Tamil Nadu Government to provide financial aid to Covid-19 battered MSMEs under CARE scheme

Credit and Finance for MSMEs: Under the CARE (COVID Assistance and Relief to Entrepreneurs) scheme, the government has identified restaurants, beauty parlours, gyms, and workshops as potential beneficiaries.

Tamil Nadu Government to provide financial aid to Covid-19 battered MSMEs under CARE scheme
In July 2022, the Minister for Micro, Small and Medium Enterprises of Tamil Nadu, T.M. Anbarasan announced a sanction of Rs 50 crores for carrying out the CARE scheme in the current fiscal.

Credit and Finance for MSMEs: As a part of the COVID Assistance and Relief to Entrepreneurs (CARE) scheme of the Tamil Nadu Government, the Industries Department of the state has reached out to micro, small and medium enterprises (MSMEs) to offer financial assistance to businesses that have been affected by the Covid-19 pandemic during 2020-21 and 2021-22 to get back on their feet.  

According to the report by The Hindu, District Industries Centre (DIC) has stated that both manufacturing and service-sector enterprises are eligible for the scheme. Restaurants, beauty parlours, gyms, and workshops will be potential beneficiaries of the CARE scheme, according to the DIC. Ice manufacturing plants are also said to have sought assistance under the subsidy-supported credit scheme.

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In July 2022, the Minister for Micro, Small and Medium Enterprises of Tamil Nadu, T.M. Anbarasan announced a sanction of Rs 50 crores for carrying out the CARE scheme in the current fiscal.

The scheme will be executed under two components. One of the components is to re-establish the current business or to commence new enterprises in similar, related or other activities. The other component will assist enterprises that are upgrading their technology or modernising their current business with the aim of improving productivity.

The applications for availing this scheme can be downloaded from the state website at http://www.msmetamilnadu.tn.gov.in.

The Collector of Nagapattinam, A. Arun Thamburaj suggested forthcoming entrepreneurs to use the provision of Single Window Clearance to obtain approval for commencing their enterprises according to a press release issued on Tuesday, the report noted. 

Approvals required from departments such as the Fire and Rescue Services Department, Department of Industrial Safety, Electricity Department, and local bodies could be downloaded from the government website at http://www.tnsqp.com/DIGIGOV. During monthly review meetings, these applications will be taken up for Single Window Clearance, as per the release.  

Also Read: Listed SMEs have better profitability ratios, higher return on assets but lower liquidity: RBI paper

The Tamil Nadu Single Window Portal is a one-stop portal for the electronic acceptance and distribution of applications to respective public bodies. It ensures the submission of supporting documents, communication of queries presented by respective authorities to enterprises and obtaining the enterprises’ responses, in addition to, tracking and monitoring the status of the application.

Furthermore, online Management Information System (MIS) reports are created for monitoring at various levels, and enterprises can download the final signed clearance.

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