Sarkari Yojana
Coir Udyami Yojana
About Coir Udyami Yojana
Coir Udyami Yojana is a credit-linked subsidy scheme that helps set up coir units with a project cost of up to ₹10,00,000/-, plus one working-capital cycle capped at 25% of the project cost – though working capital itself isn’t eligible for subsidy. As a Central Sector Scheme under the Ministry of Micro, Small and Medium Enterprises, it is carried out nationally by the Coir Board, a statutory body under the MSME Ministry, acting as the Nodal Agency. > Financial Institutions providing loan under CUY:
- Every Scheduled Commercial Bank listed in the RBI Act’s 2nd Schedule
- All Regional Rural Banks
- Co-operative Banks that are Member Lending Institutions (MLIs) of the Credit Guarantee Trust Fund for MSME, plus SC/ST/OBC Finance and Development Corporations.
Scheme Overview
Central Government
Ministry Of Micro, Small and Medium Enterprises
ARI Division, MoMSME
Business Entity, Individual
Scheme Details
Eligibility Requirements
To qualify for Coir Udyami Yojana, applicants must satisfy the following conditions:
Eligibility conditions of the Beneficiaries:
The applicant must be an Indian citizen aged…
The applicant must be an Indian citizen aged 18 or above.
No income ceiling applies for receiving this scheme's…
No income ceiling applies for receiving this scheme's assistance.
The applicant must set up a project producing…
The applicant must set up a project producing coir fibre, yarn, or other coir-sector products.
Eligible applicant types include individuals, Companies, Self-Help Groups…
Eligible applicant types include individuals, Companies, Self-Help Groups (SHGs), NGOs, institutions registered under the Societies Registration Act, 1860, Production Co-operative Societies, Joint Liability Groups, or Charitable Trusts.
The applicant must not have already drawn a…
The applicant must not have already drawn a government subsidy for the same purpose under any other Central or State scheme. Other eligibility conditions:
Applicants from special categories must produce a certified…
Applicants from special categories must produce a certified caste/community certificate from the competent authority.
Institutional applicants must submit a certified copy of…
Institutional applicants must submit a certified copy of their bylaws, wherever applicable.
The project cost must include capital expenditure such…
The project cost must include capital expenditure such as building and machinery.
One working-capital cycle can be built into the…
One working-capital cycle can be built into the project proposal, though it won't count toward the subsidy; the working-capital loan is sanctioned and released only after the unit is set up, and it cannot exceed 25% of the total project cost.
If the applicant already owns a work shed,…
If the applicant already owns a work shed, only the cost of the additional machinery required counts as the project cost under the scheme. Note :
Special focus goes to SC/ST applicants and beneficiaries…
Special focus goes to SC/ST applicants and beneficiaries from the North Eastern Region (NER).
The scheme encourages women's and youth participation in…
The scheme encourages women's and youth participation in rural areas.
Only one person per family can get financial…
Only one person per family can get financial assistance under Coir Udyami Yojana; 'family' here covers the applicant and their spouse.
Benefits Provided
Coir Udyami Yojana provides the following benefits to eligible applicants:
Beneficiary's Contribution (of Project Cost):
5%- Bank Credit: 55%- Rate of Subsidy (of project cost): 40% Note:
The project's maximum admissible cost is ₹10,00,000/- plus…
The project's maximum admissible cost is ₹10,00,000/- plus working capital, with working capital capped at 25% of the project cost; the subsidy calculation excludes the working-capital component.
The Bank sanctions 95% of the project cost…
The Bank sanctions 95% of the project cost after the 5% beneficiary contribution is deposited, and disburses the full project cost - including the beneficiary's share - in instalments as the project is set up.
Documents Required
Applicants should keep the following documents ready before starting the application:
The prescribed application form for scheme assistance
The prescribed application form for scheme assistance
Copy of the title deed for the property…
Copy of the title deed for the property where the unit is or will be set up
Proof of experience in the coir industry
Proof of experience in the coir industry
Proof of training received from the Coir Board
Proof of training received from the Coir Board
Invoice for the machinery proposed to be purchased
Invoice for the machinery proposed to be purchased
Industrial Establishment Certificate from the District Industries Centre…
Industrial Establishment Certificate from the District Industries Centre (DIC)
Work-shed construction plan and estimate, certified by a…
Work-shed construction plan and estimate, certified by a Chartered Engineer
Project profile of the proposed project
Project profile of the proposed project
Caste certificate copy, for SC/ST applicants
Caste certificate copy, for SC/ST applicants
Any other supporting documents
Any other supporting documents
How to Apply
Offline Application
Applicants can apply for Coir Udyami Yojana through the offline application process outlined below.
Application Portal: Open Application Portal ↗
Fill out the prescribed application form (see Part-B)…
Fill out the prescribed application form (see Part-B) and attach all required documents.
File it at the nearest Coir Board Field…
File it at the nearest Coir Board Field Office.
Complete the mandatory 5-day Entrepreneurship Development Programme (EDP),…
Complete the mandatory 5-day Entrepreneurship Development Programme (EDP), either before or after submission but before the bank's recommendation.
The application gets scrutinised and passed on to…
The application gets scrutinised and passed on to the Regional Level Selection Committee.
The Committee evaluates it and sends approved cases…
The Committee evaluates it and sends approved cases to the bank.
Once the bank approves, the applicant deposits the…
Once the bank approves, the applicant deposits the 5% beneficiary contribution within 30 days.
The Coir Board deposits the 40% subsidy with…
The Coir Board deposits the 40% subsidy with the bank.
The bank releases the term loan within 30…
The bank releases the term loan within 30 days of receiving the subsidy.
The project must be finished within 6 months
The project must be finished within 6 months.
The Coir Board and the bank jointly conduct…
The Coir Board and the bank jointly conduct physical verification before the final subsidy adjustment.
Exclusions / Who Is Not Eligible
1. The units that have already availed Govt. subsidy under any other Scheme of the Govt. of India or the State Govt. for the same purpose are not eligible to claim a subsidy under the scheme.
1. Working capital will not be considered for subsidy.
1. Cases of inflated costing on machinery/building, and other elements of a project to avail a higher amount of subsidy will not be allowed, and such applications will be summarily rejected, or the committee will have the authority to consider such applications by reducing the cost of the project.
Official Application & Website
Verify the latest eligibility, dates and instructions before applying.