Document text
Revised Guidelines of
Khadi Vikas Yojana
1
Sr.
No.
Content
Page No.
Introduction
01
Modified Market Development Assistance (MMDA)
5-8
02
Interest Subsidy Eligibility Certificate Scheme
09-1'8
03
Khadi Artisans Workshed Scheme
19-21
04
Strengthening
of
Infrastructure
of
Existing
weak
Khadi
Institutions
& Assistance for Marketing Infrastructure
22-.26
05
Centre of Excellence for Khadi (CoEK)
27-28
06
Khadi Quality Assurance
29-34
07
Marketing Promotion (Exhibitions)
35-38
08
Science & Technology (S&T)Scheme
39-43
09
List of abbreviations
44
10
Glossary
45
2
Revised
Guidelines
of Khadi Vikas Yojna (KVY)
lntroduction
Gandhiji
envisioned
Gram
Swaraj through
the development
of Khadi and
Village Industries.
Khadi and Village Industries
Commission (KVIC),the nodal
arm of Govt. of India in rural industrialization,
strives to improve the socio-
economic
conditions
of the
rural
population
through
a host
of schemes
providing support to the non-farm Sector for its all-round development. Such
supports
include financial assistance
to enhance
skills, upgrade
technology,
expand the market,
augment
the entrepreneurs/artisans'
capacity and their
group, and establish linkage with banks for ava.iling requisite capital.
KVIC,as part of its commitment to rural industrialization,
has been assessing
rural resources
and formulating
plans,
programmes,
and schemes
for their
most effective and balanced utilization, thereby helping the rural workforce to
earn
a sustainable
livelihood, either
self-employment
or wage employment,
through establishing
micro-industries
in the hinterland
of the country, at very
low per capita investment. The growth of the Khadi and Village Industries
(KVI)
Sector has continued unabated,
with the catalytic support of KVIC.
Govt. of India,
Ministry of MSME, has
formulated
various
developmental
schemes for implementation
through KVIC.These schemes primarily focus on
employment
generation,
productivity,
wage enhancement,
and social welfare
security of artisans.
Khadi Gramodyog Vikas Yojana:
In the past,
the Khadi and Village Industries
sector had various
separate
schemes developed to meet the Sector's needs. As a part of rationalization,
the
Ministry has merged different existing KVI schemes under a umbrella scheme
of "Khadi Gramodyog
Vikas Yojana" has
two major
components
for the
development of KVIprogramme.
I.
Khadi Vikas Yojana- wherein
the activities
earlier carried
out under
Khadi are grouped and
II.
Gramodyog Vikas Yojana-wherein the activities earlier carried out under
different village industries
are grouped.
Objectives
of the Khadi Vikas Yojana:
•
Increase
productivity
and
wages
of Khadi
artisans
& secure
livelihood.
•
Increase number of artisans
•
Improve infrastructure
for Khadi production
•
Increase Khadi production and sales
•
Renovate &modernize sales outlets
•
Promote Marketing and Exports
3
Components
of Khadi Vikas YoJana:
1. Modified Market Development Assistance (MMDA)
2. Interest Subsidy Eligibility Certificate scheme (ISEC)
3. Work-shed Scheme for Khadi artisans
4. Strengthening
of the infrastructure
of existing weak Khadi institutions
and assistance
for marketing infrastructure
5. Centre of Excellence for Khadi
6. Khadi Quality Assurance
7. Marketing Promotion (Exhibitions)
8. Science & Technology (S&T)Scheme
******
4
1. Modified Market Development
Assistance
A.
Introduction
Ministry of MSME introduced
expand MPDA scheme in which MMDA was a
part
of it and
implemented
from 3rd Quarter
of 2016-17.
The MPDA was
subsequently
brought
under
Khadi Gramodyog
Vikas Yojana (KGVY)from
2018-19 onwards.
B.
Objectives
The MMDAaims for technology up gradation,
engaging design consultants
for
developing the new products,
value addition by adopting latest technologies in
the
post
fabric
stage/process,
modernization
&computerization
of sales
outlets,
introduction
of
mobile
sales
van,
engaging
external
marketing
consultants,
extension
of sales
discount,
capacity
building
of the
sales
personnel
and
incentives
to
artisans
&
Karyakartas
thereby
improving
production & sale of Khadi.
C.
Eligible Entities for Mmda
The Khadi Institutions
(Kls) affiliated/
registered with KVIC, State/UT
KVIBs,
State /D'I'
KVIB units
holding
valid
Khadi/Polyvastra
and
Khadi
Mark
Certificate and whose annual budget duly approved by KVIC.
D.
Financial Assistance
1.
Modified
Market
Development
Assistance
(MMDA)
for
Cotton/Muslin,
Wool and Polyvastra shall be calculated
@ 35% on
Prime Cost (cost of raw material
+ conversion charges up to grey
cloth
+
processing
charges),
excluding
margin
[establishment
expenditure
(25%)· and
trading
(3%), insurance
(1%) & bank
interest (4%)].
11.
Modified Market Development
Assistance
(MMDA)for Silk Khadi
shall be calculated
@ 20% on Prime Cost (cost of raw material
+
conversion
charges
up
to
grey
cloth
+
processing
charges),
excluding
margin
[establishment
expenditure
(25%) and trading
(3%), insurance
(1%) & bank interest (4%)].
111.
Production
of Khadi and Polyvastra
products
for the purpose
of
Government supplies under Rate Contract (RC)to be made against
the wholesale
target
approved
by Standing
Finance
Committee
(SFC) are
not
eligible for MMDA. However, only artisans
and
Karyakartas
of those
KIs engaged
in production
and
supply
in
Govt. supply / Rate Contract will be eligible for MMDAincentive @
17.15% on prime cost. (35-;-100x49).
5
IV.
The MMDAwill be paid on Prime Cost of regulated
Cost Chart
mechanism. Sale price of Khadi and Khadi products fully de-linked
from the regulated cost chart mechanism and Khadi products can
be sold at market linked prices.
v.
The MMDAwill be released on quarterly basis to KIs as per the
approved target through online portal.
E.
Disbursement
of MMDAamong Stakeholders
1.
The quantum
of MMDAshall be distributed to the KIs of Cotton/
Woolen Khadi & Polyvastra-(i) producing institutions
(34%), (ii)
Selling institutions
(17%), (iii) Artisans (35%) & (iv) Karyakartas
(14%). Where a Khadi institution
is involved both in production
and selling activities, the amount of assistance shall be 51% of the
MMDA,which will be utilized for the purpose, enumerated
under
1.1 and 1.2.
11.
The quantum
of MMDA shall be distributed
to the Kls of Silk
Khadi- (i) producing
institutions
(40%), (ii) Selling institutions
(20%), (iii)Artisans (30%) & (iv)Karyakartas (10%). Where a Khadi
institution is involved both in production and selling activities, the
amount of assistance
shall be 60% of the MMDA,which will be
utilised for the purpose as enumerated under 1.1 and 1.2.
F.
Utilization
of MMDAby various Stakeholders
1.1
Producing
Khadi Institution
(for production
growth/increase
in No.
of Artisans):
1.
The producing
institutions
shall utilize their
entitled
MMDA for
procuring tools & equipment / up-gradation of technology.
11.
Engaging designers & consultants
for improving the existing designs
and introduction of new designs and latest fashion.
111.
Value addition to post fabric process.
IV.
Engaging technicians
for maintenance
of Charkhaa/
Looms/
and
other equipment.
v.
This is an indicative list and Kls may take up any other initiative
activities related to Khadi Production.
1.2
Sellin.g Khadi Institutions
(for sales growth/
reduction
of Stock)
1.
The. selling Institutions
shall utilize their entitled MMDAfor all sales
promotional activities
by way of introduction
of computerization/
bar-coding/
billing/ debit / credit card swiping machine, accounts,
renovation of sales outlets.
11.
Introduction
of mobile sales
van,
participation
in domestic
and
international exhibitions.
111.
Extension of sales discount/
discount on whole sales for clearance of
stock.
6
IV.
Capacity building of sales personnel.
v.
This is an indicative list and KIs may take up any other innovative
activities related to Khadi Sales.
