Entrepreneurship Ecosystem Overview

Daman & Diu

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Levers of change – Entrepreneurship

Following are the key levers of change which determinewhether a state’s policy, education, legal framework, financialsystems, business markets, cultural and social ethos areaugmenting Entrepreneurship Growth:

1. The Entrepreneur

2. Govt. & Regulatory Support

3. Access to Finance

4. Educational & Cultural Preparedness

5. Mentoring & Networking

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The Entrepreneur

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Daman & Diu ranks #24 on ‘Ease of Doing Business’ 2017-18

index according to the Department of Industrial Policy and Promotion's(DIPP).

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Govt. & Regulatory Support

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Schemes & Policies:

• This Self- Certification-cum-Consolidated Annual• Industrial Policy 2018

Govt. Regulatory Bodies:

• DIC Daman & Diu

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This Self- Certification-cum-Consolidated Annual

• SeIf-Certification -cum-Consolidated Annual Return Scheme aims at makingthe employer/ entrepreneur a conscious and truthful citizen and law abidingperson who is willing to take care of the interest of the workers andemployees by complying with all the laws as applicable and enable theDepartment of Labour & Employment to effectively protect the interest of theworkers as well as the employer/ entrepreneur and create a friendlyenvironment and relationship with Administration and the employer /entrepreneur.

• Objective of this Self-Certification-cum-Consolidated Annual Return Scheme isto curtail unnecessary visits of Government officials for inspection of thoseunits who opt for this Scheme without compromising on the safety, health,social security and welfare of the workers and allow to submit ConsolidatedAnnual Return in lieu of various returns under different labour laws.

https://www.dd.gov.in/Daman/Downloads/resolution-26-05-01-2015.PDF

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Industrial Policy-2018

• The new industrial policy of the UT aims at sustainable industrializationwith focus on employment creation, value addition to products, highexport growth and to leverage the competitive advantage of the UT basisits strategic location.

• It will lay focus on MSMEs, women entrepreneurs and SC/STentrepreneurs besides other sectors.

http://dnh.nic.in/Docs/12July2018/IndustrialPolicy2018.pdf

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DIC Daman & DIU

• The District Industries Centre, is functioning mainly with the aim of promotingfacilitating & developing, industrial growth in the Territory.

• This office carries out the registration of Micro, Small and Medium Enterpriseson basis of which further activities such as issue of electricity connection,pollution clearance, Health clearance, Factory license etc. are being issued bythe concerned departments.

http://www.daman.nic.in/websites/dic_daman/documents/FUNCTIONALITY%20OF%20DIC.pdf

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Access to Finance

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Schemes:

• Investment Promotion Scheme 2015-2020• MSME Schemes• IDBI/SIDBI Schemes by OIDC• Schemes by EDC Goa

VC’s/Angels/Other Institutions

• Omnibus Industrial Development Corporation

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Industrial Policy 2015-Investment Promotion Incentives

• Assistance for Quality Certification: 50% of the capital cost for installingthe Enterprise Resource Planning (ERP) System, maximum 50,000/- 50%of all charges including consultancy, maximum of Rs. 50,000/- for ISOCertification.50% of fee payable to the recognized internationalcertification authority and 50% cost of testing equipment and machinery,totaling upto maximum 10 lakhs. 50% of all charges, maximum 5 lakhs forISIS/WHOGMP/Hallmark Certifications.

• Energy, water saving 75% of energy/water audit, maximum 50,000/-. 25%of cost equipment, maximum 20 lakhs.

• Technology upgradation 10% maximum 50 lakhs.

• Incentives for textile sector: Interest subsidy for all textiles includingtechnical textile 10% per annum (Including TUFS or any other), maximum500 lakhs upto 7 years.

http://www.daman.nic.in/downloads/2015/DIC.pdf

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• Assistance of Capital Investment Subsidy for MSME’s: 10% subsidy isprovided on investment in plant and machinery upto a limit of 25 lakhsINR.

• Interest Subsidy: 5% subsidy on interest on loan is provided to MSMEentrepreneurs.

• Assistance for quality certification: MSMEs in the manufacturing sectorwill be provided 50% capital subsidy for quality certification.

• Assistance for patent registration: 50% capital subsidy is provided toenterprises that incur costs for patent registration.

• Incentive for local employment: To encourage employment for localpeople of the region, a onetime incentive of 3 lakh INR per 20 local hiresis provided to the MSME.

http://www.daman.nic.in/websites/Printing-press-Daman/documents/2015/Series-II%20No.27.pdf

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MSME Schemes

• TAX CONCESSIONS:

• Sales Tax Facilities: All category of units i.e.SSI, MSI and LSI in Dadra &Nagar Haveli are exempted from payment of Sales Tax for a period of 15years from the date of commencement ofproduction. In Daman & Diu thisfacility is available for 15 years to SSI, for 15 years to MSI and for 15 yearsto LSI.

• Octroi Duty: There is no Octroi Duty in these UTs.

• Exemption from Stamp Duty: In Daman and Diu 50% Exemption isavailable on Stamp Duty to SSI units for executing legal documents likelease/mortgage agreements etc.

• Tax Holiday: 100% Income Tax benefit under section 80-IA of Income TaxAct, recently introduced, for initial 5 assessment years.

http://www.dcmsme.gov.in/policies/state/damandiu/pstdd01x.htm

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IDBI/SIDBI Schemes by OIDC

• Some important schemes of IDBI/SIDBI likely to be undertaken by OIDCare:

• Term loan to Industry- maximum limit Rs.90 Lakhs (Cottage, Village andTiny Industries SSI, MSI &LSI)

• Financial Assistance to Hotels/Tourism related projects.

• Financial Assistance for Small Transport Operators.

http://oidc.nic.in/

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Schemes by EDC Goa

• Main objective of EDC-a Govt. of Goa undertaking is providing financialassistance to Entrepreneurs for starting, expanding, modernizing theiractivities.

• General Term Loan Scheme

• Scheme of Financial assistance against Mortgage of Immovable Properties

http://www.edc-goa.com/loan-and-schemes-of-edc-goa.html

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VCs/Angels/Other Institutions

• Omnibus Industrial Development Corporation (OIDC): OmnibusIndustrial Development Corporation (OIDC) of Daman & Diu andDadra& Nagar Haveli has been incorporated by the Government ofIndia specifically to aid, assist, and finance, promote, expedite andaccelerate the economic development of the UT. OIDC has beennotified as Financial Institution (FI) under the IDBI Act by theGovernment of India for refinancing schemes of IDBI and SIDBI. Someimportant schemes of IDBI/SIDBI likely to be undertaken by OIDC are:http://oidc.nic.in/

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Education & Cultural Preparedness

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Educational Institutions Promoting Entrepreneurship

• Technical Training Institute, Diu: Training is provided on the subject ofentrepreneurship. http://diu.gov.in/tti.php

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Mentoring & Networking

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Startup Incubators, Co-Working Spaces

• MSME - Development Institute, Ahmedabad: Aims to providesassistance for the promotion and development of Micro, Small andMedium Scale Industries in the UT.http://www.msmediahmedabad.gov.in/

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Thank You.

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