Uttar Pradesh Mukhyamantri Gramodyog Rozgar Yojana

What is Uttar Pradesh Mukhyamantri Gramodyog Rozgar Yojana?

Uttar Pradesh Mukhyamantri Gramodyog Rozgar Yojana is a rural self-employment scheme run by the Uttar Pradesh Khadi and Village Industries Board (UPKVIB) under the state's Khadi and Village Industries Department. Readers searching for it in transliterated form usually type Mukhyamantri Gramoudhyog Rozgar Yojana or Mukhya Mantri Gramodyog Rojgar Yojana; all three spellings refer to the same scheme, and the state's own e-portal uses the last of these.

The scheme exists to keep employment inside villages. Rural workers migrate because there is no local unit that can absorb them, and a village unit rarely gets off the ground because the interest burden in the first two years kills it before it reaches break-even. Mukhyamantri Gramodyog Rozgar Yojana attacks that specific problem.

How the money actually works is the single most important thing to understand before applying. UPKVIB does not lend money and does not hand out a cash grant. The entrepreneur takes a term loan and working capital from a bank, and UPKVIB bears the interest on that loan as a subsidy for the eligible period. The borrower repays the principal on the bank's schedule; the state absorbs the interest.

Two practical consequences follow from that design. First, an applicant who stops repaying principal loses the subsidy, because the subsidy is tied to a regular loan account. Second, the promoter's own margin contribution is still required, the bank will expect the entrepreneur to bring a share of the project cost, and the scheme does not replace that money.

Who runs the scheme and where is it administered?

UPKVIB administers Mukhyamantri Gramodyog Rozgar Yojana from its head office at 8 Tilak Marg, Lucknow 226001, with zonal offices and a District Khadi and Village Industries Office in each district. The scheme's dedicated e-portal, mmgrykhadi.upsdc.gov.in, carries separate logins for applicants, UPKVIB, participating banks, the head office and zonal office staff, which tells you exactly who touches a file on its way through: you, the district office, the zonal office, and the bank.

What kinds of units does the scheme finance?

The scheme works within the standard village industry classification used by the Khadi and Village Industries framework:

• Agro and food processing: flour milling, oil expelling, spice grinding, dal milling, pickle and papad making, bakery, dairy products.
• Forest-based: bamboo and cane work, honey processing, leaf plates, wooden articles.
• Mineral-based; pottery, lime, clay tiles, village-scale stone work.
• Polymer and chemical-based, soap, detergent, candles, footwear and leather goods.
• Handmade paper and fibre — paper units, coir and jute products, rope making.
• Rural engineering and service industry; repair workshops, welding, carpentry, cycle and motor repair, tailoring, laundry, flour chakki service.

The unit must be located in a rural area of Uttar Pradesh. A project proposed inside a municipal area does not qualify under a gramodyog scheme even if the promoter personally lives in a village.

Who is eligible for Mukhyamantri Gramodyog Rozgar Yojana?

You can apply if:

• You are a permanent resident of Uttar Pradesh and the proposed unit will stand in a rural area of the state.
• You are setting up a village industry unit that falls within the Khadi and Village Industries classification.
• You have a Detailed Project Report costing out machinery, working capital, expected output and the employment the unit will create. The e-portal publishes a downloadable DPR package to build it from.
• You can certify the premises where the unit will operate, using the workplace certification form the portal provides.
• You are creditworthy in the bank's assessment, because the underlying finance is an ordinary bank loan and the bank runs its own appraisal.

You cannot apply, or will be found not eligible, if:

• You are not a resident of Uttar Pradesh.
• Your unit will operate in an urban area rather than a rural one.
• You are an existing defaulter on a bank loan, since no bank will sanction the credit the whole scheme depends on.
• You have already taken subsidy for the same unit under another government scheme such as PMEGP. Double subsidy on one unit is not allowed.
• Your proposed activity sits outside the village industry list: most commonly a pure trading or retail resale business with no manufacturing or service component.

Preference is given to Scheduled Caste, Scheduled Tribe, women and ex-servicemen applicants under UPKVIB's gramodyog schemes. Because the exact concession has been revised over the life of the scheme, confirm the current figure at the District Khadi Office before you build it into your projections rather than relying on a number quoted on a private website.

What documents are required?

The DPR is where applications succeed or fail. The bank appraises the loan on the strength of that one document, so a realistic cost estimate, a genuine market for the output and a repayment schedule the unit can actually meet matter far more than the covering paperwork. The District Khadi and Village Industries Office helps applicants prepare it, and the portal's downloads section carries the DPR package, the bank procedure document and the user manuals.

How to apply for Mukhyamantri Gramodyog Rozgar Yojana

1. Open the scheme e-portal at mmgrykhadi.upsdc.gov.in and read the General Instructions document published on the home page before you start.
2. Download the DPR package, the workplace certification form and the user manual from the portal's downloads section.
3. Register as a new applicant with your name, mobile number and Aadhaar details, then log in with the credentials you create.
4. Fill the application form; personal details, category, the village and block where the unit will stand, the industry category, and the project cost.
5. Upload the DPR, the workplace certification form and your supporting documents, submit the application, and note the application number.
6. Print the submitted application and take it with the DPR and original documents to your District Khadi and Village Industries Office.
7. Attend the district screening, which scrutinises the project and forwards viable cases.
8. The forwarded file goes to a bank, which runs its own appraisal and sanctions the term loan and working capital.
9. After disbursement, set up the unit and start production. UPKVIB then settles the interest subsidy against your loan account for the eligible period.

How do I check my application status?

The e-portal provides application status tracking under the applicant login. Sign in with the credentials you registered and use your application number. Because the file moves through the district office, the zonal office and then a bank, the status line tells you which of those three is currently holding it, which in turn tells you whom to follow up with.

Calling the UPKVIB toll-free number 1800-120-7699 is the fastest way to confirm whether an application window is currently open in your district, since UPKVIB opens applications in cycles rather than continuously.

Why applications get rejected

• Unit proposed in an urban area, which puts it outside a rural industry scheme entirely.
• Weak or copied project report with costs the bank's appraisal cannot support.
• Activity outside the village industry list, most often a trading proposal.
• Existing loan default or a poor credit record, which blocks the bank sanction.
• Subsidy already availed on the same unit under PMEGP or another state scheme.
• Missing workplace certification for the proposed premises.
• Incomplete documents, a caste certificate absent where the concession is claimed, or residence proof that does not establish a rural address.
• Application filed outside the announced window.

An applicant rejected at the district screening stage can rework the DPR and reapply in the next cycle; there is no bar on reapplying. A rejection at the bank appraisal stage is a credit decision, and the sensible move is to sit down with the branch manager and the District Khadi Officer together to understand the objection before refiling.

Where to get help

• UPKVIB toll-free: 1800-120-7699.
• UPKVIB head office: 8 Tilak Marg, Lucknow 226001, landlines 0522-2208321, 2208310, 2208313 and 2207004.
• District Khadi and Village Industries Officer, the working contact for forms, DPR help, screening dates and the status of a forwarded file.
• Jansunwai at jansunwai.up.nic.in for a grievance that does not move, filed against the Khadi and Village Industries Department with your application number.

No fee is payable to UPKVIB for filing an application under this scheme.