National SC-ST Hub Scheme: Online Registration, Benefits, Eligibility

National SC-ST Hub Scheme:- To help Scheduled Caste and Scheduled Tribe entrepreneurs achieve their responsibilities under the Central Government Public Procurement Policy for Micro and Small Enterprises Order 2012, the National SC/ST Hub has been established. This plan will support the Stand-Up India programme and ensure the adoption of appropriate corporate practices. The full list of the National SC/ST Hub Scheme’s sub-schemes is detailed in this article. 

The National Small Industries Corporation (NSIC), a public-sector enterprise under the administrative jurisdiction of this Ministry, is implementing the National SC/ST Hub on behalf of the Ministry of MSME, Government of India. On October 18, 2016, in Ludhiana, the Indian government, officially opened the National SC/ST Hub for MSME Sector.

Details of National SC-ST Hub Scheme

About National SC-ST Hub Scheme 2023

To help persons from SC/ST categories build their own micro, small, and medium-sized enterprises (MSME) units, a national SC/ST hub has been established. For business owners who fall under the SC/ST categories, the Hub will seek to improve market access and connectivity, monitoring, capacity building, leveraging financial support programmes, and exchanging best practices. Additionally, the hub will make it possible for CPS companies to achieve government-set procurement goals. As part of the programme, nationalised banks will lend SC/ST men and women business owners up to Rs. 1 crore in order to help them become self-sufficient and hire young people. 

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Details of National SC-ST Hub Scheme

Name of the schemeNational SC-ST Hub Scheme
Initiated byThe Ministry of Micro, Small and Medium Enterprises (MSME)
ObjectiveTo help students build their own micro, small, and medium-sized enterprises (MSME) units
BeneficiariesScheduled Caste and Scheduled Tribe entrepreneurs
Official websitehttps://www.scsthub.in/

List of Sub-Programs under the National SC/ST Hub Programme

The full list of supporting programmes for the National SC/ST Hub Scheme is shown below:-

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Special Credit Linked Capital Subsidy Scheme

The Ministry of MSME has introduced a Credit Linked Capital Subsidy Scheme with the aim of facilitating technology up-gradation in MSEs by offering an upfront capital subsidy of 15% (on institutional finance of up to Rs 1 crore availed by them) for introduction of well-established and improved technology in the specified 51 sub-sectors/products approved.

In other words, the main goal is to upgrade their plant and machinery with cutting-edge technology, whether they expand or not. This goal also applies to new MSEs that have established their facilities with the relevant, eligible, and proven technology that has been duly approved in accordance with scheme requirements.

To support these efforts even more, the National SC-ST Hub has established the Special Credit Linked Capital Subsidy Scheme (SCLCSS), which offers a 25% capital subsidy to SC/ST businesses with an overall investment ceiling of Rs. 1 crore and no sector or machinery or technology restrictions. The Credit Linked Capital Subsidy Scheme (CLCSS) will be followed as a model for the scheme’s implementation process.

SPRS, or Single Point Registration Scheme

The Government is the sole buyer of a wide range of products. The Government Stores Purchase Programme was introduced in 1955–1956 with the goal of increasing the proportion of purchases from the small-scale sector. Micro and small businesses (MSEs) are registered with NSIC through the Single Point Registration Scheme (SPRS) in order to participate in government purchases.

The advantages of registration

The Public Procurement Policy for Micro & Small Enterprises (MSEs) Order 2012 as announced by the Government of India, Ministry of Micro, Small, and Medium Enterprises, New Delhi via Gazette Notification dated 23.03.2012 and amendment vide order no. S.O. 5670(E) dated 9th November 2018 entitles the units registered under the Single Point Registration Scheme of NSIC to the benefits.

  • Issue of the Tender Sets free of cost
  • Exemption from paying the Earnest Money Deposit (EMD); 
  • In the tender, participating MSEs who are quoting prices within the L1+15 percent price range may also supply up to 25% of the required quantity by lowering their prices to the L1 Price where L1 is a non-MSE.
  • Every central ministry, department, and PSU must set an annual target of at least 25% of the total annual purchases of goods or services made from or provided by MSEs. Out of the annual requirement of 25% procurement from MSEs, 4% is set aside for businesses owned by Schedule Caste or Schedule Tribes, and 3% is set aside for businesses run by women entrepreneurs. 
  • Along with the aforementioned, 358 additional items are set aside for exclusive purchase from SSI Sector.

