Haryana, the Greenland of India does not only have a rich past but also a bright and promising future too. Haryana is the 16th most industrialized state in the country. The state is the hub of automobiles; it accounts for over two-thirds of passenger cars, 50% of tractors and 60% of motorcycles that are manufactured in India. The state has emerged as a platform for knowledge, IT and also for the Biotechnology industry. It covers over an area of 1.3 % and contributes approximately 3.32 % to the GDP of the country. The government of Haryana is committed to create a progressive business environment for the development of the state, to increase employment opportunities and also for improving the standard of people residing in Haryana. For the same impeccable steps have been taken by the state government. Schemes and policies have been introduced for micro small and medium enterprises. The various efforts made by the state government especially for micro small and medium enterprises are as follows:-
MSME conclave was held under the chairmanship of Principal Secretary, Industries & Commerce Haryana on 11th June 2020. It was organized by the PHD Chambers of Commerce & Industry via video conferencing. The main aim of the conference was to provide information on various government and funding schemes introduced for the micro, small and medium sector during the scenario of pandemic.
The various initiative of the state that was discussed in the conference were as follows:-
- Fixed electricity charges would be waived for March and April but to a maximum of Rs. 10,000 for those whose fixed charges are upto Rs. 40,000 per month.
- Haryana MSME Revival Interest Benefit Scheme: A 100% interest benefit can be availed and a maximum of 8% on term or working capital loans availed for payment of wages or any other expenses upto a maximum of Rs 20,000 per employee.
- Rent of buildings and shops have been waived that belongs to the government, Panchayati raj institutions or the urban local bodies.
- At HEPC a fully functional COVID-19 helpdesk has been established.
- Respite has been given on outstanding payment to all Departments, Boards, Corporations and Authorities.
- The state government proactively enabled five N-95 mask MSME manufacturers and 88 PPE MSME manufacturers of the state to obtain approval from GoI approved labs like DRDO, OFB and SITRA etc.
- The state government has also urged various commercial banks to provide hassle-free loans for liquidity infusion to the MSMEs of Haryana.
- To avoid mass migration of labor, several shelters providing lodging facilities to labor have been set up. This initiative will help the MSMEs to hire an effective and efficient workforce and would help the laborers to get a job to earn a living.
The state government is striving to utilize the potential of young generation entrepreneurs through this initiative by offering many benefits. The main aim of this scheme is to provide support from distinct levels of government. To develop a holistic and sustainable startup ecosystem. The objective of this scheme are as under:-
- To attract Rs. 1500 crore as investments in the Incubation and Startup Ecosystem in Haryana.
- To establish a minimum of 22 technology or business incubators or accelerators in each and every sector in the district.
- To develop 1 million square feet of incubation or common office square.
- To facilitate Venture Capital funding of at least Rs. 200 crore.
- To encourage, facilitate and incubate a minimum of 500 startups.
The main idea behind the Startup Haryana Policy is to become a resourceful and inventive Hub of startups. This can be done by providing support and assistance to the young innovators that have talents and passion. The vision of the government of Haryana is:-
- To establish Gurugram as an IT Startup Hub.
- To construct Incubation centers all over the state.
- To create a sustainable ecosystem of engineering, innovation and R&D and in the State.
- To align Haryana with the ‘Startup India‘ flagship initiative of the Indian Government.
- To develop links between universities, research institutions and the business community.
- Advancing businesses that are aligned with a region’s unique areas of opportunity.
The eligibility criteria to apply for the scheme is:-
- The company or entity should be registered under the Haryana Shops and Commercial Establishments Act of 1958.
- Minimum fifty per cent of the total qualified workforce should be a domicile of Haryana.
- The enterprise should be a Private Limited Company or a registered Limited Liability Partnership.
- It should have been established for less than seven years whereas, in the case of Biotechnology Companies, the duration is 10 years.
- The annual turnover should not exceed Rs. 20 crore in any preceding financial year.
- The organization should be indulged in innovation, development or improvement of products or services.
- The entity should not be formed by splitting up, reconstruction, demerger or reconstitution of an existing business.
- The organization should not be holding or subsidiary venture.
The benefits of this scheme would be taken away if:-
- The company is found guilty on any charges of fraud or if the company makes any false declarations to avail benefits of this scheme. In such cases, legal actions would be taken against any such firm to recover all financial assistance that was provided.
- Any entity ceases to be recognized as a start-up, the Government or the body through which the Government makes its investment shall be eligible to exit its investment in the start-up.
These steps taken by the Haryana government would undoubtedly change the fate of the people living in Haryana. It is an opportunity for the people who aspire to become entrepreneurs but does not have sufficient resources. Now, it is the right time when you can chase your dream.
Read about Schemes levied by other states for MSMEs here.