1.3
Quantum of incentive
to Artisans and Karyakartas
1.
35% of total MMDA amount
shall be passed
on to the spinners
&
weavers and
14% of total MMDAshall be passed on to Karyakartas
engaged in the production/
sales
activities of Cotton, Woolen, &
Polyvastrain the form of incentive or bonus through their bank/
post
office accounts.
11.
30% of total
MMDA amount
shall
be passed
on to the reelers/
twister / winders & weavers and 10% of total MMDAshall be passed
on to 'Karyakartas
or maximum ceiling of Rs. 10,000/-
per quarter
per Karyakartha,
whichever is less under Silk Khadi, in the form of
incentive or bonus through their bank/ post office accounts.
111.
The incentives of the Artisans as well as Karyakartas
are to be paid
through
Aadhar
seeded bank
/ post office accounts
only through
Direct
Benefit
Transfer
(DBT) by
Khadi
and
Village Industries
Commission.
G.
Monitoring and Evaluation
1.
The
KVIC will
ensure
proper,
effective
utilization
of
financial
assistance under the scheme by applying necessary checks & balances
from time to time. The Khadi Institutions
has to furnish quarterly/
annual Utilization Certificate as per Annexure-I.
11.
An officer of Group-A/Class-1
of State/
Divisional Office /
Zonal
office/Central Office may conduct random verification.
111.
KVIC shall evaluate the scheme both at midterm and at the end of
Finance Commission Cycle.
IV.
KVIC maintains
on-line portal for disbursement
of MMDA through
Direct Benefit Transfer (DBT)as per the procedure in vogue.
v.
Nodal Officer /
Directorate:
Directorate
of Khadi, KVIC, Mumbai-
Phone nO.022-26714325
*******
7
(ANNEXURE-I'
DETAILS OF UTILISATION STATEMENT OF MMDA GRANT
1.
Name
of
Institu tion /
Board
Code No.
2.
Year
of
MMDA
claim
3.
Quarter
(I / II / III/IV)
4.
Receipt
of
total
MMDA
a)
MDA
earned
on
Rs..........................
prime cost
b)
MMDA earhed
on
Rs............. .,............
purchases
Total
Rs............. .,............
UTILIZATION OF MMDA
Sr.
Details
of utilisation
of MMDA
Amount
No.
Grant
(Rs.)
I
Utilisation
towards
Product
development (as per 3. 1 of OM dated
-------------)
II
Towards Market Development
(as per
3. 2 of OM dated ------------)
Total
(In case of composite institutions
they may furnish U.C. for I & II and in case
of marketing institutions
they may furnish U.C. for II above).
Chartered
Accountant
Signature
of Secretary
with seal
Note:
Quarterly
UCs shall be furnished
by KIs and annual
UCs shall
be
furnished by Chartered Accountant
(CA).
*****
8
2. Interest
Subsidy Eligibility Certificate
Introduction:
The Government ofIndia vide their letter No.4 (47/75-KVI (I)dated 17-5-1977 have
approved a comprehensive interest subsidy scheme for institutional
financing of
the Khadi and Village Industries Programme.
1. The Interest Subsidy Scheme shall be applicable to the following types of
loans from institutional financing agencies.
(i)
Loans raised by the Khadi and Village Industries
Commission (KYIC)for
disbursement
as capital investment and working capital loans to:
(a) A State Khadi and Village Industries Board:
(b)A registered
Institution:
A registered institution
means
an institution
registered under the Societies Registration Act 1860 (21 of 1860) or under
any other law for the time being in force in any State.
(c)ACo-operative Society: A co-operative society means, a society registered
under the Co-operative Societies Act 1912 (2 of 1912) or under any Co-
operative law for the time being inforce in any State. This includes the
industrial co-operative societies, the service co-operative Societies and the
block level multi-purpose co-operative societies.
(d)A trust created for public purposes of a charitable or religious nature.
(ii)
Loans raised by the Khadi and Village Industries Commission for purchasing,
stocking and distribution
of raw materials to registered institutions
and co-
operative societies and for the production and sales activity undertaken
by
the Commission departmentally.
(iii)
Loans
raised
by
the
State
Khadi
and
Village Industries
Boards
for
disbursement
of capital investment and working capital loans to institutions
/ co-operative societies / individual artisans
or to meet requirements
of its
departmental
activities connected with the production and sales of Khadi and
Village Industries products.
(iv)
Loans raised by the Registered Institutions
to meet their capital investment
and working capital needs.
(v)
Loans raised by the co-operative societies to meet their capital investment
and working capital needs.
2. The interest
subsidy
will be admissible
on
the
funds
raised
for the
development of Khadi and Village Industries,
as specified in the schedule of
village industries
in the KVICAct.
The industries
which may be specified
from time to time in pursuance
of Notification under Section 3 of the said
Act also will qualify for the interest subsidy.
9
-- ---------------------
3. Financial
Institutions
will include all the scheduled
and non-scheduled
banks (including the State Bank of India and its subsidiaries, nationalized
banks
and co-operative banks).
State Financial
Corporation,
Industrial
Development Bank of India and
other
financial
institutions
which are
created;
registered under Act of Parliament or State Legislatures.
4. The quantum of subsidy shall be limited to the difference between the actual
rate of interest charged by the financing institutions and 4 (four) percent to
be borne by the borrower. If at any stage interest rate charged by the Khadi
and VillageIndustries Commission is modified, the quantum of subsidy shall
be limited to the difference between the rate of interest
charged by the
financial institutions and such modified rate of interest.
5. The scheme shall be implemented in the followingmanner.
(i)
At the time of sending budget proposals to the budget section of field
offices under KVIC, the institution
aided with State Khadi and Village
Industries
Boards
will indicate
separately
funds
likely to be made
available to them from the banks industry-wise, purpose wise and also
institution wise. As regards the directly aided institutions
; co-operative
societies, similar information will be sent by the concerned institutions
;
co-operative societies to the concerned State;
Divisional Directors of the
Khadi and V.I. Commission, before the budget discussions are held.
(ii)
After the receipt of the above information by the budget section of the
Commission ; State; Divisional Directors of the Commission, discussions
will be held at the time of Annual Budget discussions with the concerned
State Boards;
Institutions;
co-operative societies and the programme for
the institutional financing will be finalized. After the discussions are held
by the State;
Divisional Directors or at the H.O. of the Commission
proposals of directly aided institutions,
co-operative societies as well as
board aided institutions etc. will be sent to the Zonal Dy. CEO's approval
and to concerned industry;
programme directors who will place their
proposals before SFC for its ratification.
(iii)
After the proposals
are approved by the Zonal Dy. CEO's, the Bank
Finance Cell will receive copies of the approval of the Zonal Dy. CEO's,
only such
DAl's ;
BArs whose names
are included
in the approval
accorded by the Zonal Dy. CEO's will qualify for issuing interest subsidy
eligibility from the Commission.
(iv)
On the basis of the limits approved by the Zonal Dy. CEO's in respect of
bank borrowings for different purposes
the Bank Finance Cell in field
offices under
KVIC will issue interest
subsidy eligibility certificates in
favour of the
concerned
State
Boards
;
Institutions
;
co-operative
societies etc. aided by KVIC; KVIBas per format-I (B).
(v)
In respect of institutions
and co-operative societies working under the
State
Boards,
the
State;
Divisional Directors will issue
the
Interest
Subsidy eligibility certificates for borrowings by these agencies from banks
within the limits indicated in the Interest Subsidy Eligibility Certificate
issued in their favour by the commission under Para (iv)above.
10
(vi)
The Interest Subsidy Eligibility certificate to be issued by the Commission
"
would be signed by the Chief Executive Officer of the Commission or he/
she may delegate powers to the Dy. Chief Executive Officer (K),Dy. Chief
Executive
Officer (V.I.) or
State/
Divisional
Directors
under
KVIC,
communicates that the Interest Subsidy Eligibility Certificate to be issued
by the State Boards in respect of institutions and societies/working under
them
should
be
signed
by
their
C.E.O./Secretary/Executive
Officer/ Administrator,
otherwise State/
Divisional Directors issues ISEC
for both DAl's/ BAl's as per format-1 (A)& 1(B)
(vii)
On the strength
of the Interest
Subsidy Eligibility Certificate the State
Board/institutions/co-operative
societies etc., will negotiate
with their
bankers for the required financial accommodation.
