Year of Enterprises 2.0

The Government of Kerala declared the year 2022-23 as the year of entrepreneurship to start one lakh micro small and medium enterprises (MSME) in the state. The project achieved its target within 245 days. As of 31st March 2023 there were 139,837 new MSMEs established in the state with an employment generation of 300,020. The Entrepreneurship Year 2.0 aims to launch one lakh new enterprises in the next financial year (2023-24) following the same model.

The Year of Enterprises 2.0 has the following objectives:

  • To create one lakh new MSMEs in the state of Kerala in the financial year 2023-24.
  • To provide financial and marketing support to MSMEs.
  • To enhance the skills and knowledge of entrepreneurs and build their confidence.

The following activities will be carried out in the financial year 2023-24 to achieve the objectives of the Year of Enterprises 2.0:

1. Planning and Awareness (April – June 2023):

District-wise target setting will be done through bottom-up planning. Monitoring Committee meetings will be conducted at district and local body levels to review the performance of the previous year. A detailed action plan will be formulated for the financial year 2023-24. Public orientation campaigns will be conducted for entrepreneurs in all local bodies.

2. Loan, License, and Subsidy Campaign (July – Sept 2023):

A campaign will be launched in all local bodies to provide information and support regarding loans, licenses, and subsidies available for MSMEs.

3. Marketing Campaign at Local Body Level (Oct – Dec 2023):

A marketing campaign will be conducted in all local bodies to promote the products and services of MSMEs. The campaign will use various media such as print, electronic, and social media.

4. Mentoring, Networking, and Confidence Building (Jan – Mar 2024):

A mentoring system will be launched where mentors and MSMEs will be registered. An MSME Networking Portal (Kerala Global Linker) will be introduced where MSMEs (new and existing) of all local bodies will be registered. MSME meets will be conducted regularly to provide a platform for MSMEs to network and share their experiences.

The Year of Enterprises 2.0 aims to create one lakh new MSMEs in the state of Kerala in the financial year 2023-24. The government is committed to providing financial and marketing support to MSMEs and enhancing the skills and knowledge of entrepreneurs. Through the implementation of the action plan, the government aims to build a vibrant entrepreneurial ecosystem in the state.

Ensuring Sustainability of Enterprises in Kerala

The Kerala government launched the Entrepreneurial Year scheme in 2022-23 with the aim of creating one lakh new enterprises in a year. The scheme has been highly successful, with 139,837 new MSMEs created and 300,020 jobs generated as of March 31, 2023. The next step is to ensure the success and sustainability of the newly formed enterprises.

The government plans to implement the MSME Sustainability Plan in FY 2023-24 with the following objectives:

  • Ensure sustainability of enterprises formed as part of the Entrepreneurial Year scheme
  • Ensure that at least 70% of the new MSMEs in the state operate successfully
  • Ensure 5% growth rate in turnover of new MSMEs in the state

In order to achieve the above objective, both short term and long-term activities are envisaged to be undertaken.

Short term activities

The short-term activities proposed to be implemented in the financial year 2023-24 include the following major steps:

  1. Current Status Assessment & Need Assessment Survey of MSMEs:

At this stage, the situation of newly formed enterprises will be mapped, and a needs assessment survey will be conducted. The information gathered will be recorded in a sustainability portal specially developed for this purpose. The survey will gather information on the operational status of the enterprise, challenges/problems faced, reasons for closure, plans for revival of non-functional units, assistance required/other special needs.

  1. Special campaigns:

Special campaigns will be conducted for MSMEs based on the findings of the needs assessment survey. Refresher sessions of general orientation trainings will be conducted which will include classes on finance, marketing, technology, licensing, industry prospects, potential for cluster development, new and innovative business ideas, etc. Campaigns to expedite loan applications of MSMEs in coordination with banks and financial institutions Marketing campaigns aimed at enabling MSMEs to position their products/services in the market. A special drive will be undertaken to locate and enroll supermarkets and civil supplies outlets in each local body to facilitate installation of MSME products.

  1. Capacity building:

Training sessions on finance, marketing, technology, quality control, and regulatory aspects of business will be provided to MSMEs based on the feedback from the needs assessment survey. Special trainings/workshops on innovative business ideas, potential business opportunities in various sectors, etc. will be conducted at taluk level. Campaigns will be conducted to create awareness among MSMEs about the benefits of doing business in partnership mode.

