Loan approvals under Atmanirbhar, Stand-Up India in M'wada at snails pace

By Lokmat English Desk | Published: January 13, 2022 05:55 PM2022-01-13T17:55:01+5:302022-01-13T17:55:01+5:30

Marathwada accounts to only 05 per cent VAIBHAV PARWAT Aurangabad, Jan 13: Out of 6,194 loan application, only 104 ...

Loan approvals under Atmanirbhar, Stand-Up India in M'wada at snails pace | Loan approvals under Atmanirbhar, Stand-Up India in M'wada at snails pace

Loan approvals under Atmanirbhar, Stand-Up India in M'wada at snails pace

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Marathwada accounts to only 05 per cent

VAIBHAV PARWAT

Aurangabad, Jan 13:

Out of 6,194 loan application, only 104 applications have been sanctioned out of a provision of Rs 10,000 crore sanctioned under a five-year period under the umbrella of 'Atmanirbhar scheme' during the covid period, which is only 1.67 per cent in state. In backward areas like Marathwada, out of 1,407 applications, only eight applications have been sanctioned, that is only 0.5 per cent.

As per a report of the state level bankers committee, not only in industry, but also the loan disbursement under the 'Stand up India' scheme has been extremely slow. According to a report, many industries were shut down during covid period. But as the industry reopened, it was expected that businesses would get back on track. Number of industrialists had applied for loans for setting up of food processing, oil refining, spare parts manufacturing units and molding units. However, loan approval in this sector was at the slowest pace. The banks had received a target to approve at least 5,000 proposals under this scheme. But from the 6,194 applications, 104 applications were approved.

No loans for food processing

The state government had allotted Rs 500 crore two years ago to set up a food processing plant in Bidkin DMIC. But the park never took off. From the 6,194 applications, nearly 60 per cent applications were for setting up of food processing plants in Marathwada. But loan approval was only 1.67 per cent.

Scheme fails to 'Standup'

Stand-Up India was launched by Government of India in April 2016 to support entrepreneurship among women and SC and ST communities. Loans ranging from Rs 10 lakh to Rs 1 crore can be sanctioned under this scheme. Out of 23,832 entrepreneurs in the state, only 5,596 or 23.48 per cent got loans of Rs 1,071 crore. The share of Marathwada is far less. Out of 2790 applications, only 458 entrepreneurs or 16.42 per cent got loans of Rs 77 crore.

Change guidelines for food processing industry

The guidelines for the food processing industry were made in 1998. Soybeans are plentiful in Marathwada, but concession is given for tomato processing. The guidelines need to be changed by NABARD. The industry will not gain momentum until chains of godowns and cold storage are formed, said Devendra Maheshwari, food processing entrepreneur.

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