The government will begin shortly the process of identifying, selecting and training of 1,000 first-generation entrepreneurs, half of them mandatorily women entrepreneurs, to enable them to start their own enterprises, said R. Balakrishnan, director, Entrepreneurship Development Institute (EDI) of the State government.
Addressing the MSME Conclave 2012, organised by the Confederation of Indian Industry (CII), here on Wednesday, he said the government orders would be issued shortly after which financial allocation would be made.
The government has earmarked Rs. 100 crore in the budget for the New Entrepreneur-cum-Enterprise Development Scheme to be implemented from this fiscal specifically aimed at first-generation entrepreneurs.
Under the scheme, educated youth would be identified, selected and enabled to develop a business plan. There will be a provisional sanction by the district task force committee and by then they would have identified in what they want to invest, Mr. Balakrishnan said.
The applications would be forwarded to banks and the Tamil Nadu Industrial Investment Corporation (TIIC) with capital subsidy at 25 per cent of the project cost, not exceeding Rs 25 lakh, and soft loans with three per cent interest subvention. “Around 1,000 entrepreneurs will be trained each year and at least 50 per cent of the beneficiaries will be women, a first of its kind in the country,” Mr. Balakrishnan said.
“The role of banks will be critical. Our attempt will be to rope them in at an early stage so that they could analyse the project and carry out necessary modification based on the need for equipment for the business,” he said, adding that entrepreneurs would also be linked with major industrial clients.
Rural Industries Minister M.C. Sampath, CII Southern Region Immediate past chairman T.T. Ashok, CII’s MSME sub-committee chairman P. Ganesh and MSME Panel convenor B. Velan spoke at the inaugural function.