(viii) The final decision to accept or reject any loan application from eligible
borrowers will vest with the banks.
However, in case the banks
reject
some applications they may indicate to the Commission/the
State Board
the reasons for rejecting the loan applications.
(ix)
The Commission will have no liability of any kind either in respect of the
principal amount
of loan or payment of 4 per cent (or at revised rate)
interest to be borne by the borrowers for which interest subsidy eligibility
certificate has been issued by the Commission, or by KVIB. Its liability
shall restricted only to the extent of payment of interest subsidy as per
scheme.
(x)
The concerned
institutions/State
Boards
will inform the
Commission
about the amount sanctioned by the banks in each case, the terms and
conditions (about the rate of interest, the tenure of loan etc.) on which
such amount are sanctioned and the position about the release/ drawl of
funds against such sanctions as soon as the loans/limits
are sanctioned
by the banks and availed by the institutions/ State Boards etc.
(xi)
In respect of directly aided institutions
(including State Boards) the banks
shall advise the Commission about the sanction
and disbursement
of
loans to the borrowers in respect of whom the interest subsidy eligibility
certificates are issued by the Commission giving reference to the Interest
Subsidy Eligibility Certificate issued by the Commission.
(xii)
In respect
of the
institutions
and
co-operative
societies
whose
loan
applications have been recommended by the State Khadi & V.1. Boards,
the banks shall advice regarding the sanction and disbursement
of loans
to such borrowers to the concerned State Khadi and V.1.Boards.
(xiii) The bank
will advise to the Commission/State
Boards
sanction
and
disbursement
of loans (vide Para xi and xii) in Form No.2.
(xiv) The State Khadi and V.1. Boards, the State/
Divisional Directors of the
Commission and the Khadi and V.1. Commission, Mumbai will maintain
interest subsidy claim register in Form No.3, industry-wise.
11
(xv)
In respect of institutions
(including State Boards) whose interest subsidy
eligibility certificates
are issued
by the Commission,
the banks
shall
submit their interest subsidy claims in Form No.4 giving reference to the
interest subsidy eligibility certificate No. and date and also the No. and
date of bank's payment advices and release of funds. These claims may be
sent to the Commission's concerned State Directors who will scrutinise
the
claims
and
send
the
same
to
the
Bank
Finance
Cell of the
Commission, for payment.
(xvi) In respect of institutions and co-operative societies whose interest subsidy
eligibility certificates were issued by the State Khadi and V.1.Boards, the
banks shall submit to the concerned State Boards their interest subsidy
claims in form No. 4 giving reference to the interest
subsidy eligibility
certificate No. and date issued by the State Boards also the No and date of
the bank payment advises of release of funds. The concerned State Khadi
and V.1.Boards will scrutinise the claims and send the same to the Bank
Finance Cell of the Khadi and V.I. Commission for payment.
(xvii) The
claims
received
by
the
State/
Divisional
Directorate
of
the
Commission must be countersigned
by an officer not below the rank of
State/ Divisional Directors of the Commission.
(xviii)In respect of claims received by the State Khadi and V.1.Boards the claims
must be countersigned by an officer not below the rank of Secretary/Chief
Executive Officer/Executive
Officer / Administrator of the State and V.1.
Boards.
Note: (i) For the loans raised by the State Boards, to meet the requirement of
their
department
activities
or for disbursement
(vide para2
(iii) the
procedure prescribed for the directly aided institution would be followed.
(ii)These payment being of a routine nature and of committed character
like sales
rebate
etc.
no
specific sanction
of the
Standing
Finance
Committee would be necessary
for individual payment.
However, they
would be covered by the budget allocation made for interest subsidy to be
paid to the banks.
(iii) Directorate of Accounts in Central Office shall arrange payment of
interest subsidy amount as per the instructions
of the Bank Finance cell
under advice to the section and the concerned State Director or the State
Khadi and V. I. Board, who would make the note of such payments in
their registers of claims.
(iv)lt may be necessary to open a proper head in the monthly and annual
accounts statements
of the Commission, to indicate the disbursement
of
interest subsidy to the banks.
6. KYIC shall disburse
Interest Subsidy through online portal directly to the
concerned financed banks.
******
12
IS/BF /FORM NO.1 (A)
INTEREST SUBSIDY ELIGIBILITY CERTIFICATE
To be issued
to the State
Khadi and Village Industries
Board
1)
Name of the State Board
2)
Name
of
the
Institutions/ co-
operative
societies,
whose budgets
were approved by the Commission,
alognwith
the
limits
of
bank's
borrowings
sanctioned
by
the
Commission
(Industry-wise,
purpose-wise)
3)
The Khadi
and
Village Industries
Commission
agrees
to
the
State
Board surrendering
its first charge
on
the
assets
of
the
above
institution in favour of the Banks
4)
The State
Boards
should
issue to
the
Banks
Interest
Subsidy
Eligibility Certificate
In respect
of
the above institution
in Form No.1
(B)
5)
The Commission would be liable to
pay
interest
subsidy
as
per
the
scheme only for the period for which
the loan is sanctioned
by the bank
and
is
not
liable
to
pay
such
interest
subsidy
for the
defaulted
period
Chief Executive Officer
Khadi and Village Industries Commission
To,
C.E.O./E.O./Secretary/Administrator
(Khadi and Village Industries Board)
Copy to:
13
Address
{Ofthe State Office/State Board)
No. IS/
(State)
(Industry) (Running No.)
IS/BF /FORM No.1 (B)
Date:-
.
INTEREST
SUBSIDY ELIGIBILITY
CERTIFICATE
Full Name of the borrower
Complete address of the borrower
Industry
Purpose
Amount of loan (Rs.)
The above mentioned (Institution) has applied to
(Narne and address of the Bank)
For a loan of
Rs.
__
for
___
(purpose and industry)
The
above
loan
upto
Rs.
Will be eligible for the interest subsidy payable by the Commission in terms of Govt. of
India, Ministry of Industry (Dept. of Industrial Development) letter No.4 (47)/7S-KVI(1)
dated the 17thMay, 1977.
The Commission agrees to surrender
its first charge over the assets
(moveable
and immoveable) of the above institution in favour of the Banks.
The final decision to accept or reject any loan application from eligible borrowers
will vest with the banks.
However, in case the banks reject some applications
they
may indicate to the Commission/the
State Boards the reasons for rejecting the loan
application.
The Commission will have no liability of any kind either in respect
of the
principle amount
of loan or payment of 4 per cent or revised rate of interest to be
borne by the borrowers for which interest subsidy eligibility certificate has been issued
by the Commission.
Its liability shall be restricted only to the extent of payment of
interest subsidy as per scheme.
14
The Commission would be liable to pay interest subsidy as per the scheme only
10r the period for which the loan is sanctioned by the bank and is not Hable to pay
such interest! subsidy for the defaulted period'.
This is iesued for the year
..
'Fa,
State / Divisional Director
15
IS/BF/FORM NO.2
Bank
(Name & Address)
No.
_
Date:
__
To:
(Address of the State Office/State Board/institution/Cooperative
Society)
Sub:- Advice about payment of
Sub:- Advice about payment of Loan of Rs.
_ to
_
for
under the Interest Subsidy Scheme of the
KVIC.
Ref:- Your Interest Subsidy Eligibility Certificate No.
_
date
Sir,
With reference to your above mentioned Interest Subsidy Eligibility
Certificate,
I am to advise you that our bank has sanctioned/disbursed
a loan for
Rs.
to
for
on
_
(Date)
The loan carries an interest at
%
and is repayable in
Yours faithfully,
Agent / Manager
___________
Bank
Copy to: The Director (Bank Finance)
Khadi and V.I.Commission,
MUMBAI-400 056.
