CS for better synergy between departments and banks for streamlining access to credit

JAMMU, JANUARY 31: Chief Secretary, Dr Arun Kumar Mehta today emphasised on developing better synergy between the indenting departments and financial institutions for enhanced access to credit in favour of individual beneficiaries under different government schemes.

He made these remarks while speaking in a meeting to review the Pradhan Mantri formalization of micro-food processing enterprise scheme.

The meeting was attended by ACS, Agriculture Production Department; Principal Secretary, Skill Development Department; Secretary in APD; Special Secretary, APD; MD, JKRLM; MD, HP&M; Director Agriculture,  Jammu/Kashmir; Director Horticulture, Jammu/Kashmir, Director, Animal Husbandry, Jammu/Kashmir and many other concerned officers.

Dr Mehta impressed upon the officers to hold the DLC meetings regularly. He told them to hold deliberations over all issues faced by them in such meetings to iron out the differences between them. He asked them to be on the same page about the smooth implementation of the scheme and meeting its objectives.

He enjoined upon them to lessen the rejection of applications and work out for improving the quality of applications. He advised them to make best out of such schemes  as these offer opportunities for everyone including the financial institutions to do the business.

The Chief Secretary encouraged the department to take the formalization of the important sector of food processing a notch higher by bringing in better practices for value addition and marketing of the products. He made out that this formalization should lead to the upscaling of both capital and employment generation in these units.

The ACS, APD, Atal Dulloo gave a detailed overview of this scheme and the impediments faced during its implementation. He gave out that  the same would aid in accomplishing the dream of self-reliant India by promoting local food based enterprises.

It was revealed that the scheme aims at providing smooth access to credit, integration with organised supply chain by giving support in branding & marketing, providing support for transition of existing enterprises into formal framework.

It also enables applicants to have access to common services like common processing facility, laboratories, storage, packaging, marketing and incubation services. Strengthening of institutions, research and training in food processing sector and increased access of enterprises to professional and technical support, as was added during the meeting.

Moreover credit linked grant @ 35% to individual, proprietorship firms, partnership firms, FPOs, NGO, SHGs, Co-operatives, Pvt. Ltd. companies with max. ceiling of Rs. 10 lakhs can be availed under it. A Seed Capital of Rs 40,000 per member to SHG Federation can be also be availed under it. Regarding marketing & branding a grant up to 50% to groups  or an SPV for ODOP as well as Non ODOP products is also provided under this scheme.

The meeting was further informed that the establishment of 3 Common Incubation Centres (CICs) at Narwal, Sopore and Anantnag have been completed in the UT under it for the products designated under ODOP for these districts. In addition 2 more are under pipeline for districts Budgam and Ramban.

The components for CICs includes infrastructure, plant & machinery, food testing laboratories and providing other accessories and amenities for the stakeholders, as was divulged in the meeting. Pertinent to mention here that GoI has approved an outlay of Rs 25.96 Cr for the year 2022-23 for the UT.