Odisha MSME Development Policy 2022 cleared by cabinet in Indian state

The capital investment subsidy meant for new micro and small enterprises (MSEs) has been extended to both new and existing ones undertaking expansion, modernisation and diversification at the rate of 25 per cent of capital investment made in plant and machineries and the subsidy limit has been enhanced from ₹1 crore to ₹2 crore.

To support growth of MSEs in industrially backward districts of Kalahandi, Nuapada, Bolangir, Subarnapur, Koraput, Nabarangpur, Rayagada, Malkangiri, Kandhamal, Gajapati and Mayurbhanj, in designated IDCO industrial estates or industrial areas along the Biju Express Highway Corridor and enterprises in eight focus sectors, including apparel and textile, an additional capital investment subsidy of 5 per cent of investment made in plant and machinery up to ₹20 lakh over and above the limit prescribed of each of the category will be made available.

The policy also offers reimbursement of 50 per cent of interest paid on term loan availed for a period of five years as interest subsidy subject to a maximum limit of ₹1 crore; electricity duty exemption for MSMEs up to a contract demand of 750 KVA for five years; and subsidy for quality certification for three years at cent per cent of the quality certification charges up to a maximum limit of ₹5 lakh, according to media reports from the state.

ALCHEMPro News Desk (DS)