16
IS/BF /FORM No.3
Industry
INTEREST SUBSIDY CLAIMSREGISTER
Full
Amount
Purpose
Interest Subsidy Eligibility Certificate
Date
name of
Complete
of loan
of the
the
address
applied
loan
Number
Date
Amount
Narne of the Bank
borrower
for
1
2
3
4
5
6
7
8
9
Bank's Payment Advice
Interest subsidy claims
No.&
Mode of
Sent to
Payment Advice
date
Amount
Date of
Rate of
recovery
Date of
head office
Tenure
Period
Amount
Remarks
of
of loan
payment
Interest
of
receipt
Amount
Date of
advice
interest
No.
Date
Paid
Payment
10
11
12
13
14
15
16
17
18
19
20
21
22
23
17
IS/BF IFORM NO.4
BANK
(Name and Address)
No.
Statement of Interest Subsidy payable by Khadi and Village Industries Commission
In respect of advances to Khadi and Village Industries Institutions/Co-operatives
for
~------_
(period)
Sr.No
Name & Address of Amount
of Amount of interest
at the Normal lending rate of Amount
of interest
at
the borrower
Loan
the Bank
4% recoverable from the
disbursed
Rate
Period
Amount
borrower
(Industry
wise)*
1
2
3
4
5
6
7
Difference
to
Interest subsidy Eligibility Certificate
Banks's Disbursement
Advice
Remarks
be paid
by
the KVIC(6)-
(7)
Issuing authority
Number
Date
Number
Date
8
9
10
11
12
13
14
This is to certify that the amount of interest subsidy claimed herein has not been received from the KVICso far by the Bank
* Statement of Accounts to be enclosed:
Agent
State office KVICofficial
State Khadi & V.1.Board official
Bank
18
3. Workshed
Scheme
for Khadi Artisans:
A.
Introduction
Khadi activity is a source of livelihood for about 5.00 lakh artisans
engaged, as spinners, weavers, other artisans etc., spread across rural India.
Khadi sector represents the continuity of age-old Indian heritage of hand
spun
and
hand
woven cloth,
reflecting socio-cultural-tradition
of the
country.
The Work shed Scheme for Khadi Artisans (WSKA)encourages
artisans to spend more time on Khadi activities, with a congenial atmosphere
for their sustainable earnings by possessing their own work place. KVICis
implementing the Work shed Scheme for Khadi Artisans (WSKA)since 2008-
2009.
B.
Objectives
i.
To provide a better work place to Khadi Artisans to carry out their
spinning and weaving activities efficiently.
11.
To provide storage space - for raw material, implements, accessories,
semi-finished, finished goods, etc.
C.
Eligibility
i. The artisans working with KIs affiliated to KVICjState KVIBs, including
their departmental activities shall be eligible for the scheme. The artisans
covered under AWFT,MMDAincentive, worked at least 100 days in a year-
preference shall be given to BPLcategory.
ii. The title of the land should be in the name of the artisan and or his jher
spouse.
Or
Any ancestralj
family property for which consent is obtained legally can be
considered for construction of workshed.
Or
The land allotted by the State Govt.jPanchayat etc. to the artisans will also
qualify for construction of workshed.
iii. The Group Work shed may be constructed on the land owned by the KIs
and it must be leased out to the artisans for a period of minimum 10 years.
iv. Artisan availed similar benefit previously from KVICjCentraljState
Govt.
will not be eligible. However, if such work shed
are damagedj destroyed
due to natural calamities but did not receive any compensation, shall be
considered for the scheme after obtaining desired Certificate from the
concern LocalAuthority.
19
v. The
construction
cost
if increased,
the
beneficiary
need
to
bear
the
additional
cost by withdrawing from the available AWF credit. In case of BPL
category additional requirement of fund, the sponsoring KI shall arrange
without insisting from the artisan.
D.
Financial Assistance
1.
The financial assistance for construction of Individual as well as Group
work shed w.e.f. 01.04.2022 is as under:
Component
Area
unit
per
Amount of Assistance
For
North-Eastern
region
Rs.l,
20,000/ -or 90% of the actual cost of
the
work
shed
including
toilet
whichever is less.
Construction of 20
Square
Rs.l, 20,000/-
or 75% of the cost of
Individual work meters
the
work
shed
including
toilet,
shed
including
whichever is less.
toilet
Construction of
Group
work
shed
including
toilet (Minimum
5
Artisans
&
Maximum
15
Artisans)
10
Square
Rs.80,000/- Per Artisan or 75% of the
meters
per
cost of the work shed, including toilet
Artisan
whichever is less.
For North-Eastern region RS.80,OOO/-
Per Artisan or 90% of the actual cost
of the
work
shed
including
toilet,
whichever is less.
11.
Cost of land willnot be part of project cost. Financial assistance willbe
for the purpose of construction of work shed only.
iii.
Financial assistance willbe released in two (2)equal installments - one
on clearance of proposal by the Committee and the other one after
physical verification progress.
IV.
A Work shed Committee shall be constituted with one member having
civilengineering background.
20
E. Workshed
Committee:
The proposal for Workshed received from the KI:sshall exam~ne and recommend
by the Committee comprising of the followingmembers.
- Chairman
1. State/ Divisional Director
2. CEO/Representative
of State KVIBoard
3. Chairman / Secretary of State LevelKhadi
Federation or Parent body of Khadi Institution
Viz.TNSSm Tirupur, Shri Gandhi Ashram,
- Member
Lucknow/ Major Khadi Institution.
4.
Accounts officer, SO/ DO of KVIC
5.
An engineer not below the rank
Of Asst. / Executive Engineer
Of State KVIB/ State Govt.Agencies.
- Member
- Member
- Member
F.
Monitoring and Evaluation Of Scheme
~ The
KVIC shall
ensure
proper,
effective utilization
of financial
assistance under the scheme by applying necessary checks & balances
for which KVIC shall issue detailed modalities for monitoring of the
scheme for its effectiveimplementation.
~ KVIC shall arrange
to conduct
physical verification through
their
technical staff while & after construction of Workshed.
~
An officer of Group-Az Class-I of State/ Divisional Office / Zonal Office
/ Central Office may conduct random
physical verification of work
sheds.
~ The State/Divisional
Directors shall furnish utilization certificates in
GFR 12Aformat on both the occasions of 1st and 2nd installment as per
the procedure in vogue.
~ KVIC shall evaluate the scheme both at midterm and at the end of
Finance Commission Cycle.
>- Nodal Officer / Directorate:
Directorate of Khadi, KVIC, Mumbai-
Phone no.022-26714325
*******
21
-----
4. Strengthening
of Infrastructure
of Existing
Weak Khadi
Institutions
(SIEWKI)
and
Assistance
for
Marketing
Infrastructure
A.
Introduction
Production of Khadi, the handcrafted
textile, is an artisan intensive
activity. Most of the artisans work from their dwelling places paving the way
for engagement of a large number of women artisans. The Khadi institutions
were working since inception of the Commission with large infrastructure,
passage
of time
for various
reasons
the
financial
condition
and
the
infrastructure
have gradually
been deteriorated,
resulted
in dilapidated
condition, tools & equipment were in obsolete condition requires repairs and
renewals for which financial assistance felt essential.
There
are
some
sick/weak/problematic/"D"
category
khadi
institutions
spread throughout
the country with strong artisan
base and
- good landed
properties
with infrastructure
requires
renovation,
repairs,
renewal. The Commission has adopted a system of evaluating institutions in
terms of turnover and performance as to "A+", "A", "B", "C" & "D" and "D"
category is considered as an institution requires nursing fund for restoration
to its normal functioning at the earliest. In order to reviveIrestart the Khadi
activities by such Kls, a scheme was formulated and in implementation since
2009-10.
B.
Objectives
To bring the sick/ weak/ problematic/
D-Category Khadi institutions
into normal, having adequate infrastructure
and landed prope:ty, but
structure requires repairs - unused condition of tools and equipment,
possessing sufficient skilled artisans.
Make an effort to overcome the existing 'near stagnatio~' to
nor~alcy
and bring transformation
of Khadi artisans
to provide sustainable
employment.
Make use of infrastructure
after renovation, repair, renewal etc.
1m rove marketing of khadi products
by renovation of sales outlets
and introduction new designs and producing ready to use products.
i.
ii.
