Chief Minister Employment Generation Programme (CMEGP) Maharashtra

The Government of Maharashtra has launched the ‘Chief Minister Employment Generation Programme’ (CMEGP), a new credit-linked subsidy scheme to create employment opportunities by establishing micro and small enterprises in rural and urban areas.

1. Scheme Objectives

• Establishing 1,00,000 micro and small enterprises in the next five years and providing employment opportunities to 8-10 lakh youth in the state.
• Preventing migration of rural youth to urban areas and providing self-employment opportunities to traditional artisans and educated unemployed.

2. Eligibility Criteria

• Age: 18 to 45 years (5-year relaxation for special category candidates).
• Residence: Applicant must be a resident of Maharashtra.
• Educational Qualification:
  • For projects of ₹10 lakh to ₹25 lakh: Minimum 7th pass.
  • For projects above ₹25 lakh: Minimum 10th pass.
• Family Limit: Only one person per family can avail the scheme (family means self and spouse).
• New Projects: This scheme is applicable only for new enterprises.

3. Financial Assistance and Subsidy

Beneficiary Category	Own Contribution (of project cost)	Subsidy Rate (Urban)	Subsidy Rate (Rural)
General Category	10%	15%	25%
Special Category (SC/ST/Women/Ex-servicemen/Disabled)	5%	25%	35%

• Maximum Project Limit: ₹50 lakh for manufacturing sector and ₹10 lakh for service or agriculture-based sector.

4. Implementation Mechanism

• Nodal Agency: Directorate of Industries (DOI), Government of Maharashtra.
• Implementing Agencies:
  • Urban areas: District Industries Centre (DIC).
  • Rural areas: Maharashtra State Khadi & Village Industries Board (KVIB).
• For projects exceeding ₹25 lakh, DIC will be the implementing agency for both urban and rural areas.

5. Application Process (Brief)

• Applicants must apply only online at maha-cmegp.gov.in.
• No physical applications will be accepted under any circumstances.
• After bank loan approval, the beneficiary must complete a minimum 10-day Entrepreneurship Development Programme (EDP) training.

6. Important Conditions

• Land cost will not be included in the project cost.
• Rental cost of workspace/stall can be included in the project cost on a 3-year pro-rata basis.
• The subsidy (Margin Money) received from the bank will be kept as a Term Deposit (TDR) for 3 years with no interest charged on it.

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Documents Required for CMEGP

• Aadhaar Card: Individual applicants (proprietorship) must have a valid Aadhaar number. For partnerships or registered SHGs, the authorized person must submit their Aadhaar number.
• Residence Proof: Applicant must be a Maharashtra resident or possess a Domicile Certificate.
• Educational Certificate: Minimum 7th pass for ₹10-25 lakh projects and minimum 10th pass for projects above ₹25 lakh.
• Caste Certificate: For availing special category (SC/ST) benefits, a caste certificate from competent authority is required.
• Disability Certificate: Disabled applicants must have a valid disability certificate under the ‘Rights of Persons with Disabilities Act, 2016’.
• Organization Registration Documents: For partnerships or SHGs, certified copy of registration must be submitted.
• Training Certificate: Applicant should have completed a minimum 10-14 day EDP training. If such training is already completed, its certificate must be attached.

Additional Details

• Reservation: 20% for SC and ST, 30% for women, and 3% for disabled persons from total annual targets.
• Project Cost Limit: Maximum ₹50 lakh for manufacturing sector. ₹10 lakh for service sector, agriculture-based, and e-vehicle-based goods transport.
• Repayment Period: Loan repayment within 3 to 7 years, with moratorium as decided by the bank.
• Interest Rate: Prevailing bank interest rates apply.
• Credit Guarantee: Projects approved under this scheme are covered by CGTMSE.
• Subsidy Lock-in Period: Subsidy amount (Margin Money) will be kept as Term Deposit for 3 years. After successfully running the business for 3 years and timely loan repayment, it will be adjusted to the loan account.

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CMEGP Online Application Process (Step-by-Step)

1. Portal Registration:

• Visit the official portal at https://maha-cmegp.gov.in and register.
• You will receive a User ID and Password to track application status.

2. Fill Application and Upload Documents:

• Fill all details accurately in the online form. The portal provides a save feature.
• After completing and uploading required documents, you’ll receive a ‘Unique Application ID’.

3. District Level Scrutiny (DLSCC):

• The District Level Scrutiny and Coordination Sub-Committee will technically review applications.
• The committee prepares a preliminary list of eligible applicants.

4. Task Force Committee (DLTFC) Approval:

• The DLTFC, chaired by the District Collector, approves eligible proposals and forwards them to banks with recommendations.

5. Bank Loan Approval:

• The bank verifies financial and technical viability and sanctions the loan as per RBI norms.
• After approval, the bank uploads the Sanction Letter on the portal.

6. EDP Training Completion:

• After loan sanction, the beneficiary must complete a minimum 10-day EDP training.

7. Subsidy (Margin Money) Distribution:

• After training completion, the bank raises a Margin Money demand through the portal.
• After verification, the subsidy amount is deposited as TDR in the beneficiary’s bank account.

8. Lock-in Period:

• The subsidy remains as TDR for 3 years with no interest charged.
• After successfully operating for 3 years with timely EMI payments, the subsidy is adjusted to the loan account.