficial relationship between the target group and the Government.
Empowered Project Approval Committee
Secretary, Ministry of MSME chairs this committee. As the Hub is dynamic in nature and would evolve over the envisaged period, requirement of funds for various activities is likely to evolve depending on the emphasis areas or changes in identified focus areas. This Committee would ensure such flexibilities with a view to accommodate changing requirements of SC/ST entrepreneurs.