111.
iv.
22
C.
Eligibility
1.
Khadi
Institutions
having
adequate
infrastructure
which
are
sick/weak/problematic/"D"category
institution
requires
renovation,
repairs, renewal - having experienced skilled artisans, needs funds for
procurement of raw material and payment of wages.
ii.
Khadi Institutions ready to negotiate for working partnership
with
parent bodyI neighboring institutions to achieve better performance.
iii.
Khadi Institutions desires to avail bank finance under ISEC scheme for
further requirement of working capital.
D.
Financial Assistance
[Rs, in lakh)
Sr.
Component
Cost
Total Cost
No
(I)
Capital Expenditure
Rs.5.75
l.
Repairs, overhauling of implements,
Rs.0.75
purchase of accessories and spare
parts
2.
Repair ofwork shedsIgodownIsales
Rs.1.50
outletsIofficeincluding furniture-
fixtures to make those functional
3.
Procurement of new implements
Rs.3.50
[Charkha & Loorrr/ Readymade
Garment Unit etc.)
(II) Working fund
Rs.9.25
1.
Purchase of raw material
Rs.4.00
2.
Payment to artisans
Rs.3.00
3.
Other production overheads such as
Rs.1.50
Supervision, Sales Distribution
Expenditure, Processing, fabric
conversion
4.
Payment of statutory dues such as
P.F., Municipal Tax etc., Payment of
Rs.0.75
interest to the Bank loan for
renewal etc.
TOTAL ( I + II)
Rs.
15.00
i.
All costs mentioned above are indicative and interchange
of heads
is
permitted subject to ceiling of Rs.15.00 lakh.
23
ii.
The institution
will submit comprehensive
revival plan. The Khadi technical
officials
visits
and
furnishes
technical
feasibility
report.
The
revival
committee constituted
by KVIC clears the proposal.
The financial assistance
will be released
in two installments.
The State/Divisional
Director releases
50% as
1st installment and the 2nd installment will be released based on
physical verification report.
iii.
The State/Divisional Directors furnishes utilization certificates in GFR 12A
format on both the occasions of 1st and 2nd installments as per the procedure
m vogue.
iv.
On
completion of the
scheme,
the
institution
shall
furnish
scheme
completion report.
II. Assistance
for Marketing Infrastructure
(AMI)- Sub Scheme
A.
Objective
The sub scheme will aim at achieving higher sales in the assisted
outlets of KIs so as to bring sustainability in the process of production in
Khadi sector and will emphasize on improving the usage of common logo/
signage, the brands, sales of products of assured quality, improved shop
ambience
through
better
decor,
visual
merchandising
and
functional
improvement through computerization/ bar coding etc.
B.
Eligibility
1.
Khadi Institution registered and/financed
by KVICor State ZU'TKVI
Boards with target/budget
from KVIC/KVIB.The Kls must possess
valid Khadi Certificate & Khadi Mark certificate.
ii.
Sales outlets owned/Rented/Leased
Outlet by the Kls. In case of
Rented/Leased sales outlets an agreement for minimum five (5)years
while or after the renovation of sales outlets of Khadi Institutions is
required.
24
"
C. Financial Assistance
for Marketing Infrastructure
i. The assistance
under
Marketing Infrastructure
Scheme for the
selected
institutions willbe as follows:-
[Rs. in Lakh)
Sr.
Govt.
Inst's
Component
Funding Pattern
Total
No
Grant
Contr.
a)
Departmen tal Sales
Govt. Grant - 100%
25.00
0.00
25.00
Outlets of KVIC
Departmental Sales
Govt. Grant - 85%
b)
21.25
3.75
25.00
Outlets of KVIBs
Inst. Contr. - 15%
Institutional Sales
Govt. Grant - 75%
c)
outlets (Metrocities)
18.75
6.25
25.00
Inst. Contr. - 25%
Institutional outlets
Govt. Grant - 75%
(d)
15.00
5.00
20.00
(Non-Metro cities)
Inst. Contr. - 25%
ii.
40% of the aggregate annual turnover of retail sales of the Institution during
the last three years may be reckoned for extending financial support under
the scheme. Any additional cost over & above the sanctioned limit will be
borne by the KIs. The maximum assistance shall be @Rs. 2500/- per sq. feet
for renovation of the sales outlets of KIs subject to the maximum limit
prescribed in the above table.
NEZ notified hilly areas, A&NIslands, Lakshadweep etc. will be eligible for
90% of the assistance considering the topographical areas.
iii.
The institution's own contribution as proportion of the accepted project cost
willbe as follows:
Departmental Sales Outlets of KVIC
--Nil--
Departmental Sales Outlets of State
15%of the project cost
/ UTBoards
Institutions
registered and financed
25% of the project cost
by KVICor State / UTKVIBoards.
(Note:
Institutions
are permitted to mobilize their contribution
through
Bank also.)
25
Note: The average project cost has been worked out at Rs.25 lakh per sales outlet
of which
15% and
25% will be contributed
by the
KVIB and
Khadi
institutions respectively while the assistance will be 100% in respect of 4
outlets managed by KVIC. In case of outlets, other than the departmental
outlets
of KVIC and
KVIBs, the
maximum assistance
provided will be
Rs.18.75 lakh for outlets located in metropolitan cities and Rs.15.00 lakh in
other places which is further subject to a maximum of 40% of the aggregate
annual turnover of retail sales of the Institution during the last three years.
Any additional cost over & above the accepted limit will be borne by the KI.
D. Release of Fund
i) The funds will be released in three instalments of 40%+40%+20%by
80S/DOs.
ii) The full Contribution of the Kls to be utilized along with the first two
instalments. The final instalment will be released to the Kls on completion of
entire work as per the approved proposal.
iii)Departmental KGBsof KVICwill receive the funds in two equal instalments.
E. Committees
for consideration
of proposal of renovation
Sales Outlet
at Zonal Level
The committee comprising Dy. CEO (Zone), Concerned 80/DO
Director as
Convener, Representatives from KVIB& KI, FBAAOfficer as members; will
assess the Renovation proposals and recommend to the KVIC, Mumbai for
approval.
F.
Monitoring and Evaluation of Scheme
The KVIC shall ensure proper, effective utilization of financial assistance
under the scheme by applying necessary checks & balances from time to
time.
1. The
Khadi Technical
officials conduct
visits
periodically for effective
monitoring of programme.
ii. KVICshall evaluate the scheme both at midterm and at the end of Finance
Commission Cycle.
*****
26
5. Centre
of Excellence
for Khadi (CoEK):
Introduction
KVICunder its Khadi Vikas Yojna (KVY)has decided to set up 'Centre of Excellence
for Khadi' in association with National Institute
of Fashion Technology (NIFT)to
develop new Khadi Products of high end domestic and international market and to
strengthen khadi brand.
NIFT is a premier
institute
of design, management
and
technology with
17
campuses
across
India
and
it has
emerged
as
a Centre
of excellence and
innovation with a distinctly conscious concern for social responsibility. KVIChas
set up of Centre of Excellence for Khadi in Hub and Spokes model in five NIFT
Campuses viz NIFr Delhi, NIFT Kolkata, NIFT Gandhinagar,
NIFT Shillong and
NIFr Bengaluru & the project period is for three years.
Areas of Association:
i.
The CoEK will work on creating
benchmarked
design process
of global
standards for Khadi.
11.
Create new fabric and products based on the season-wise colour forecast
and fashion trends.
iii.
Disseminate quality standards for fabrics and clothing for high-end domestic
and international market.
iv.
Branding and publicity by creating interesting narratives around new Khadi,
v.
Creative visual merchandising and packaging for new Khadi products.
vi.
Increase the global reach of Khadi by organizing National & Intemational
Khadi fashion shows and exhibitions.
vii.
Any other activity that may be mutually agreed upon between NIFT& KVIC.
