Why in news?
The Ministry of Micro, Small and Medium Enterprises (MSME) highlighted recent success stories under the National SC‑ST Hub (NSSH) Scheme in June 2026. The scheme has been supporting entrepreneurs from Scheduled Caste (SC) and Scheduled Tribe (ST) communities by providing training, market linkages and capital subsidies.
Background
The NSSH was launched in October 2016 to increase the participation of SC/ST micro and small enterprises in government procurement and mainstream supply chains. Under the Public Procurement Policy, central ministries and public sector enterprises are required to source at least 4 % of their purchases from SC/ST‑owned enterprises. The Hub provides capacity building, hand‑holding support and financial incentives to help these businesses meet quality and scale requirements.
Key components of the scheme
- Capacity building: The Hub organises training programmes on entrepreneurship, accounting, quality control and digital literacy. It also helps new entrepreneurs obtain Udyam registration and on‑board their products on the Government e‑Marketplace (GeM) portal.
- Market linkages: Through trade fairs, buyer–seller meets and vendor development programmes, the Hub connects SC/ST entrepreneurs with government departments and large companies.
- Credit support: The Special Credit Linked Capital Subsidy Scheme provides up to ₹25 lakh towards machinery and equipment. Entrepreneurs can use this to modernise their units and meet product specifications.
- Success stories: Examples highlighted in 2026 include Balwant Lal Suman of Rigtech Infra, who used a ₹25 lakh subsidy to upgrade equipment and win tenders from Rail Vikas Nigam Ltd, creating 16 jobs; Bahadurbhai Chaudhari of Modufurn Benchcraft LLP, who modernised his factory and secured orders from the Ministry of Education and the Gujarat education department; and Smt. Devi Gurjar of Ajanta Beverages, who received ₹19.41 lakh for plant modernisation and later supplied products to HPCL Rajasthan Refinery.
- Growing impact: Government procurement from SC/ST‑owned micro and small enterprises increased from ₹99.37 crore (0.07 % of total procurement) in 2015‑16 to ₹3,738.34 crore (1.59 %) in 2025‑26. More than 1.79 lakh entrepreneurs have benefited from the scheme so far.
Conclusion
The National SC‑ST Hub Scheme demonstrates how targeted support can help marginalised entrepreneurs participate in mainstream markets. By combining training, market access and financial incentives, the scheme is gradually raising the share of SC/ST enterprises in government procurement. Continued outreach and monitoring will ensure that the benefits reach more communities and contribute to inclusive economic growth.