PMEGP SCHEME

(Prime Minister`s Employment Generation Programme)

MANUFACTURING SERVICE /
Maximum Project Cost BUSINESS
RS.50.00 LACKS Rs.20.00 LACKS
Subsidy Limit of Project cost Rs.50.00 Lacks Rs.20.00 Lacks
Project Cost above Limit Bank Finance up Bank Finance up
to 1 Crore to Rs.25.00 Lacks

SUBSIDY AND PROMOTERS CONTRIBUTION / CAPITAL

Categories of Beneficiaries Beneficiary Rate of SUBSIDY of

Under PMEGP NEW UNITS contribution/ PROJECT COST
Capital
Investment in
Project cost
LOCATION OF PROJECT URBAN RURAL
General Category 10 % 15 % 25%
Special Category
SC,ST,OBC, Minorities, Women, Ex-
Servicemen, Transgender, Differently 5% 25 % 35%
aided Hill and Border area notified by
Government
1. Bank Loan 90% or 95 % of Sanctioned Project cost
2. Repayment Period 3 to 7 Years. Bank finance in form of TL and CC

2nd Loan of PMEGP existing Units for up gradation

Categories of Beneficiaries Beneficiary Rate of SUBSIDY of

Under PMEGP EXISTING UNITS contribution/ PROJECT COST
Capital
Investment in
Project cost
ALL Categories 10 % 15 %
Project Cost for up gradation Limit Rs.1.00 Rs.25.00
Crore Lacks
Project cost exceeding above without Bank Bank
subsidy finance finance
TERMS AND CONDITIONS
1. Margin Money/ Subsidy claimed under PMEGP be successfully adjusted on
completion of lock in period of 3 years.
2. First Loan under PMEGP has to be repaid successfully within stipulated time.
3. The Unit is PROFIT making with good Turnover and having potential for
further growth in Turnover and PROFIT for modernization and up gradation
 of technology
Eligibility

1 Any Individual above 18 Years One Person from One family. Family means SELF
and SPOUSE
2 Education Qualification Minimum X Standard
3 No Income ceiling limit for assistance for setting up PMEGP Units
4 Assistance / subsidy for NEW PROJECTS only
5 Existing units availed subsidies under PMRY REGP from Central or State
Government NO ELIGIBLE
6 Cost of LAND should not be included in Project cost.
7 Cost of ready built shed lease or rent be included for 3 years only
8 TRADING ACTIVITIES
1. Retail Outlets Business selling Khadi village industry products procured
from Khadi and village industry units certified by KVIC and products
manufactured by PMEGP units and units SFURTI clusters only be
permitted under PMEGP across the Country.
2. The maximum cost of Trading/Business activities above is Rs.20.00 lacks
at par with maximum Project cost for Service sector.
9 TRANSPORT ACTIVITIES
1. Purchase of CAB/VAN for transportation of Tourists or General Public will
be allowed with a celing of 10 % of cost of Project financed under
transport activities

Required Documents :

1. Adhar Card .and PAN

2. Photo
3. Caste Certificate if applicable
4. Educational Qualifications Certificate copy Minimum 10 th Class to Higher
5. Machinery Quotations
6. House Tax Receipt if on land or Building OWN or Lease Agreement with House
Tax Receipt of Owner of Property in case Rented for setting up Unit
7. Population Certificate

For further clarification and Project Repot Preparation and Subsidy Please Contact for
above

MOCHERLA RAVI SHANKAR

Mobile and Watsup +91 96424 52435
Mobile : +91 9490657235
E Mail : ravimocherla6@gmail.com