Budget
Operative Head
Budget I Financial Sanction
1st Year
2nd Year
3rd Year
Total
OPEX
662.20
695.20
695.20
2052.60
CAPEX
165.00
0.00
0.00
165.00
lTotal Direct Expense
827.20
695.20
695.20
2217.60
NIFTAdministrative & Infrastructure
165.44
139.04
139.04
443.52
Overheads (AIO)20%
Total Amount
992.64
834.24
834.24 2661.12(*)
(*) Additional
expenses
of Rs. 6 - 7 Cr will be met out from Internal
Revenue Generated (IRG)from the operations.
27
Evaluation
of Monitoring:-
Coordination Committee for CoEK comprising of DG-NIFT, CEO-KVIC,FA-KYIC
and Director-CoEK for coordination and regular interaction on the matter related
to CoEK.
Advisory Committee under the Chairmanship of Secretary (MSME)and comprising
of JS (ARI),MSME(CoChairman), JS- Ministry of Textiles, CEO- KVIC& Director-
CoEK, NIFT and other members from 5 various categories.
Expected outcome of the project
Build a new narrative
around
Khadi fabrics and design for branding,
packaging, product positioning of new Khadi fabrics, apparels and products
developed by CoEK.
•
Make Khadi fashionable for youth.
•
Participation in fashion shows and Exhibitions.
•
Specialized training of trainers for pattern masters and tailors at NIFT.
Help selective Kls to increase their business
through
the assistance
of
designs and quality of finished product.
Improve Khadi footprints nationally and globally.
•
•
Strengthen Brand Khadi.
*****
28
i.
Roles and Responsibilities
of Accredited Agency
Followingare the role and responsibilities ofthe accredited agency:
•
Draw the samples of Khadi and Khadi products as part of onsite verification
and carry out laboratory testing of drawn samples for the use of natural fiber
along with other agreed test parameters.
•
Submit to KVIC its verification report along with recommendation
for
registration and Khadi Mark Tag and label entitlement of the persons and
certified Khadi Institutions applying for Khadi Mark registration.
•
It has to inspect the Khadi Production process through physical inspection
at applicants production centers as per the format prescribed by KVIC
•
An indicative list of items that needs to be verified randomly during the
physical inspection at the premises of person/ organizations are as follows:
1. Details of Khadi activities; Production/Sales / Exporrt,
2. Number of production centre
3. Number of Sales Outlets
4. Number of Spinners
5. Number of Weavers
6. Number ofArtisans
7. Number of Staff
8.Products manufactured as per the list provided by the applicant.
9. Adherence to process of Khadi Production i.e. 'Hand Spinning on
Charkha and Weavingon Handlooms'.
•
Undertake 'Khadi Mark Tag and label management' including planning,
printing and stock maintenance of tags and labels and issuance of tags and
labels to persons and Certified Khadi Institutions registered under the Khadi
Mark Scheme.
•
Carry
out
annual
verification registered
persons
and
certified Khadi
Institutions
draw samples as part of annual
verification and carry out
laboratory testing of drawn samples to ensure the continued compliance to
Khadi Mark criteria and continued suitability of label entitlement.
•
In addition to the sample drawn and tested as part of onsite verification and
annual verification, Textiles Committee shall carry out laboratory testing of
Khadi and Khadi product samples for the agreed test parameters as and
when sent by KVICto Textiles Committee.
30
D. Scheduled
of Charges
for Activities
Under Khadi Mark Scheme
i. Operational Fee:-
Sr. No.
Item
Charges
1
Annual Operational Fee/ Grant
Rs. 98,00,000/-
+GST
ii. Verification Fee:-
Type of
Khadi Institutions
Verification
Turnover up
Turnover
Turnover
Marketing
to 1 Cr.
1 Cr.
to
5
above 5 Cr.
KI's
,Cr.
Onsite
Rs. 12,500/-
Rs. 20,000/-
Rs. 30,000/-
Rs. 30,000/-
verification
+GST
+GST
+GST
+GST
Fee
Annual
Rs. 12,500/-
Rs. 20,000/-
Rs. 30,000/-
Rs. 30,000/-
Verification
+GST
+GST
+GST
+GST
Note:
•
The annual operational feel grant, onsite verification fee and Annual
verification fee are valid for 3 years from the date of signing of MoU.
•
The test charges will be as per the schedule of test charges notified by
the textiles committee from time to time.
•
Textiles Committee will prefer to receive the funds as Grant in aid.
iii. Testing Charges
Sr.No.
Parameters
Test Charges (in Rupees)
1
Fiber Composition
Rs. 550/ -+GST*
2
Direction of Twist and twists per inch
Rs. 500/ -+GST**
of yarn in the Khadi Fabric / product
(Warp & weft)
3
Count of yarn in the Khadi Fabric/
Rs. 200/ -+GST***
product (warp & weft)
4
Ends per inch and picks per inch in
Rs. 200/ -+GST
the khadi fabric / product
5
Total testing charges per sample
Rs. 1450/ -+GST
31
* The charges is meant for upto two component fibers in the sample. In case of the
more than two fibers, additional charges of Rs. 250/- will be charged for each
additional component fiber.
**The charges is meant for single yarn/ resultant twist of piled yarn. In case of
twists of singles of piled yarn, the charges willbe Rs. 650/-
***Thecharges are for testing of count ofyarn as revised. In case of testing of count
ofyarn after removal of added matter will be Rs. 300/-
E. On site verification,
sample drawing and testing:
a.
KVICon its part shall send the application for registration to Textiles
Committee within the agreed time frame and Textiles Committee on its
part shall deploy adequate qualified and trained staff for onsite verification
as well as drawing and testing of samples and complete the verification,
testing and reporting process within the agreed time frame.
b.
Carryout onsite verification upon receipt of the application for registration
from KVIC.
c.
The onsite process verification shall cover
(i)
Verification of hand spinning and hand weaving process at the
production centers
(ii)
Evaluation of production capacity and label entitlement
d.
If found satisfactory in the onsite verification, samples will be drawn and
the drawn samples will be tested in Textiles Committee's laboratories for
the required parameters.
e.
Textiles Committee shall submit onsite verification report to KVICalong
with recommendation within agreed time frame for registration and Khadi
Mark tag and label entitlement
of the persons
and
certified Khadi
institutions
applying for Khadi Mark
registration.
In
case
of any
discrepancy Textile Committee should clearly state nature of discrepancy.
F. Khadi Mark tag and label management:
a.
KVICprovided the specification for Khadi Mark tags and labels.
b.
Textiles Committee shall plan and get printed the required quantity of
Khadi Mark tags and labels and maintain sufficient stock.
c.
Upon the receipt of request for Khadi Mark tags and labels from persons
and certified Khadi institutions registered under the Khadi Mark Scheme,
Textiles Committee shall issue appropriate Khadi Mark tags and labels
according to their entitlement under intimation to Directorate of Khadi
Certification.
32
d.
Textiles Committee shall maintain
the records for issuance
of Khadi Mark
tags and labels to persons
and certified Khadi institutions
registered under
the Khadi Mark Scheme.
e.
Textile Committee
shall
submit
monthly
report
to KVIC in respect
of
issuance
Khadi
Mark
tags
and
labels
to persons
and
certified
Khadi
institutions.
G.
Annual verification visits
a.
Textiles Committee shall carry out annual verification visits, as may be
mutually
decided and
agreed upon,
to persons
and
certified Khadi
institutions registered under the Khadi Mark Scheme.
b.
During the annual verification visit the production process shall be verified
for continued compliance to the requirement of hand spinning and hand
weaving process.
c.
The production
capacity
will be verified to evaluate
the
continued
suitability of label entitlement.
d.
Samples will be drawn and!tested to ensure the use of natural fibre and
other agreed parameters.
e.
Textiles Committee .shall submit the annual verification report to KVIC.
f.
The annual
verification report shall include any deviation, deficiency,
change in the production process or label entitlement.
g.
The annual verification visits shall be carried out in accordance with the
procedure to be outlined separately.
H. Procedure
for onsite
verification,
evaluation
of label entrtlement,
drawing and testing of samples, Khadi Mark tag and label management
and
annual verification visit:
a.
It
has
been agreed between the parties
that
the onsite verification,
evaluation of label entitlement, sample drawing, testing, reporting, Khadi
Mark tag and label management and the annual verification visits shall be
carried out in accordance with the mutually agreed procedure to be
outlined separately.
b.
