What is Single Point Registration Scheme in NSIC?
The Indian Government has undertaken various measures for the promotion development of the small & budding entrepreneurs of India, under the umbrella of various initiatives like Make in India, Skill India, Digital India, and Startup India Standup India.
Various PSUs assist the government in its goal of development of the MSME sector. One such PSU is the National Small Industries Corporation or NSIC, which has worked for the past 6 decades in the drive of boosting and uplifting the micro and small scale units in India.
The growing entrepreneurs can easily access a number of developmental schemes and attain tremendous growth by obtaining an NSIC registration.
One such attractive scheme is the Single Point Registration Scheme. The MSEs can get full exemption from the Earnest Money Deposit (EMD) in government tenders by getting registered in this scheme.
1. What is Single Point Registration Scheme?
Single Point Registration Scheme or SPRS is a developmental scheme of NSIC to assist the MSEs in India. By opting for this scheme, the MSMEs having an NSIC registration scheme can get exempt from Earnest Money Deposit (EMD) in Government Purchases.
2. What is EMD?
Earnest Money Deposit or EMD is the money taken from a bidder as the security deposit before any bid, in order to assure his seriousness in the deal.
However, if a bidder has NSIC registration in the Single Point Registration Scheme, he will exempt from paying the EMD during a government bid.
3. What is the objective of SPRS?
The main objective of SPRS is to increase government purchases from the small-scale industries (SSIs).
- It is beyond any doubt that the Government is the single largest buyer of goods & services.
- In view of increasing the purchases from the SSIs, the Government had launched the Stores Purchase Programme during 1955-56.
- Under this Programme, the government had initiated the Single Point Registration scheme (SPRS) in 1976. This scheme was further revised in 2003.
4. What are the benefits of getting NSIC Single Point Registration?
Following are the evident benefits of getting NSIC registration in SPRS:
- Total Exemption from Earnest Money Deposit (EMD) in government bids.
- Government Tender Sets are issued to the eligible MSEs absolutely free of cost.
- Under the SPRS scheme, 358 categories of goods have been earmarked by the government for purchase from the Small scale units only.
- As per this scheme, the Government has also earmarked a minimum limit of 25% of the total annual purchases of Goods & services by Union Ministries, Departments, and PSUs from MSEs only.
- Out of this 25% limit, 4% of supplies are reserved for purchase from the units owned by the SC/STs. Besides, 3% is reserved for purchase from women enterprises.
- During participation in a Government tender, MSES that have quoted in the least level price band of L1+15% can also supply up to 25% of the total requirement of goods. For this, they need to reduce their price to the L1 Price band.
- Here, the L1 purchasers shall be the medium or large scale units.
5. Who can opt for SPRS?
Following units are eligible for getting NSIC registration in SPRS:
- All Micro & Small Enterprises (MSEs) having or Udyog Aadhaar MSME registration.
- Those having Enterprise Memorandum (EM) Part-II can also apply for SPRS.
- MSEs that have already commenced production and have completed one year.
6. What is the validity of NSIC registration in SPRS?
The NSIC Registration Certificate under Single Point Registration Scheme is valid for 2 Years. It will be reviewed and renewed every 2 years after a thorough verification of continuous Commercial and Technical Competence (CTC) of the registered MSEs.
7. What if one year of production has not been completed?
In case an MSE has commenced production but haven’t completed one year, a Provisional Registration Certificate in SPRS can be granted to such MSE. However, there is a monetary limit of ₹5 Lacs in it.
The Provisional Registration Certificate shall be valid for 1 year from the date of its issue, after levying the NSIC registration fees and obtaining the required documents.
8. How can I get NSIC registration in SPRS?
We can help you obtain NSIC registration in Single Point Registration Scheme. Our dedicated professional team can guide you throughout the process of obtaining NSIC registration.
If you need any sort of assistance regarding NSIC Registration or MSME Registration, feel free to contact our business advisors at 8881-069-069.
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