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Eligibility

  • It is possible to register with NSIC under its Single Point Registration Scheme (SPRS) if your Micro and Small Business has an EM Part-II (Optional) or Udyog Aadhaar Memorandum (UAM).
  • Micro & Small Businesses that have already started producing for the market but have not yet reached the one-year mark. After paying the registration fee and gathering the necessary documents, the Single Point Registration scheme’s Micro & Small Enterprises can receive a Provisional Registration Certificate with a monitory limit of Rs. 5.00 Lacs that will only be valid for one year from the date of issue.

How to Apply?

Micro and Small Businesses (MSEs) must submit their applications in duplicate, either online at www.nsicspronline.com or on the specified form, to the NSIC Zonal/Branch Office or NSSH Office that is closest to the unit. Please contact any NSIC Zonal, Branch, or NSSH office if you experience any problems when filling out the application or gathering the necessary papers. The application form, which includes the terms and conditions, is freely available at all NSIC locations. A list of the documents that must be supplied with the application is provided in the instructions that are attached to the application form.

Fee for Registration

For registration, renewal, and any other amendments, etc., the registration fee for SPRS is based on the Net Sales Turnover as reported on the Micro & Small Enterprise’s most recent audited balance sheet. However, SC/ST owned MSEs can only register, renew, or make any other changes in the SPRS for a token fee of Rs. 100 plus GST.

Process of Registration

  • Micro and Small Businesses must submit their applications either online at www.nsicspronline.com or on the prescribed application form (in duplicate) to the NSIC Zonal/Branch/Sub Branch and Sub Office/Extension office that is the closest to their location with the required fee and supporting documentation.
  • The Micro & Small Enterprise will send a duplicate copy of the G.P. Registration Application Form, copies of the necessary documents, and the required Proof of Inspection Fees to the concerned Inspection Agency in order to request that they conduct a technical inspection of the Micro & Small Enterprise and forward their findings and recommendations in this regard.
  • Following receipt of the Inspection Report, NSIC will grant Micro & Small Enterprises the SPRS Registration Certificate for the products/stores that are suggested.

Special Marketing Assistance Scheme (SMAS)

Marketing support to the SC/ST enterprises for the enhancement of competitiveness and marketability of their products will be provided by way of the following type of events:

  • Organizing Visit to International Exhibitions/Trade Fairs/Seminars Abroad
  • Participation in International Exhibitions/Trade Fairs Abroad
  • Organizing Visit to Domestic Exhibitions/Trade Fairs
  • Participation in Domestic Exhibitions/Trade Fairs
  • Vendor Development Programmes
  • Organizing Workshops/Seminars/Awareness Campaigns

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Features of the Special Marketing Assistance Scheme

The following are the primary characteristics of the Special Marketing Assistance programme:-

  • When utilising the benefits under the scheme, SC/ST units must be registered in the MSME Data Bank.
  • The booth/stall at the exhibition or trade show should not be larger than 3m x 3m.
  • Independent of the number of units they own, SC/ST business owners are only permitted to claim reimbursement under SMAS for a maximum of 2 (two) international events and 4 (four) domestic events per fiscal year. Additionally, no one may represent more than one MSE during a fiscal year.
  • A minimum of five SC/ST businesses must attend in order for there to be a foreign visit to an international exhibition, trade fair, or seminar. For participation in international exhibitions/trade fairs overseas, no set quota of units is required.
  • If five or more SC/ST businesses participate in international competitions abroad, one NSIC representative may go with them. However, if more than ten SC/ST businesses participate, one more representative from NSIC or the Ministry of MSME may be taken into consideration. Such officials shall receive their entitlement-based duty allowance.
  • For domestic events, the SC/ST units must submit an application to NSSH at least one month in advance, and for international events, two months in advance, through field offices of NSIC.
  • Each year’s goals for the Vendor Development Programme should be established, and MSME participation in reaching the goals is possible.
  • The Screening Committee at NSIC for MAS will review the proposals submitted under SMAS at NSSH, and on the basis of its suggestion, CMD-NSIC may grant permission. The proposals must be submitted to the Administrative Ministry for approval in extraordinary deviation circumstances.
  • SMAS shall be subject to all additional terms and conditions, application forms, documentation requirements, and eligibility requirements outlined in the Ministry of MSME’s International Cooperation Scheme Guidelines, as updated from time to time.
  • Under the National SC/ST Hub programme, the Ministry of MSME will oversee and fund the SMAS programme.

FAQ’s

Do MSEs owned by SC/ST entrepreneurs have any special treatment when it comes to public procurement?

A sub-goal of 4% of the 25% yearly procurement objective is set aside for purchases from MSEs run by SC/ST business owners.

Which Nodal Agency is responsible for implementing the National SC-ST Hub?

The Ministry of Micro, Small and Medium Enterprises (MSME) has administrative responsibility over the Government of India enterprise National Small Industries Corporation (NSIC), which is responsible for implementing the programme.

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