The procedure shall include methodology for onsite verification, sampling
criteria,
verification parameters,
testing
parameters,
test
standards,
evaluation of label entitlement, formats for onsite verification and annual
verification visit, reporting and time frame for onsite verification, sample
drawing, testing and report submission as well as annual verification visit.
c.
The procedure shall also include planning, printing and issuance of Khadi
Mark tags and labels and submission of periodical statement to KVICon
issuance of Khadi Mark tags and labels to persons and certified Khadi
institutions.
33
d.
Any amendment in the procedure shall be mutually discussed and agreed
upon between KVICand the Textiles Committee.
e.
Textile Committee and its officials shall maintain full confidentially in
respect
of any
information
including
production
technology, market
strategy etc. gained during the drawing and testing samples and shall,
under no circumstances, divulge the information so gathered/ acquired to
any other person or organization.
f.
The KVIC shall have full rights to supervise witness and monitor the
process, assess the reports and to reject any report as submitted by Textile
Committee. Rejection shall also be communicated to Textile Committee.
g.
In case, at any point of time, it is established that an official engaged by
Textile Committee has indulged in any practice which is not ethical, or has
behaved in a manner uncalled for, the KVICshall bring the same in to the
notice of Secretary, Textiles Committee, for necessary action.
*****
34
7.
Marketing
Promotion
(Exhibitions)
Introduction!
Objectives:
KVIC is
playing
a
role
in
creating
marketing
opportunities
for KVI products
i.e. organic, natural,
pure,
eco-friendly, bio-
degradable and skin friendly products.
The potential of Khadi to make strong
inroads into the consumer domain has also attracted unscrupulous
elements and
profit oriented
corporate
to benefit from its
strength.
Linked to this
is the
increasing popularity of Khadi around the world, in addition to domestic markets.
Thus,
marketing
of products
of Khadi and
Village Industries
are important
stepping
stones
of
rural
development
which
ultimately
constitutes
our
developmental goal.
KVICcontinued its marketing strategy of popularizing KVIproducts through
exhibitions to accelerate at large in the domestic and international markets, which
proved as a cost effective medium for publicity as well as opening marketing
opportunities
to the
KVI products
and
also as
an
instrument
for creating
awareness.
1.
Domestic Exhibition Pattern under Marketing:
S
Level of
Minimum Minimum
Minimum
Maximum
Sales
N
the
Duration
Stalls
State/District
Grant
Target
Exhibition
!Institutions
to be provided
(Rs. in
by KVIC
Lakhs)
(Rs. in Lakhs)
1. National
25 Days
150
15 States
75.00
500.00
2.
Zonal
15 Days
75
4 States
40.00
270.00
3.
State
10 Days
50
40
20.00
100.00
Institutions
4.
District
7 Days
20
10
7.50
15.00
Institutions
2.
Eligibility Criteria for Organizers:
1.
National, Zonal, State and District level exhibition will be organized by SO/
DO of KVIC or State KVIB. However SO/DO's can organize District level
exhibitions through Khadi Institutions / Khadi Federation also
3.
Release of funds:
1.
35% along with work order against Bank Guarantee of adequate value.
2.
50% on completion of erection of stalls and other arrangement to be certified
by an Officerauthorized by the Organizing Committee.
35
3.
10% on receipt
of report
of completion
of Exhibition
including
photos
and
other formalities
prescribed
by the Organizing
Committee
/State
/Divisional
Director duly recommended
by the Organizing Committee.
4.
5% after receipt
of complete
report
and
payment
accounts
with item-wise
Statement
of Expenditure,
refund of IRG amount
and unspent
balance,
etc.,
duly verified by the Accountant.
4.
Stall Distribution
Particulars:
SN
Particulars
% Coverage
1.
Khadi
60%
2.
REPG/PMEGP Units
30%
3.
Others
10%
5.
Stall Rent:
Maximum Rental for Standard stall Size (Amount in Rs.)
Particulars
3mtr. X 3mtr.
3mtr. X 2mtr.
National Level
Rs 10,000+GST
Rs s,OOO+GST
Zonal Level
Rs s,OOO+GST
Rs 2,sOO+GST
State Level
Rs 3,000+GST
Rs 1,sOO+GST
District Level
Rs.2,000+GST
Rs 1,OOO+GST
1. Allocation of Stalls: On the basis of Lots / First come First Serve basis on
the basis of Online Payment receipt of registration.
2. Scope of Work to be clearly mentioned in the RFP
(a)
Participants from N.E. States & Aspirational Districts
Concessions
50%
(b)
Departmental Sales Outlets KVIC/KVIB
Free
(c)
Training and other Administrative
Institutions etc.
Free
6.
Internal Revenue Generation (IRG):
1. Entry Fees to visitors:
Nilfor all levels of Exhibition
2. Stall rent collection
3. Local Sponsorships from Banks etc
4. Sale of Stall space to Food/Entertainments
stall etc
36
No
Level of
Food/ En tertainmen
t Stall
Proposed Entry Fee
Exhibition
Charges
(Amount in Rs.)
(Amount in Rs.)
1
National Level
25000
NIL
2
Zonal Level
10000
NIL
3
State Level
5000
NIL
4
District Level
2000
NIL
7.
Distribution
of IRG:
(a)
To cover the excess expenditure
Over and above sanctioned funds
50%
(b)
Remittable to KVIC,CO
50%
8.
Eligible Items for Expenditure:
No
Particulars
Indicative
0/0
1.
Ground rent/Hall rent
15
2.
Erection of Pavilion/Stalls (3x3)
3.
Decoration of Stalls
4.
Theme Pavilion
25
5.
Electricity charges
6.
Transportation, Conveyance charges
7.
Back-up support like Insurance, Security, First-Aid, etc.
5
8.
Buyer-Seller Meets in National & Zonal LevelExhibition
5
9.
Fashion
Shows
(compulsory
in
National/Zonal / State
level Exhibitions) and cultural events
10. Publicity including Press Conference
11. Printing & Stationery
20
12. Leaflet & Presentations at the Trade Inquiry Stall
13.
Inaugural & Valedictory function
14. Shields & Trophies for participation/performance
15. Technical Demonstrations
5
16. Data collection and Survey ofvisitors
17. Miscellaneous! Contingency
5
TOTAL(Interchangeability
of heads permitted)
100
37
9. Monitoring and Evaluation:
i.
The KVICwill ensure proper, effective utilization of financial assistance
under the scheme by applying necessary checks & balances from time to
time.
ii.
KVIC shall evaluate the scheme both at midterm and at the end of
Finance Commission Cycle.
iii.
Directorate of Marketing will be the Nodal Directorate (Phone No. 022-
26716680)
****
38
8. Science
& Technology (S&T)Scheme
Introduction
Under
the
S&T Scheme,
Research
and
Development
programs
are
implemented
focusing
on to enhance
the quality of products,
increase the
productivity and earning of artisans, reduction in human drudgery, Development
of new products and diversification as per market demand and efficientuse of local
raw materials. Keeping in view of the above and to a give new dimension to
Khadi and Village Industries,
the following type of projects
are supported
under the S&Tscheme.
1.Research and Development (R&D)projects for Khadi and Village Industries
(KVIl·
2. Demonstration / Field trails / Dissemination of the developed technologies by
the Research/Technical Institutions to Khadi and VillageIndustries Sector.
3. ISO
9001-
Quality
Management
System
Certification
for
the
KVIC
establishments.
4. Strengthening of Product/Process
standardization, Intellectual Property Right
in the KVI sector through
Grant for Patent
registration,
and
organizing
TechnologyUpgradation programs.
Objectives of Scheme
1. To reduce the drudgery of the workers and the artisans
in the operation of
tools and implements.
2. To enable
the
artisans/village
industries
Units/entrepreneurs
to increase
their earning capacity.
3. To enable artisans/village
industries units/entrepreneurs
to produce quality
goods in comparison with the products of other sectors.
4. To
enable
artisans/village
industries
units/entrepreneurs
to
use
raw
materials
available locally so that they may not be required to migrate in
search of raw materials outside their familiar region.
