Coir Board joined hands with State Bank of India

Kochi, July 28 (ANI): The Scheme, which is named as REMOT Scheme (Rejuvenation, Modenisation and Technology Upgradation Scheme) is being implemented by Coir Board with the cooperation of Banks. The State Bank of India (SBI) has expressed its willingness to cooperate with Coir Board for the implementation REMOT Scheme and to consider/disbursal of term loan in Kerala as contemplated in the Scheme.

The benefit of the Scheme accrues to two categories viz -spinning category and household category.

Any individual, self-help group or a group of persons who want to engage themselves in the coir spinning activity or already in the coir spinning activity are eligible for the benefit under the Scheme. The Memorandum of Understanding on implementation of REMOT Scheme of Coir Board was signed by M Kumararaja, Secretary on behalf of Coir Board, Government of India and by K Neelakandhan, Assistant General Manager (SME), SBI.

The MoU was signed and exchanged in the presence of A.C.Jose, Chairman, Coir Board. "This is the first time in the history of Coir Board that such a novel Scheme with maximum out lay is implemented in the Coir sector for the benefit of workers in the spinning as well as products sector," Jose said.

Coir Board has been implementing a novel Coir centric Scheme to benefit the working class in the Coir sector in the XIth plan, Jose added. The total outlay of the Scheme is Rs. 243 crore. The outlay comprises of Central Government subsidy of Rs.99 crores.

The unit cost for a spinning unit has been pegged at Rs.2.00 lakhs. The beneficiary contribution, either in his individual capacity or in his collective capacity, will be Rs.10000. The grant amount of Rs.80000 will be deposited by the Board in the Bank. The bank will provide Rs.1,10,000 as term loan to the unit at a lower interest rate. The term loan obtained from the bank need to be closed within a period of five years from the date of sanction.

Similarly, for the tiny household sector, the unit cost ceiling fixed at Rs.5.00 lakhs. The beneficiary contribution will be Rs.25,000. The Bank will provide Rs. 2,75,000 as term loan with attractive interest which should be closed with in a period of 5 years. The Board will deposit the grant portion of Rs.2,00,000 with the Bank. By Juhan Samuel (ANI)