The Cabinet Committee on Economic Affairs (CCEA) has approved the continuation of the Credit Linked Capital Subsidy and Technology Up-gradation Scheme (CLCS-TUS) for the year 2017-18 to 2019-20.
This scheme aims at improving the competitiveness of MSMEs by integrating various ongoing schematic interventions aimed at up-grading technology through the Credit Linked Capital Subsidy (CLCS),
Special provisions have been made in this scheme to promote entrepreneurship for SC/STs, women, North Eastern Region, Hill States, Island Territories (Andaman & Nicobar and Lakshadweep) and the Aspirational Districts/ Left Wing Extremism (LWE) Districts.
The subsidy will be given for investment in acquisition/replacement of plant & machinery/equipment & technology up-gradation of any kind.
In addition, the scheme through Zero Defect & Zero Effect, component will promote the reduction in emission level of greenhouse gases and improve the competitiveness through the reduction in defect/wastage during the manufacturing process of the products.
It will also promote the innovation, digital empowerment of MSMEs, design interventions and support the protection of intellectual property of MSMEs.
The scheme will facilitate technology up-gradation to MSEs, improvement in Quality of products by MSMEs, enhancement in productivity, reduction in waste and shall promote a culture of continuous improvement.
The Credit Linked Capital Subsidy Scheme (CLCSS) for Technology Upgradation of SSI was launched by the Government of India during 2000-01.
Along with Small Industries Development Bank of India (SIDBI) and the National Bank for Agriculture and Rural Development (NABARD), there are 12 Nodal Banks/Agencies under CLCSS for the implementation of this scheme.