Odisha MSME Policy 2016

Objective
  • Encourage new manufacturing capacity based on improved competitiveness
  • Provide a conducive eco-system for promotion and growth of MSMEs in potential sectors
  • Provide opportunities to local entrepreneurial talent
  • Maximize avenues of employment generation for the youth
  • Facilitate MSMEs in accessing domestic and export markets
  • Make concerted efforts for revival of sick enterprises
  • Make focussed efforts for sustainable, inclusive & balanced growth.
Ease of Doing Business
  • District Industrial Centers (DIC) shall act as the nodal agency for promotion of MSME in the State
  • Single Window Clearance & Online Combined Application Form (CAF) to facilitate time bound clearances to investment
  • District Level Single Window Clearance Authority shall assess & recommend the requirement of land
  • The DICs shall be strengthened and revitalized to eliminate the existing bottlenecks and facilitate smooth functioning to address the needs of the investors
  • Online disbursement of incentives mechanism shall be developed and the applicable incentives shall be disbursed in time bound manner
  • An online platform shall also be facilitated for the investors to lodge grievances. A team at the state level headed by the Secretary, MSME Department shall monitor all the grievances lodged, and the action taken on the grievances
Infrastructure Development
  • MSME parks to be established in Districts. OSIC to be strengthened to implement the parks
Support for Ancillary and Downstream Enterprises
  • Facilitate linkages between entrepreneurs and large mother industries
  • Priority land allotment in parks/ industrial estates
  • Plant Level Consultative Committee for large industries and Plant Level Advisory Committee (PLAC) of CPSUs and State PSUs to be put in place and activated
  • Ancillary & Downstream Enterprise Cell shall be setup in the Directorate of Industries
Marketing Assistance
  • MSME e-Bazaar shall be developed to provide a platform to entrepreneurs
  • MSME state fair shall be organized by OSIC
  • Mandatory procurement preference from Micro and Small enterprises within the State
  • OSIC long with Department of MSME and DI to organize annual buyer-seller meet and Vendor development programmes
  • Local Micro & Small Enterprises exempt from earnest money and shall pay 25% of prescribed security deposit for Govt Tenders
Export Promotion
  • Directorate of EP & M to prepare and update a product-country matrix
Raw Material Support
  • OSIC/NSIC to setup Raw Material Banks directly or in PPP mode
  • CPSUs, State PSUs and large industries to supply raw material to OSIC with priority at the lowest possible rates
Techonology Upgradation
  • Increase awareness about Credit Linked Capital Subsidy Scheme (CLCSS), Quality Management Standards (QMS) and Quality Technology Tools (QTT)
Promotion of Clusters
  • Cluster Development Cell shall be set up in Directorate of Industries to converge resources and dovetail funds for cluster development
  • New clusters of Ancillary & Downstream units shall be promoted at major industrial hubs
Financial Incentives

Entrepreneurs can choose to avail a particular incentive from this or any other extant policy.

Capital Incentive Subsidy
  • 25% for Micro & Small up to Rs. 1 crore
  • 30% for Micro & Small up to Rs. 1.25 crore owned by SC, ST, Differently abled, women or technical entrepreneur
  • Additional 5% if unit in industrially backward districts including KBK
  • Additional 5% up to Rs. 10 lakh for units engaged in recycling of E-waste, Hospital waste, Construction & demolition waste
Seed Capital Assistance
  • One time grant of 10% of term loan disbursed up to Rs. 15 lakh for Micro & Small unit owned by 1st generation SC, ST, Differently abled or women entrepreneur in industrially backward districts including KBK
Project Report Subsidy
  • One time grant of Rs. 50,000 or 2% of project cost, whichever lower for preparation of DPR/detailed feasibility report
Reimbursement of Audit Cost for Water Conservation
  • Onetime reimbursement of 50% of audit cost up to Rs. 25,000
Assistance for raising Capital through SME exchange
  • Onetime grant of 20% of expenditure in raising capital up to Rs. 10 lakh after successfully raising the equity
Trade Mark Assistance
  • 50% of expenditure up to Rs. 25,000
Reimbursement of Training Expenditure
  • 50% of skill upgradation or training for local manpower up to Rs. 3000 per person for maximum 10 persons in micro and 20 persons in Small and Medium enterprises. Additional Rs. 1000 per women trained
Award to MSME/ Entrepreneurs
  • Annual State awards for best MSME/ entrepreneurs based on various criteria