Grant Of Margin Money - For Availing the Capital Loan

To encourage the entrepreneur to set up new silk weaving industries or to renew of existing units

Criteria to avail the assistance

The silk unit should be set up in the Union Territory of Puducherry

The promoter should belong to the U.T. of Puducherry by virtue of birth or by residence continuously for 5 years

The promoter should ascertain availability of loan

Loan sanction letter from the financial institution should be produced

The unit should start its commercial production within six months from the date of release of the Margin Money Grant.

The promoter should produce undertaking letter assuring that he will run the unit successfully for 5 years after establishment of the unit

Pattern of Assistance

25% of the loan amount restricted to Rs.50,000 will be released to the bank on behalf of the entrepreneur as margin money