The National SC ST Hub Scheme (NSSH) is a flagship initiative by the Ministry of Micro, Small and Medium Enterprises under the Government of India to promote entrepreneurship among Scheduled Caste (SC) and Scheduled Tribe (ST) communities.
The scheme is designed to empower SC/ST-owned MSMEs by improving their participation in public procurement, enhancing competitiveness, and providing financial and technical support.
What is the National SC ST Hub Scheme (NSSH)?
The National SC-ST Hub Scheme aims to:
- Increase participation of SC/ST entrepreneurs in government procurement
- Provide professional support to MSMEs
- Promote inclusive business growth
- Strengthen supply chains involving SC/ST enterprises
It aligns with the Public Procurement Policy, which mandates that 4% of government procurement must be sourced from SC/ST MSMEs.
Key Benefits and Components for MSMEs
The NSSH scheme is not just a policy; it is a suite of financial and technical interventions. Here are the primary benefits:
1. Special Credit Linked Capital Subsidy Scheme (SCLCSS)
This is the flagship financial component. Under SCLCSS, SC-ST-owned Micro and Small Enterprises (MSEs) can receive:
- 25% Capital Subsidy on institutional finance (bank loans) for the purchase of plant, machinery, and equipment.
- No Sector Restrictions: Unlike other schemes, this applies across various manufacturing and service industries.
- Subsidy Cap: Maximum subsidy allowed is ₹25 lakh.
2. Market Access and Special Marketing Assistance (SMAS)
The scheme helps businesses find buyers through:
- 4% Procurement Target: Mandatory 4% procurement by Central Ministries, Departments, and CPSEs from SC-ST-owned MSEs.
- Exhibition Support: Funding for participating in domestic and international trade fairs and exhibitions.
- Vendor Development Programs (VDPs): Direct interaction sessions with large buyers and PSUs.
3. Reimbursement of Key Business Expenses
To reduce the financial burden of compliance and operations, NSSH offers:
- 80% Reimbursement on bank loan processing fees.
- 80% Reimbursement on testing fees for NABL/BIS accredited labs.
- 100% Subsidy for Single Point Registration Scheme (SPRS) with NSIC (paying only ₹100 + GST).
- Reimbursement for E-commerce: Support for annual membership fees on portals like GeM, e-Khadi, and MSME Mart.
Eligibility Criteria under National SC ST Hub Scheme
To avail of the benefits under the NSSH scheme, an enterprise must meet the following definitions:
| Type of Enterprise | Requirement for SC-ST Status |
| Proprietorship | The proprietor must belong to SC/ST category. |
| Partnership | SC/ST partners must hold at least 51% share. |
| Private Limited | SC/ST promoters must hold at least 51% share. |
Mandatory Registrations:
- Valid Udyam Registration.
- Valid Caste Certificate for all promoters.
- Registered as a Micro or Small Enterprise (Medium enterprises are generally excluded from SCLCSS).
How to Apply: A Step-by-Step Process for National SC ST Hub Scheme
- Register on Udyam: Ensure your business is registered on the Udyam Portal.
- Visit the NSSH Portal: Go to the official National SC-ST Hub website.
- Submit Documents: Upload your Caste Certificate, PAN Card, and Udyam Certificate.
- Bank Coordination: For the capital subsidy (SCLCSS), apply through your Primary Lending Institution (the bank where you took the business loan).
- Claim Reimbursement: For testing fees or registration fees, submit the original invoices and payment receipts via the NSSH portal or the nearest NSIC office.