Currently 2 State Governments are Providing CMEGP for the Residents.



Chief Minister Employment Generation Programme

Download Maharashtra CMEGP Guidelines here


Chief Minister Employment Generation Programme

The Government of Karnataka has launched Scheme called Chief Minister Employment Generation Programme to provide more employment opportunities to Rural Artisans. The entrepreneur who is interested to avail this benefit will be provided loan from the banks and the Margin Money will be provided by Karnataka State Khadi and Village Industries Board/District Industries Centers. This Margin Money will be adjusted to loan account of the Entrepreneur only after 3years of Successful establishment and running of the Units.

  • The Government of Karnataka, through its order No.CI 134 CSC 2015 Dated:15-10-2015 has released guidelines for the implementation of the scheme in respect of Micro Industrial Units. 
  • The Implementation is regulated by the Director and Commissioner, Department of Industries and Commerce, at the State Level along with the CEO of the Karnataka Khadi and Village Industries Board and the District Level Committee headed by the Deputy Commissioner/District Magistrate of the Concerned District.
1. Beneficiaries own Contribution The Entrepreneur should deposit his own contribution in the financing branch bank SB A/c @ mentioned below before release of First installment of loan portion. (a) 10% of project cost in case of general category. (b) 5% of project cost in case of special category.
2. EDP Training The beneficiary should under go EDP training before released of 1st installment loan amount from the financing branch for the projects for the period of 1 week. EDP is compulsory.
3. Educational Qualification The beneficiary should have Minimum pass in 8th std for availing of loan for the projects.
4. Rural area definition Revenue Village or a any area whose population does not exceed 20,000.
5. Village Industries definition Any industry location in rural area which produces any goods (except the product shown in Negative list) or render any service with or without the use of power. The Margin Money Scheme benefits will not be provided to Khadi, Polyster, Wool and Silk industries which are provided with rebate by state and central governments.
6. Per capita investment The fixed capital investment per head employment should not exceed Rs.1, 00, 000/-
7. Rural Transports This Scheme is not applicable for financial assistance in respect of rural transport.
8. Negative live The unit should not take up the production of products included in the negative lists.
9. Limit of Project Cost The Maximum limit of project cost is Rs.10.00 lakhs.

The loans for the projects will be provided by the selected Nationalized Banks, Private Scheduled Banks, Grameen Banks and Co-operative Banks. The Margin Money component will be provided by the implementing agencies.

The Margin Money component details are as furnished below.

Category Beneficiary contribution (in% of Project cost Bank loan (in% of project cost) Margin Money percentage of project cost (Credited to Financing Banks and beneficiary A/c.
General Category 10% 90% 25%
Special Category SC/ST, OBC, Minority, Women, Physically Challenged/Ex-servicemen) 5% 95% 35%


I. Mineral Based Industry:

  1. Cottage pottery Industry
  2. Lime stone, Lime shell and other lime products Industry.
  3. Stone cutting,crushing,carving, and engraving for temples and buildings.
  4. Utility Articles made out of stone.
  5. Slate and Slate pencil Making.
  6. Manufacture of plaster of Paris.
  7. Utensil washing powder.
  8. Fuel Briquetting
  9. Jewellery out of Gold ,Silver ,Stone , Shell and Synthetic materials.
  10. Manufacture of Gulal ,Rangoli.
  11. Manufacture of Bangles.
  12. Manufacture of Paints ,Pigments ,Varnishes, and Distemper.
  13. Manufacture of Glass Toys.
  14. Glass decoration-Cutting ,Designing anf Polishing.
  15. Gem Cutting.
  16. Iodised Salt.

II. Forest Based Industry :

  1. Handmade Paper.
  2. Manufacture of Katha.
  3. Manufacture of Gums and Resins.
  4. Manufacture of Shellac.
  5. Cottage Match Industry, Manufacture of Fire works and Agarbhattis.
  6. Bamboo and Cane work.
  7. Manufacture of Paper cups,Bags and other Paper containers.
  8. Manufacturre of exercise Books,binding,Envelope making ,register making,including all other stationery items made out of paper
  9. Khustattis and Broom Making
  10. Collection,Processing & Packing of forest Products.
  11. Photo framing
  12. Manufacture of Jute Products.(under fibre Industry)