  1. Mentorship and Networking:

A statewide network of mentors from the business community will be developed to mentor the next generation of entrepreneurs. A mentorship portal will be developed where existing MSMEs and people interested in becoming mentors can register and connect with each other. Promotion of the portal will be done through industrial associations. District/Taluk wise conclaves of new and existing entrepreneurs will be conducted for networking. Documentation and publication of case-studies on MSME success stories will be done. Monitoring committee meetings will be held at state, district and local body levels to review sustainability activities.

Long term activities

The Long-term activities to ensure sustainability of MSMEs include:

  1. Automated System for MSME Performance Monitoring:

An online portal will be developed to analyze various performance indicators of MSMEs like GST bill and utility payments and identify MSMEs facing problems in their performance. This information will be used to develop appropriate intervention measures to prevent MSMEs from going out of business.

  1. State level networking cluster:

A state-level networking cluster will be created to promote collaboration and partnership among MSMEs.

  1. Permanent marketing infrastructure at taluk level:

Permanent marketing infrastructure will be created at taluk level to promote MSME products and services.

  1. MSME Networking Portal (Global Linker Model)

An MSME networking portal based on the Global Linker model will be developed to provide a platform for MSMEs to connect, collaborate and grow their businesses.

  1. Special incentives

Special schemes like financial assistance for patents and trademarking, interest-free loans, SGST exemption for 3 years, stamp duty and registration charges reimbursement and power tariff subsidy for 5 years, etc. will be introduced.

 

 

Initial Research & Background works

  • April 2023– Launching Year of Enterprises 2.0, Mission 1000 & Selfie Point +

    Launching YoE 2.0, Mission 1000 & Selfie Point

    On April 10, 2023, the Hon’ble Chief Minister of Kerala, Shri Pinarayi Vijayan launched initiatives such as ‘Mission 1000’, ‘Year of Enterprises 2.0’ and ‘Selfie Point’ of the Industries Department. The one-day long event was held at the Gokulam Park Convention Center in Kochi and was conducted as a continuation of the ‘Year of Enterprises’ programme launched by the industries department in the last financial year.

    The objective of Mission 1000 is to select 1,000 micro, small and medium enterprises (MSME) and turn them into ventures with an average turnover of Rs. 100 crores in four years. Speaking about the initiative, the CM said that the government intends to ensure the success of the enterprises and its sustainability. Sharing the government’s road map, the CM said that the Government would attract investments to Kerala on a large scale and aims to create a sustainable industrial environment.
    Hon’ble Minster for Industries, Law & Coir, Shri P Rajeeve, who presided over the event said that efforts are being made to create a system to monitor the performance of the MSME units on a real time basis and provide timely interventions to assist the units in resolving the issues. He also said that a total of more than 1.39 lakh enterprises were started in the first phase of the entrepreneurial year, which created a total of 3,00,016 jobs and attracted Rs.8400 Crores of investment. Overall, 45,107 enterprises were run by women and 14 people from the transgender community too became entrepreneurs. Year of Enterprises 2.0 has been initiated based on the success of the previous edition of the pro-business campaign.
    Hon’ble Minster for Finance, Shri K N Balagopal inaugurated the Mission 1000 Portal and YouTube Selfie Point aimed for the promotion of marketing activities of the existing enterprises. The channel will stream selfie videos introducing products and services provided by MSMEs. Shri APN Muhammed Haneesh IAS, Principal Secretary Industries, Shri Suman Billa IAS, Principal Secretary Industries, Shri Harikishore S IAS, Director Industries Department, Shri Umesh NS IAS, Ernakulam District Collector, and various heads of Industrial Associations were also present at
    the event.
    The inaugural session was followed by the Annual plan Roll out workshop for the officers of the Industries Department chaired by the Hon’ble Minister for Industries, Shri P Rajeeve. Various goals and activities to be carried out during the FY 2023-24 was discussed and feedback session was conducted at the end.

  • May 2023– Workshop for IEOs & Sustainability Campaign and Mission 1000 Initiative +

    Half-day Online workshop on Sustainability and Mission 1000

    On May 17, 2023, a half-day long online workshop was conducted for the IEOs and Interns across the State to make them understand about the data entry process for the Sustainability campaign and Mission 1000 initiative. The workshop started at 2.30 pm during which the Joint Director, Industries, Shri Rajeev G welcomed the attendees to the workshop and spoke about the various activities planned by the Industries Department as part of the Sustainability and Mission 1000 campaigns. He appreciated all the Interns and IEOs for their commendable work towards achieving the success of Year of enterprises campaign and further requested them to continue their full cooperation towards the Sustainability and Mission 1000 campaigns which were scheduled during FY 2023-24.