Eligible Institution
to undertake
S&T Projects
1. Any Premier Technical Institutes/
Universities/
R&D organizations
/ Govt.
organization engaged in R&D activities, design development/
Directly Aided
Institution
of KVIC/KVIB and
reputed
NGOs registered
under
Darpan
Portal.
2. An individual engaged in research in Khadi and VillageIndustries.
39
;
Focus Area of Research& Development
The following areas are to be taken up for R&Dwork:
»
Technology/Research
and
Development
focus
on
solving
the
existing
problems in Khadi Sector and Village Industries,
looking to the suitability
in implementation of different schemes.
»
Improvisation of the existing Machines/Tools
and implements used in KVI
sector to enhance Productivity/quality
and reduce drudgery.
»
Standardization
of process/
technology/quality
of end product.
»
Demonstration/Field
trials/
Dissemination of the developed technology for
adoption by the concerned industry/agency
for qualitatively improving the
implementation of the Programme.
»
StudylEvaluation:
In order to have better input of information and data
compilation for various R&D works studies may be undertaken
which may
also become part of the R&Dwork.
»
Publicity
of improved
implements
etc.: Adequate publicity must be made
for developed technology, standards,
processes.
Procedure for project proposal Evaluation and Approval
Step:
1 (a) Proposal under
R&D of Government approved agencies Premier
Technical
Institute/University / any
R&D
organizations
having
adequate
infrastructure/facilities
to implement
the
project shall be submitted
in the
prescribed Proforma to the Director (S&T), KVIC,Mumbai. However, one copy of
the same is to be sent to the concerned State/Divisional Director for information.
(b) Proposals under R&D/ Dissemination from the Directly Aided Institutions of
KVIC/KVIB/Individual/NGOs
having
adequate
infrastructure/facilities
to
implement the project will have to be forwarded in the prescribed Proforma along
with relevant enclosures
to the Director (S&T) through
the
State/Divisional
Director.
Step: 2
The
State/Divisional
Director
may
examine
the
proposal
of
NGOs/Individuals/Technical
Institutions/R&D
Organizations
etc.,
whenever
required, with reference to the extant guidelines of KVIC.The State/Divisional
Director will verify the infrastructure,
manpower and financial position etc. and
will forward the proposal to the Director (S&T)with specific recommendations
within 3 weeks of receipt of the proposals.
Step: 3
On receipt of the proposal, the Director (S&T)will process the proposal
with reference to the
extant
guidelines of KVIC and
obtain
the
technical
40
Budget provision
of Scheme
of S&T Proposals
A grant or subsidy to an individual should not exceed Rs.5,00,000 /- (including
all charges & taxes, etc.) in any case and to an institution, it should not exceed
Rs.50,00,000/- (including laboratory trials and field trials, etc.).
Project costing above Rs. 50,00,000/- for Institutions are subject to approval of
the Ministry.
The above ceiling limits are subject to revision, time to time, with the approval
of the Ministry.
•
The budget provision for S&T Programme shall be up to. 2% of Annual budget
allocation under the Khadi Vikas Yojana (KVY)Scheme and Gramodyog Vikas
Yojana (GVY)Scheme each.
Procedure
of ImplementaUon
and Monitoring of the project
1. On sanction
of S&T projects, the Implementing Agency shall execute an
agreement in prescribed format.
2. Release of funds will be made through the respective State/Divisional Director
in phased manner.
3. The Implementing Agency shall be required to submit Periodical Progress
Report in the prescribed format with details of the activities completed to
the
Director
(S&T) under
intimation
to the
respective
State/Divisional
Director. The Director (S&T)will review the progress/
achievement with the
support
of
the
Concerned
Programme
Directorate,
and
if
required,
suggestions/ opinions
of
concerned
Experts
may
be
obtained.
The
suggestions
may
be
communicated
to
the
Implementing
Agency for
incorporation in the research work.
4.
On Completion of the project, the Implementing Agency shall be required to
submit the Final Progress Report in the prescribed format, including details
of Quarter-wise Dissemination Plan/ Dissemination activities to be carried
out along with Utilization certificate
to the
Director (S&T) through
the
concerned State / Divisional Director.
5. The duration
of the project
shall
be as per the
sanction
and may be
extended as per the request of IAwith proper justification with the approval
of the Competent Authority. While enhancing the tenure of the project, the
extension accorded should be very clearly identified with reasons and with
accountability
on the Implementing
Agencies to ensure
that
the project
must be completed within the extended period.
42
!
F. Procedure on Project completion
& Dissemination of the project
1. After
completion
of
the
R&D
work,
all
implements/equipment
used/involved
in the projects will be the property of KVIC and the State
Director / Divisional Director will be the custodian.
2. The Project Investigator should protect the outcome of each R&D project
through the suitable provisions of IPR, i.e., patent, brand
name, copyright,
trademark, etc. The patent, copy right will be jointly filed in the name of the
CEO, KVIC, Mumbai and the Head of Implementing Agency. The Project
Investigator and Co-Project Investigator will be inventors of the technology.
3. Tentative plan for multi-location field trial/ Dissemination should be essentially
submitted with each R&Dproject report of technology/prototype
development.
After successful development of technology/prototypes,
the S&T Committee
may approve the proposed budget for field trial subsequently, if required.
****
43
List of Abbreviations
KVIC
Khadi and Village Industries Commission
KVIB
Khadi and Village Industries Board
SO
State Office of KVIC
CEO
Chief Executive Officer
DIT
Directorate of Information Technology
,
FBAA
Finance Budget Audit and Accounts
ZLC
Zonal Level Committee
SLC
State Level Committee
CLC
Central Level Committee
EcR
Economic Research
SFC
Standing Finance Committee
CA
Chartered Accountant
MoU
Memorandum of Understanding
GST
Goods and Services Tax
·DBT
Direct Benefit Transfer
CFC
Common Facility Centre
AWFT
Artisans Welfare Trust
CoEK
Centre of Excellence for Khadi
KI
Khadi Institution
DAI
Directly Aided Institution
I BAI
Board Aided Institution
MoMSME
Ministry of Micro, Small, Medium Enterprises
ISEC
Interest Subsidy Eligibility Certificate
NIFT
National Institute of Fashion Technology
44
Glossary
KVIC - Means Khadi and Village Industries commission constituted under section
4 of the Khadi and VillageIndustries Commission Act, 1956 (61 of 1956).
Khadi Institutions
- Means a certified khadi institution which is enlisted with
Khadi and Village Industries commission (KVIC)or Khadi and Village Industries
Board (KVIB)for financial and
technical
support
and
is issued
valid khadi
certificate under a code for such certification issued by KVICunder clause (K)of
sub section (2)of Section 15 of the act read with sub regulation (1)of regulation 24
of KVICregulation 2007.
Stock
- Means the goods or merchandise kept on the premises of a shop or
warehouse and available for sale or distribution.
AWFT - Means Artisan Welfare Fund Trust provides financial help required by the
artisans in their hours of need. Amount accruing to Artisan Welfare Fund (AWF)is
kept in fixed deposits in nationalized Banks.
Artisans
- Means individual involved in spinning/ reeling and weaving of Khadi
products also includes other Karyakartas involved in wet processing i.e. bleaching,
dying, mercerizing, finishing, printing and processes involvedin Khadi.
Sales - Retail sales and wholesales including Government supply, Franchisee,
Bulk sales to end customer for a particular year. Wholesale excludes the sectoral
sale Le.- from one KIto another KI.
Escrow - An escrow account is a temporary pass through account held by a third
party during the process of a transaction between two parties. This is a temporary
account as it operates until the completion of a transaction
process, which is
implemented after all the conditions between the buyer and the seller are settled.
Khadi Artisans-
Khadi artisansare those persons, who are involved in the process
of
production
activities
such
as;
spinning,
warping,
twisting,
weaving,
dyeing/printing etc.
Khadi Karyakartas-
Khadi Karyakarta means persons involved in production &
post-production activities such as; Salesmen, Sales-women, cashier, accountant,
marketing executives, helper, tailoring staff, store-keeper, godown-keeper etc.
45
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