III. Agro Based and Food Industry

  1. Processing packing and marketing of cereals,spices,Condiments,Masala etc.
  2. Noodles Making.
  3. Power atta Chakki
  4. Daliya Making.
  5. Mini rice Shelling Unit.
  6. Palmgur making and other palm products industry.
  7. Manufacture of Cane gur and Khandsi
  8. Indian Sweets making
  9. Sugar cane juice catering unit
  10. Bee-Keeping.
  11. Fruits and Vegetable processing,Preservation and canning including Pickles
  12. Ghani oil Industry
  13. Menthol Oil
  14. Fibre
  15. Collection of Forest Plants and Fruits for Medicvinal Purpose
  16. Processing of Maize and Ragi
  17. Pith work,Manufacturing of Pith mats and Garlands etc.
  18. Cashew Processing
  19. Leaf cup making
  20. Milk Products making unit.
  21. Cattle feed,Poultry feed making.

IV. Polymer and Chemical Based Industry

  1. Flaying,curing and tanning of hides and skins an ancillary Industries connected with the cottage leather works.
  2. Cottage soap Industry.
  3. Manufacture of Rubber goods (dipped latex products)
  4. Products out of Rerxin,PVC etc.
  5. Horn and Bone Including ivory products.
  6. Candle,Camphor, and sealing wax making.
  7. Manufacture of Packing items of Plastic.
  8. Manufacture of Bindi
  9. Manufacture of Mehandi
  10. Manufacture of essence oil
  11. Manufacture of Shampoos
  12. Manufacture of hair-oil
  13. Detergents and washing Powder making (Non toxic)

V. Rural Engineering & Bio Technology ( REBT )

  1. Carpentry
  2. Blacksmithy.
  3. Manufacture of House hold Alluminium utensils
  4. Manufacture and use of Manure and methane (Gober) Gas from cow dung and other waste products.(such as flesh of dead animals, night soil etc).
  5. Vermi compost
  6. Manufacture of Decorative bulbs, bottles, glass etc.
  7. Umbrella Assembling.
  8. Solar and wind energy implements
  9. Manufacture of Handmade utensils out of Brass.
  10. Manufacture of Handmade utensils out of copper.
  11. Manufacture of Handmade utensils out of Bell metal.
  12. Other Articles made out of Brass, Copper and Bell metal.
  13. Production of radios.
  14. Production of Cassette Player whether or not fitted with the radio
  15. Production of voltage Stabilizer.
  16. Manufacture of electronic clocks and alarm time Pieces.
  17. Carved wood and artistic furniture making.
  18. Tin smithy
  19. Motor Winding
  20. Wire net making.
  21. Iron grill making.
  22. Manufacture of Rural Transport vehicles such as hand carts,bullock cart,Small boats, cycle rickshaw,Motorised carts etc.
  23. Manufacture of Musical Instruments.

VI. Service Industry

  1. Cycle Assembly / Repair.
  2. Service station for two wheeler, Three wheeler and four wheeler.
  3. Readymade Garments.
  4. Tailoring.
  5. Boutique Work
  6. Toys and Doll Making.
  7. Thread Balls and Woolen Balling, Lacchi Making.
  8. Embroidery
  9. Manufacture of surgical Bandages
  10. Stove Wicks.
  11. Embroidery of Fabrics
  12. Laundry
  13. Barber
  14. Plumbing
  15. Servicing of Electric wiring, electronics Domestic appliances and equipments.
  16. Repairs of Diesel Engine, Pump set etc.
  17. Tyre Vulcanizing unit
  18. Agriculture servicing like Sprayers for insecticides, Pumpset service etc.
  19. Hiring of Sound system like loud speakers amplifier mike etc.
  20. Battery Charging
  21. Art Board Painting
  22. Cycle repair shops.
  23. Masonary
  24. Band Troupe
  25. Tea stall

