Over 2,800 MSME units reap profit from Credit Linked Capital Subsidy Scheme

NEW DELHI: The Credit Linked Capital Subsidy Scheme (CLCSS), which provides technology upgradation assistance to the SMEs, has so far benefitted more than 2800 MSME units during the current fiscal.

All entities, including sole proprietorship, partnership, cooperative, private and public limited companies in the Micro and Small Enterprises sector, are eligible for the scheme. The maximum limit of eligible loan for SMEs under the scheme is Rs 1 crore. It comprises a subsidy rate of 15 per cent.

Union Cabinet Minister for Micro, Small and Medium Enterprises, Mr Virbhadra Singh, informed Lok Sabha, that 2842 MSME units have been benefitted under CLCSS in 2012-12 (as on March 22, 2012), with Gujarat having the highest number of beneficiaries (767), followed by Karnataka (380) and Maharashtra (309).

Mr Singh, said, “Industries graduating from small scale to medium scale on account of sanction of additional loan under CLCSS are also eligible for assistance. The Scheme applies to projects where term loans have been sanctioned by the eligible Primary Lending Institutions (PLI) on or after September 29, 2005. Machinery purchased under Hire Purchase Scheme of the National Small Industries Corporation Ltd. (NSIC) is also eligible for subsidy under this Scheme.”