    The objectives and expected outcomes of the campaigns were briefed by the Joint Director. The representative from KELTRON conducted the session on the data entry in the Sustainability and Mission 1000 online portals. The workshop also included a question-and-answer session during which the attendees were allowed to ask their doubts regarding the data entry procedure. Few suggestions/ feedback on the online portal for data entry were also received during the session.

    Government Order on the Sustainability of 1 Lakh MSME scheme issued (29/05/23) (Click to download)

    The Internship programme received administrative sanction vide GO. (Rt) No. 496/2023/ID dated 29.05.2023:

    => Extension of contract for existing Enterprise Development Executives (earlier known as Interns) and recruitment of new Enterprise Development Executives (EDEs), at LSGIs through Centre for Management Development (CMD) for the Sustainability of enterprises. After a year of completion of the One lakh MSME scheme, the Interns were designated as Enterprise Development Executives and were entrusted with the duty to facilitate and assist the entrepreneurs for sustaining the existing enterprises and commencing new enterprises in the State.

     

  • June 2023 – International MSME Day event, ONDC MoU and District Reviews +

    Plan Review Conference for officers of Industries from all districts

    The first Plan Review Conference of FY 2023-24 was held June 16, 2023, at the Institute for Management in Government (IMG), Thiruvananthapura. The Director, Industries & Commerce Shri S Harikishore IAS welcomed the representatives of District Industries Centers from all districts and presented the agenda for the meeting. The Director appreciated all the GMs and other officials for their commendable work towards achieving the success of Year of enterprises 2022-23 campaign and further requested them to continue their good work towards the Sustainability, Year of Enterprises 2.0, Mission 1000, Make in Kerala, and all other activities which are scheduled during FY 2023-24. During the meeting, suggestions/ feedback on the Make in Kerala initiative, online portals for Mission 1000 and Sustainability data entry were also received from the districts.

    Shri Suman Billa IAS, Principal Secretary for Dept of Industries & Commerce, also spoke during the meeting on the importance of maintaining good relations with the entrepreneurs and establishing ground level connect with them to understand their issues and suggest solutions.

    District Review at Kollam

    The first District Review was held at Nani Hotel, Kollam on June 19, 2023, under the chairmanship of Shri Suman Billa IAS, Principal Secretary for Dept of Industries & Commerce. The agenda of the meeting was to review the performance of the District during the FY2022-2023 and interact with the Enterprise Development Executives, IEOs and ADIOs in the district. The meeting started at 10.30 am, during which the District General Manager, Shri Biju welcomed the gathering and gave a presentation highlighting the performance of the district during the past year. It was followed by a presentation by the ADIO, Kollam Shri Anil on the challenges and proposed solutions for the issues faced by the entrepreneurs within the district. 

    The Director, Industries and Commerce Shri S Harikishore IAS appreciated the performance of the district and emphasized the importance of the Sustainability campaign to be conducted by revisiting the enterprises formed as part of the Year of Enterprises 2022-23. The Principal Secretary interacted with the EDEs and IEOs to understand the field level activities conducted by them for assisting the entrepreneurs. He further directed the officials to establish strong connect with the entrepreneurs and provide overall handholding to them during all stages of setting up of the enterprises. He also spoke about the importance of promoting the low interest loans to the entrepreneurs and limit them from using their own money to run their businesses.

    ONDC – Kerala Government MoU signing event

    The Government of Kerala initiated the Year of Enterprises 2022-23 with the aim of establishing one lakh new enterprises within a year. This endeavor has been successful, resulting in the creation of 139,840 new enterprises in FY 2022-23, which in turn generated over 3 lakh job opportunities. Looking ahead to FY 2023-24, our focus is to strengthen the ecosystem and ensure the sustained growth of these newly established enterprises.

    In line with our vision, the Government is collaborating with Open Network for Digital Commerce (ONDC), an initiative by the Government of India. ONDC enables network-enabled applications to discover and engage in local commerce across various segments. The platform seeks to create fresh opportunities, reduce digital monopolies, and support Micro, Small, and Medium Enterprises (MSMEs) as well as small traders in accessing online platforms.