Negative Project List

  1. Breweries & Distilleries of all types excluding winery.
  2. Khandasari and Jaggery making enterprises.
  3. Photo Studios & Color Processing and instant photo printing Enterprises.
  4. Photo Copying, Xerox machines, Fax machines, Data Entry, data Recovery enterprises.
  5. Fertilizer mixing units.
  6. Units engaged in Re-packing of Drugs/Medicines/Chemicals without any processing or value addition.
  7. All types of Saw Mills excluding manufacture of particle board/Low Density Fiber Board (LDF)/Medium Density Fiber Boards (MDF)/High Density Fiber Boards (HDF).
  8. Beedies/Cigarettes/Cigars/Gutka & other Tobacco based products manufacturing enterprises.
  9. Azoic/Reactive Dyes manufacturing enterprises.
  10. Fire Cracker manufacturing enterprises.
  11. Industries manufacturing and/or utilizing ozone depleting substances.
  12. Laundries including Power Laundries.
  13. Brick making Enterprises excluding Cement Hollow Blocks, Wire Cut & Fly Ash Bricks and Refractory Bricks.
  14. Poultry excluding hatcheries.
  15. Popcorn and Ice candy making Enterprises excluding Ice Cream Manufacturing.
  16. Coffee roasting and grinding units having installed capacity of less than 2MT/day capacity.
  17. Clock and Watch/Mobile/Compute and Hardware equipment’s repair enterprises.
  18. Cassette recording (Audio & Video enterprises).
  19. Cyanide Manufacturing enterprises.
  20. Mining and Mining Equipment’s.
  21. Lime kiln/burnt lime units.
  22. X-ray clinics and clinical/pathological laboratories and scanning, M.R.I. testing enterprises.
  23. All industries of mobile nature like rigs, concrete/tar mixing plants/hot mix plants including site oriented industries.
  24. Units engaged in manufacture of Chrysolite Asbestos (White crystal).
  25. All types of Saloons, Spas, and Massaging Centers etc.
  26. All types of hotels/restaurants/resorts/amusement parks etc.

Chief Ministers Self Employment Generation Programme – Eligibility criteria


  • Minimum: 18 years
  • Maximum: 35 years for general
  • Maximum 45 years for Special Category (SC/ST/OBC/minorities/Ex-servicemen/PPH/Women)

Academic Qualification

For projects worth of   Rs 5 lakhs and above minimum qualification is 8th standard pass.


  • Scheduled caste: 15%
  • Scheduled Tribe:7.5%
  • OBC: 27%
  • Physically disabled: 03%
  • Ex-servicemen: 01%
  • Minority: 05%
  • Women Overall: 30%

How To Apply For Chief Minister Self Employment Generation Programme

The eligible candidates can apply online here. Once this link is clicked the candidate needs to select the agency from which he wants financial support. Aadhaar is compulsory to avail the benefit. The application can be downloaded from here. The submitted application can be edited here: Below is how you can apply:

  • District Industries Centres (DICS) and Karnataka Khadi and Village Industries Board (KVIB) call applications from unemployed First Generation Entrepreneurs
  • First Generation Entrepreneurs can submit their applications for setting ups of manufacturing and service units.
  • DIC and KVIB present this application before the district-level task force committee.
  • After conducting an interview, committee and recommends applications to nationalised/commercial banks/Regional Rural banks for sanction of composite loan.
  • DIC and KVIB and other agencies will provide assistance like sanctioning loans, power supply, approval from local bodies and allotment of land or sheds.
  • DIC’s and KVIB ensure timely commissioning of the projects and monitor the progress on a monthly basis.

Other Conditions

  1. This assistance will be provided only for first-generation entrepreneurs
  2. Units can’t claim this fund for expansion/modernization/diversification
  3. Applicants should not avail any loans under PMEGP or any other scheme.
  4. An applicant has to undergo EDP training before the sanction of the subsidy. Financial banks can release loan to the applicants but they have to complete the training and has to produce the certificate before the sanction of the subsidy.
  5. The applicants who have already undergone one week EDP training from CEDOK, RUDSET, RSETI or any other government recognised institutions are exempted from EDP training.
  6. No income limit

Chief Ministers Employment Generation Programme Application – Documents To Be Enclosed

  • Application with a recent passport photo
  • Project report
  • Age proof
  • Education qualification documents
  • EDP training certificate
  • Voter ID/ Ration card
  • Permission from Grama Panchayath
  • List of machinery to be purchased
  • caste certificate
  • Physically handicapped certificate
  • Ex-servicemen certificate
  • UAM


Contact nearest KVIB /DIC /Bank Offices or,


Khadi Bhavan ,No.10,Jasma Bhavan Road, Bangalore-560052.

Phone :22643445/22643439E-mail :

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