Revival and Rehabilitation Scheme for Defunct MSMEs and Cashew Processing Units
in Kerala
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Revival and Rehabilitation Scheme for Defunct MSMEs and Cashew Processing Units in Kerala
Revival and Rehabilitation Scheme for Defunct MSMEs and Cashew Processing Units is a government scheme available to eligible residents of Kerala.
Apply for Revival and Rehabilitation Scheme for Defunct MSMEs and Cashew Processing Units in Kerala
Scheme Overview
The scheme "Revival and Rehabilitation Scheme for Defunct MSMEs and Cashew Processing Units" envisages supporting defunct MSMEs in the manufacturing sector including cashew processing units through assistance in the form of capital grants and working capital incentives.
Eligibility Criteria
All MSMEs in the manufacturing sector which are defunct for at least 6 months due to genuine issues including cashew processing enterprises that have the potential to be revived and rehabilitated, are eligible for assistance under the scheme.
> **Obligations of the Applicant Entrepreneurs:**
The applicant shall provide all required details and declare such information as to be true.
The applicant shall provide clarifications or further details sought by the recommending/ sanctioning authority.
The applicant shall allow inspection or verification of any details mentioned in the application including plant and machinery and all other assets if so required by recommending/ sanctioning authority.
The applicant shall produce originals of any important documents if so required by the recommending/ sanctioning authority for verification.
The applicant shall execute the requisite legal agreement on Stamp paper worth ₹200 as and when the proposal is approved for implementation and furnishes the signed hard copy to General Manager, District Industries Centre.
The applicant shall utilize the amount received only in the manner agreed upon as per the revival project submitted.
The applicant shall operate the unit as stipulated in the agreement in which the quantum of support received, failing which the assistance shall be resumed by restoring the provisions of the Kerala Revenue Recovery Act.
Benefits
Entitlement in the scheme shall be limited to ₹15 Lakhs per applicant unit and it can avail only once.
Financial Assistance under the scheme provided for the following components-
a) Building Renovation - 25% of the total revival project cost limited to ₹2 lakh:
i) Building Renovation includes maintenance and repair of existing factory buildings, construction of fresh
roofing in the factory shed, infrastructure for Waste Disposal / Treatment facilities etc.
b) Plant & Machinery and Electrification - 40% of the total revival project cot limited to ₹8 lakh:
i) It will be available for the purchase of new machinery, Repair and Maintenance of Existing machines,
industrial electrification etc.
c) Working Capital (Margin) - 50% margin of working Capital loan approved by financial institution subject to
i) Assistance is limited to ₹2 lakhs for defunct MSMEs.
ii) Assistance is limited to ₹5 lakhs for Cashew Units.
d) Maximum Limit ₹12 lakhs for defunct MSMEs per unit.
e) Maximum Limit ₹15 lakhs for defunct cashew processing per unit.
**Note 01:** Bank Sanction of fresh working capital loan is mandatory for availing Working Capital (Margin) Assistance, but a bank loan is not mandatory for assistance for building renovation, plant and machinery, electrification etc.
**Note 02:** The assistance under the scheme shall be released to the eligible entrepreneur by the bank on a pro-rata basis.
Required Documents
| # | Document |
|---|---|
| 1 | Copy of Identity proof of applicant |
| 2 | Udyog Aadhar/Udyam Registration |
| 3 | Revival Project Report |
| 4 | Title deed of land/land tax receipt if applicable |
| 5 | Ownership Certificate of the building if applicable |
| 6 | Registered Lease deed or rent deed in such cases |
| 7 | Invoice/bill/Proof of payment of Plant, machinery and electrification |
| 8 | Valuation of Approved Civil Engineer/ chartered Engineer for civil construction |
| 9 | Sanction order of Bank for Working Capital Loan if any |
| 10 | Audited Balance Sheet for the year before being defunct |
| 11 | Any other document as demanded by the recommending/sanctioning authority |
Common questions in Kerala
Who can apply for Revival and Rehabilitation Scheme for Defunct MSMEs and Cashew Processing Units in Kerala?
Eligible residents of Kerala who meet the scheme’s overall criteria can apply for Revival and Rehabilitation Scheme for Defunct MSMEs and Cashew Processing Units. Refer to the eligibility section above for the complete checklist.
What documents are required for Revival and Rehabilitation Scheme for Defunct MSMEs and Cashew Processing Units in Kerala?
Applicants in Kerala typically need identity proof (Aadhaar), state residency proof, bank account details, and any scheme-specific documents listed in the documents section.
Frequently Asked Questions
The objective of the scheme is to envisage supporting defunct MSMEs in the manufacturing sector including cashew processing units through assistance in the form of capital grants and working capital incentives.