    To solidify the Government’s commitment to the ONDC programme, an Memorandum of Understanding (MoU) was signed between Kerala Government and ONDC on June 23, 2023 at Hilton Hotel in Thiruvananthapuram. The programme started at 02.30 pm. Shri Suman Billa IAS, Principal Secretary for Dept of Industries & Commerce welcomed the gathering. The presidential address was given by the Hon’ble Minister for Transport, Shri Antony Raju and the inaugural address was given by the Hon’ble Minister for Industries, Law & Coir, Shri P Rajeeve. Shri V P Joy IAS, Chief Secretary, Shri APM Mohammed Hanish IAS Principal Secretary, Industries & Commerce, Industries Shri S Harikishore IAS, Director, Industries & Commerce, Smt. Annie Jula IAS Officer in Special Duty, Industries & Commerce, representatives from 21 departments, including fisheries, and agriculture, were present at the event.

    At present, around 220 products from nine PSUs are being onboarded in the online platform. Officials from the ONDC including the Chief Executive Officer, Shri Thampy Koshy conducted awareness sessions introducing ONDC and highlighting the potential of e-commerce. ONDC also committed to conduct taluk level interventions with Industries Department to promote the digital market approach and onboard more enterprises into ONDC. The programme ended at 05 pm.

    International MSME Day 2023 event

    As part of celebrating the International MSME Day 2023, a half day-long event was conducted at the Apollo Dimora Hotel, Thiruvananthapuram on June 27, 2023, at 10.15 am. Shri Suman Billa IAS, Principal Secretary for Dept of Industries & Commerce welcomed the gathering. The event was inaugurated by the Hon’ble Minister for Industries, Law & Coir, Shri P Rajeeve and the presidential address was given by the Hon’ble Minister for Transport, Shri Antony Raju. Chief Secretary, . Shri V P Joy IAS, Chief Secretary, Shri APM Mohammed Hanish IAS Principal Secretary, Industries & Commerce, Industries Shri S Harikishore IAS, Director, Industries & Commerce, Smt. Annie Jula IAS Officer in Special Duty, Industries & Commerce, representatives from SLBC, RIAB, KINFRA, KSSIA, CII, FICCI and TiE Kerala were present at the event.

    As part of the event, a presentation on the “MSME ecosystem in Kerala” was made by the Joint Director, Industries Shri Rajeev G. A panel discussion on the “MSME ecosystem of 4 key sectors and way forward” was conducted. Successful entrepreneurs from the fields of Defense & Aerospace, Ayurveda & Biotechnology, ESDM and Medical Devices participated in the session, which was moderated by Director, Trinity College, Shri Arun Surendran. The programme concluded at 02 pm.

    Convergence Meeting with Kudumbasree

    “She Starts” – a joint initiative of Industries Department and LSGD, envisages to commence at least 40,000 enterprises run by the Auxiliary Group members of Kudumbasree during the FY2023-24. The Industries Department shall offer overall handholding support with the help of the Enterprise Development Executives at all local bodies and provide trainings to the aspirant entrepreneurs among the auxiliary group members.

    A convergence and orientation meeting was held on May 30, 2023, for the officials of Kudumbasree and Industries Department as part of She Starts campaign. The agenda of the meeting was to brief the participants about the activities to be conducted as part of the campaign during this financial year. Director, Industries Shri S Harikishore IAS welcomed the gathering and made a presentation on the activities to be conducted as part of the campaign and the duties and responsibilities of the officials of both sides. Executive Director, Kudumbasree Smt. Anu Kumari IAS welcomed the initiative to improve the convergence between the two departments.  

  • July 2023– District Review at Pathanamthitta +

    District Review at Pathanamthitta

    The second District Review was held at Pathanamthitta on July 05, 2023, under the chairmanship of Shri Suman Billa IAS, Principal Secretary for Dept of Industries & Commerce. The agenda of the meeting was to review the performance of the District during the FY2022-2023 and interact with the Enterprise Development Executives, IEOs and ADIOs in the district. The meeting started at 10.30 am, during which the District General Manager welcomed the gathering and gave a presentation highlighting the performance of the district during the past year.

    The Director, Industries and Commerce Shri S Harikishore IAS appreciated the performance of the district and emphasized the importance of the Sustainability campaign to be conducted by revisiting the enterprises formed as part of the Year of Enterprises 2022-23. The Principal Secretary interacted with the EDEs and IEOs to understand the field level activities conducted by them for assisting the entrepreneurs. He further directed the officials to establish strong connect with the entrepreneurs and provide overall handholding to them during all stages of setting up of the enterprises. He also spoke about the importance of promoting the low interest loans to the entrepreneurs and limit them from using their own money to run their businesses.

