Ministry of MSME Rural Industrial Revival Initiatives
The Ministry of Micro, Small & Medium Enterprises has implemented comprehensive measures to upgrade processing, packaging, and marketing of local products and traditional handicrafts while reviving traditional village industries to prevent youth migration and generate sustainable local employment.
Marketing and Digital Support Initiatives
Under the Procurement and Marketing Support (PMS) Scheme, financial assistance is provided to eligible Micro and Small Enterprises for participation in domestic trade fairs/exhibitions, Vendor Development Programmes, National Workshops/Seminars, barcode registration, and adoption of e-commerce platforms including MSME Global Mart. This specifically targets products such as orthodox tea, ginger, cardamom, and traditional handicrafts. Micro and small enterprises are being registered under the MSME TEAM (Trade Enablement and Marketing) initiative to expand market reach and strengthen digital credibility through onboarding onto Open Network for Digital Commerce (ONDC). The Khadi and Village Industries Commission (KVIC) provides marketing support through sales outlets and regularly arranges exhibitions and workshops for KVI sector beneficiaries. An e-commerce portal (https://www.ekhadiindia.com) has been developed as a digital marketplace for global sales of Khadi and Village Industries products.
For food processing sector promotion under the Vocal for Local Initiative, the PMFME Scheme adopts the One District One Product (ODOP) approach to select, brand, and promote at least one product from each district. The scheme provides financial, technical, and business support for upgradation of micro food processing enterprises, including technology upgradation, common infrastructure, branding & marketing, packaging, quality standardisation, food safety compliance, and market linkages.
Employment Generation and Rural Revival Programs
Under the Prime Minister's Employment Generation Programme (PMEGP), approximately 80% of total units assisted during the last five years have been in rural areas. Significant enhancements include increasing maximum project cost from ₹25 lakh to ₹50 lakh for manufacturing sector and from ₹10 lakh to ₹20 lakh for service sector. Special category eligibility for higher subsidy has been extended to applicants from Aspirational districts and transgender individuals. The Ministry has established PMEGP Helpdesks at State Offices for real-time assistance and made available over 1,000 Model Detailed Project Reports on various industries on the PMEGP portal.
Critical banking reforms include RBI Master Directions mandating no collateral security for loans up to ₹20 lakh, with strict compliance reemphasized to all financing banks. The Ministry conducts periodic review meetings with Implementing Agencies including KVIC, State KVIC offices, State Khadi and Village Industries Boards (KVIBs), State District Industries Centres (DICs), and financial institutions. Extensive awareness programs cover all States/UTs including backward areas, Aspirational districts, and North Eastern Regions, along with financial literacy camps conducted by banks.
Skill Development and Traditional Trade Support
The PM Vishwakarma scheme provides credit, skilling, and toolkit support to artisans and craftspeople across 18 traditional trades: Carpenter, Boat Maker, Armourer, Metal Artisan, Tool Kit Maker, Locksmith, Goldsmith, Potter, Sculptor/Stone Worker, Cobbler/Footwear Artisan, Mason, Basket/Mat/Broom Maker, Toy Maker (Traditional), Barber, Garland Maker, Washerman, Tailor, and Fishing Net Maker.
KVIC imparts skill development training to unemployed youth in disciplines including Khadi Spinning and Weaving, bakery products, beauty parlour, decorative items, soap and detergents manufacturing, bee-keeping, stitching, embroidery, Agarbatti making, candle making, Teracotta products, kulhad making, pulses processing, Achar making, and Papad making. Selected entrepreneurs and artisans producing unique quality products receive financial assistance for international exhibition participation.