Employment generation in India

By | March 4, 2016
(Last Updated On: March 3, 2016)

Employment generation in country

The Ministry is implementing the scheme of Prime Minister’s Employment Generation Programme (PMEGP) for employment generation in the micro sector.  PMEGP, a credit linked subsidy scheme of Government of India, for setting up of new micro-enterprises to generate employment opportunities in the country through Khadi and Village Industries Commission (KVIC), State Khadi and Village Industries Board (KVIB)  and District Industries Centre (DIC) in rural and urban areas.

The scheme was introduced in 2008-09 and up to January 2016, 3.50 lakh micro units have been set up by utilizing margin money amounting to Rs.7004.40 crore.  The total loans disbursed would be around Rs.28,000 crore (MM subsidy corresponds to average of 25% of the project cost).  29.82 lakh jobs have been created from these units.  During the current FY 2015-16, an allocation of Rs.1265.68 crore is available, which will be utilized for setting up of about 60,000 micro units providing employment to about 4.5 lakh persons. Upto 31.01.2016, Rs. 657.84 crore margin money has been utilized for setting up of 29,174 projects and providing employment to 2.11 lakh persons.

State-wise targets fixed and achievement thereon under PMEGP scheme for employment generation in KVI sector from 2013-14 and 2014-15 is given below:

State/UT-wise details of Target and Achievement in respect of

Employment Generation under PMEGP for the years 2013-14 & 2014-15

Sl. No.State/UT2013-142014-15
1Jammu & Kashmir20920123012064811025
2Himachal Pradesh118485188116646352
4Chandigarh (UT)16643851592160
9Uttar Pradesh85096440448278448604
11Madhya Pradesh54672194425347221896
13Arunachal Pradesh138726570136162871
21West Bengal26368241892539224646
24A & N Islands37526543640790
25Gujarat (*)29072147772852018107
28Andhra Pradesh29104182001619212220
33Tamil Nadu33096291073248036190
GRAND TOTAL725376378907703492357502
* including Daman&diu       ** including Dadra & N. Haveli

In addition to PMEGP, Ministry is implementing a large number of schemes which generate direct and indirect employment.  The Ministry through KVIC and Coir Board is generating employment by implementing the schemes of Market Development Assistance (MDA), Interest Subsidy Eligibility Certificate (ISEC) scheme, Scheme of Fund for Regeneration of Traditional Industries (SFURTI), Coir Udyami Yojana, Development of Production Infrastructure, Skill Upgradation Programmes, Mahila Coir Yojana, establishment of Livelihood Incubation Centres, etc. throughout the country.

Ministry through National Small Industries Corporation (NSIC) offers industry oriented, demand driven skill development training programmes through its Technical Centres and facilitates the trainees in employment through placement cells located at its Centres.  Entrepreneurship development training programme are also conducted at NSIC Incubation centres to create self-employment opportunities for the unemployed people.

Total number of Trainees passed from National Small Industries Corporation is as under:


YearTrainees passed (Nos.)


26 Scheme of Fund for Regeneration of Traditional Industries (SFURTI) clusters under Khadi, Village Industries & Coir categories have been granted final approval with a total project cost of Rs.72 crore benefiting around 25000 artisans. Assistance under SFURTI would be Rs.54.22 crore.  During the year 2015-16 (upto 31.01.2016) funds of Rs.20.75 crore has been released.

Employment targets fixed and achievement (cumulative) of Coir Board are as under:

YearTarget (in lakhs)Achievement (in lakhs)

No State-wise targets are fixed under Coir Board.

Under the Assistance to Training Institutions Scheme, targets are annually fixed for conducting training programmes for Entrepreneurship-cum-Skill Development Programmes (ESDPs)/Entrepreneurship Development Programmes (EDPs). The ESPDs/EDPs are aimed at generation of Wage-employment and Self-employment. However, no targets are fixed for generation of employment under the Scheme. During the period FY: 2014-15 and FY: 2015-16 (as on 31.01.2016), 23057 number of trainees were able to get Wage-Employment and 12454 number of trainees were able to get Self-Employment.

This information was given by the Minister of State, Micro, Small and Medium Enterprises, Shri Giriraj Singh in a written reply to a question in Rajya Sabha here today.

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