Coir Udyami Yojana

What is Coir Udyami Yojana?

The scheme "Coir Udyami Yojana" by the Coir Board, Ministry of MSME, Government of India, aims to modernize the coir industry and generate rural employment. It offers credit-linked financial assistance to establish coir units by eligible applicants.

Benefit

- **Beneficiary’s contribution (of Project Cost):** 5%- **Bank credit:** 55%- **Rate of Subsidy (of project cost):** 40% > **Note****:** - The maximum admissible cost of the project is ₹10,00,000/- plus working capital. Working capital shall not exceed 25% of the project cost. Subsidy will be computed excluding the working capital component. - The Bank will sanction 95% of the project cost after adjusting 5% beneficiary contribution deposited and disburse the full amount of the project cost, including the beneficiary contribution, in installments for setting up the project.

Level

Central

Ministry / Dept.

Ministry Of Micro, Small and Medium Enterprises

Benefit type

cash

Key eligibility

> **Eligibility conditions of the Beneficiaries:** 1. The applicant must be an individual above 18 years of age with Indian Citizenship. 1. The applicant will not be subject to any income ceiling for receiving assistance under the scheme. 1. The applicant must set up a project related to the product

Last verified

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Benefits

- **Beneficiary’s contribution (of Project Cost):** 5%- **Bank credit:** 55%- **Rate of Subsidy (of project cost):** 40% > **Note****:** - The maximum admissible cost of the project is ₹10,00,000/- plus working capital. Working capital shall not exceed 25% of the project cost. Subsidy will be computed excluding the working capital component. - The Bank will sanction 95% of the project cost after adjusting 5% beneficiary contribution deposited and disburse the full amount of the project cost, including the beneficiary contribution, in installments for setting up the project.

Eligibility

Documents Required

How to Apply

1. Step 1: Offline application — step 1

   The applicant must fill out the prescribed application form and attach all required documents. Apply to the nearest Field Office of the Coir Board. Undergo a mandatory 5-day Entrepreneurship Development Programme (EDP) before or after submission, but before bank recommendation. The application is scrutinized and forwarded to the Regional Level Selection Committee. The committee evaluates and forwards approved cases to the bank. On bank approval, the applicant deposits 5% beneficiary contribution within 30 days. Coir Board deposits a subsidy (40%) with the bank. The bank disburses a term loan within 30 days of the subsidy deposit. The project must be completed within 6 months. Coir Board and the bank conduct physical verification before final subsidy adjustment.

Sources & References

• Official scheme website ↗
• Source record ↗
• Information is summarised from official government sources. Verify all details on the official website before applying.