Udyogini Yojana: Empowering Women Through Self-Employment

Udyogini Yojana Scheme for Women Entrepreneurs: How to Apply, Eligibility

Udyogini Yojana is like a bright light for women in Karnataka. It helps them become more independent and financially secure. This scheme, approved by the Karnataka government, gives women a chance to start their businesses. They can work for themselves, especially in trading and providing services. Now, let’s talk about this amazing plan and how it’s changing lives for the better.

This scheme is making a big difference in the lives of many women. It’s helping them become more confident and giving them a chance to support themselves and their families. With Udyogini Yojana, women are no longer dependent on others for work or money. They’re stepping into the world of entrepreneurship and creating a brighter future for themselves and their communities.

Udyogini Yojana Scheme Objectives

Under the Udyogini Yojana Scheme, women entrepreneurs can access subsidized loans facilitated by the Karnataka State Women’s Development Corporations. These loans, channeled through various financial institutions such as commercial banks, district cooperative banks, and Regional Rural Banks (RRBs), aim to provide formal avenues of credit to women, thereby curbing reliance on private lenders and exorbitant interest rates.

Name	Udyogini Scheme
Introduced by	Government and Women entrepreneurs in India
Implemented by	Government of India’s Women Development
Interest Rate	Competitive, subsidized, or free for special cases
Annual Family Income	Rs. 1.5 lakh or less
Loan Amount	Max. up to Rs. 3 lakh
No income limit	For Widowed or disabled women
Collateral	Not required
Processing Fee	Nil

List of Approved Business Activities

The scheme supports a myriad of profitable business activities, including but not limited to bookbinding, notebook manufacturing, chalk and crayon manufacture, jam, jelly, pickles manufacture, papad manufacture, saree, and embroidery work, printing and dyeing of clothes, and woolen weaving. These ventures offer ample opportunities for women to explore their entrepreneurial spirit and achieve self-sufficiency.

The List of Supported Businesses under the Udyogini Scheme is given in the table below:

Agarbatti Manufacturing	Diagnostic Lab	Leaf Cups Manufacturing	Ribbon Making​​
Bangles	Edible Oil Shop	Milk Booth	Shops & Establishments
Audio & Video Cassette Parlour	Dry Cleaning	Library	Sari & Embroidery Works
Bakeries	Dry Fish Trade	Mat Weaving	Security Service
Banana Tender Leaf	Eat-Outs	Match Box Manufacturing	Shikakai Powder Manufacturing
Bottle Cap Manufacturing	Fish Stalls	Old Paper Marts	Soap Oil, Soap Powder & Detergent Cake Manufacturing
Beauty Parlour	Energy Food	Mutton Stalls	Silk Thread Manufacturing
Bedsheet & Towel Manufacturing	Fair-Price Shop	Newspaper, Weekly & Monthly Magazine Vending	Silk Weaving
Book Binding And Note Books Manufacturing	Fax Paper Manufacturing	Nylon Button Manufacturing	Silk Worm Rearing
Cleaning Powder	Gift Articles	Photo Studio	Tea Stall
Cane & Bamboo Articles Manufacturing	Flour Mills	Pan & Cigarette Shop	Stationery Shop
Canteen & Catering	Flower Shops	Pan Leaf or Chewing Leaf Shop	STD Booths
Chalk Crayon Manufacturing	Footwear Manufacturing	Papad Making	Sweets Shop
Chappal Manufacturing	Fuel Wood	Phenyl & Naphthalene Ball Manufacturing	Tailoring
Cotton Thread Manufacturing	Ink Manufacture	Radio & TV Servicing Stations	Vegetable & Fruit Vending
Clinic	Gym Centre	Plastic Articles Trade	Tender Coconut
Coffee & Tea Powder	Handicrafts Manufacturing	Pottery	Travel Agency
Condiments	Household Articles Retail	Printing & Dyeing of Clothes	Tutorials
Corrugated Box Manufacturing	Ice Cream Parlour	Quilt & Bed Manufacturing	Typing Institute
Dairy & Poultry Related Trade	Jute Carpet Manufacturing	Real Estate Agency	Woollen Garments Manufacturing
Crèche	Jam, Jelly & Pickles Manufacturing	Ragi Powder Shop	Vermicelli Manufacturing
Cut Piece Cloth Trade	Job Typing & Photocopying Service	Readymade Garments Trade	Wet Grinding