  • August 2023– Workshop on National Schemes, Kerala Brand SLC, ICAI Help Desk MoU signing and State Awards 2023 web portal launch +

    Workshop on NSIC and ZED schemes

    A workshop for the district and state level officers of the Industries Department on the various schemes offered by National Small Industries Corporation (NSIC) and Zero Defect Zero Effect (ZED) scheme was held at Residency Hotel on August 02, 2023. Additional Director, Industries Shri Rajeev G welcomed the gathering and highlighted the importance of the workshop. Hon’ble Minister for Industries, Law & Coir Shri P Rajeeve inaugurated the workshop. The Principal Secretary, Industries Shri Suman Billa IAS and Director, Industries Shri S Harikishore IAS were also present at the workshop.

    The workshop was primarily aimed to train the General Managers of all the District Industries Centers including the senior officials of the state government on the benefits of NSIC and ZED schemes.  Shri M Sreevatsan, Zonal Head, NSIC gave an exhaustive deliberation on all the NSIC schemes. A presentation on ZED scheme and its application procedure was made by the representative from MSME-DFO Thrissur. Question and answer session was also conducted during the workshop for clearing the doubts of the participants.

    Shri Suman Billa IAS, spoke on the importance of availing more Central government schemes and on the importance of various certifications for the MSMEs in the State which would enable them to upskill their products/ services to compete on a national or global stage. Additional Director, Industries Shri Kripa Kumar conveyed the vote of thanks for the event.

    Kerala Brand State Level Committee

    The State Level Committee for evaluating the criteria for awarding Kerala Brand to Coconut Oil manufacturers in the State was held at the office of the Principal Secretary, Industries, Shri Suman Billa IAS on August 09, 2023. The committee under the chairmanship of the Principal Secretary, Industries was convened by the Director, Industries, Shri S Harikishore IAS who presented the selection criteria for awarding Kerala Brand to Coconut Oil manufacturers in the State. The members of the committee discussed on the same and provided suggestions regarding the criteria for awarding the Brand.

    It was decided to award Kerala Brand to the manufacturers who produce Coconut Oil using raw materials entirely from within the State and have obtained AGMARK/ IS 542:2018 certification; provided they satisfy all the quality and ethical parameters.

    ICAI Help Desk MoU signing event

    Lack of financial discipline, awareness on existing financial laws, understanding of investment raising methods are some of the major challenges faced by the MSMEs in Kerala. Department of Industries signed a Memorandum of Understanding (MoU) with the Institute of Chartered Accountants India (ICAI) with the objective of assisting enterprises in effectively addressing these challenges through ICAI MSME Help Desks. The event was held at Renai Cochin on 19 August 2023. Hon’ble Minister for Industries, Law & Coir, Shri P Rajeeve was the chief guest at the event.

    The ICAI helpdesks will be operational on the first Saturday of every month in the regional offices of the ICAI chapters in the State. Entrepreneurs could avail the service of skilled financial professionals, free of cost through these helpdesks and seek all kinds of financial guidance to grow their enterprises into a sustainable business.

    State Awards 2023 web portal launch

    In view of recognizing the contribution of enterprises and appreciating the best performers & to motivate others to strive for excellence, Govt. of Kerala decided to organize the State Awards 2023 for the best enterprises/ entrepreneurs, District Industries Centers, and local bodies in the State. The launch of the web portal (https://awards.industry.kerala.gov.in) for submitting the award nominations to the Directorate of Industries and Commerce was held at the office of the Hon’ble Minister for Industries, Law & Coir, Shri P Rajeeve on 23 August 2023.

    Hon’ble Minister said that these awards are primarily meant for appreciating the contribution of MSMEs and to honor the best performers and motivate the entrepreneurial community to strive for excellence. The awards will be given to the enterprises that have put up the best performances in State and district-levels.

    The different categories entitled for the awards include MSME, exporters, Local Self Government Institutions and District Industries Centres. This is for the first time an award for LSGIs is instituted for excellence in facilitating enterprises in their respective area. MSMEs including product start-ups, export units, enterprises led by women, entrepreneurs from the SC/ST communities and transgender persons will be given awards. Lifetime Achievement Award will be given based on the exemplary contributions rendered to Kerala’s industry and commerce sector and society.

    The nominations received from enterprises, Local bodies and DICs shall be evaluated through an objective and transparent selection system. Best Enterprises will be selected based on their performances up to the financial year 2021-22. The criterion for the selection of the best LSGIs and DICs is their performance relating to ‘Year of Enterprises’ (2022-23) project.