Udyogini Scheme Features

1. Encouragement for Female Borrowers: Facilitating access to loans from banks and financial institutions, enabling women to start earning income.
2. Interest-Free Loans: Providing eligible women beneficiaries with interest-free loans, promoting financial inclusivity and fairness:
3. Affordability for Special Categories: Making financial aid more affordable for women in SC/ST and other special categories, ensuring equal opportunities.
4. Prevention of High-Interest Loans: Mitigating the risk of women resorting to high-interest loans from private lenders or financial organizations.
5. EDP Training for Skill Enhancement: Offering Entrepreneurship Development Program (EDP) Training to enhance the skills and capabilities of women beneficiaries.

Udyogini Yojana Benefits of Udyogini Yojana

The scheme extends its benefits across different categories of women. For those belonging to Scheduled Castes and Scheduled Tribes, the unit cost ranges from ₹1,00,000 to ₹3,00,000, with a subsidy of 50% of the loan amount. Similarly, for women in special and general categories, the maximum unit cost is ₹3,00,000, with a subsidy of 30% or a maximum of ₹90,000, along with Entrepreneurship Development Program (EDP) training for selected beneficiaries.

Category	Unit Cost Range	Subsidy	Additional Benefits
Scheduled Castes and Tribes	₹1,00,000 to ₹3,00,000	30% of the loan amount or ₹90,000 maximum	–
Special and General Category	Up to ₹3,00,000	30% of loan amount or ₹90,000 maximum	Entrepreneurship Development Program (EDP) training for selected beneficiaries

Udyogini Yojana Eligibility Criteria

To avail of the scheme’s benefits, applicants must meet certain eligibility criteria:

• The applicant must be a woman.
• The family income should be less than ₹1,50,000 for women belonging to general and special categories, with no income limit for widowed or disabled women.
• The applicant’s age should fall between 18 to 55 years.
• Permanent residency in Karnataka is mandatory.
• No defaults on past loans with any financial institution are allowed.

Udyogini Yojana Application Process

The application process for Udyogini Yojana can be done both offline and online:

Offline Process:

Step 1: Visit the nearest bank with all required documents and fill out the application form.

Step 2: Submit the completed form and documents to the nearest bank/KSFC branch for verification.

Step 3: Upon approval, the loan amount is disbursed to the applicant’s bank account or directly to the supplier’s account.

Online Process:

Step 1: Apply for loans online through the official website of banks offering loans under the Udyogini scheme.

Step 2: The application is examined and forwarded by the CDPO to the Selection Committee.

Step 3: Upon approval, the loan amount is disbursed similar to the offline process.

Documents Required

Applicants need to provide the following documents:

• Three passport-size photographs.
• Certificate regarding training/experience of the activity.
• Detailed Project Report (DPR) of the activity.
• Ration Card/Voter ID Card.
• Annual Income Certificate of the Family.
• Caste Certificate (for SC/ST applicants).
• Quotations for Machinery, Equipment, and Other Capital Expenses.

Conclusion

Udyogini Yojana is a strong symbol of the government’s dedication to empowering women and ensuring everyone has a chance to succeed economically. Through this program, women in Karnataka receive the financial help they need to start their businesses and become self-reliant. It’s like laying down a path toward a better future where women can stand on their own feet and contribute to the growth of their families and communities. With Udyogini Yojana, the government is making sure that no woman is left behind and that everyone has the opportunity to thrive.

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