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Micro and Small Enterprises Cluster Development Programme

March 24, 2026

Recently, the Minister of State for Micro, Small and Medium Enterprises informed the Rajya Sabha about the Micro and Small Enterprises Cluster Development Programme (MSE-CDP).

About Micro and Small Enterprises Cluster Development Programme:

  • It is a demand driven Central Sector Scheme.
  • It aims to increase the productivity and competitiveness of Micro and Small Enterprises (MSEs) for their holistic development using a cluster approach.
  • Under this programme, State Government sends proposals for establishment of Common Facility Centers (CFCs) and establishment /up-gradation of Infrastructure Development (ID) projects as per requirements in clusters.
  • Objectives
    • To enhance the sustainability and growth of MSEs by addressing common issues such as improvement of technology, skills & quality, market access, etc
    • To build capacity of MSEs for common supportive action through formation of self-help groups, consortia, upgradation of associations, etc
    • To create/upgrade infrastructural facilities in the new/existing Industrial Areas/ Clusters of MSEs
    • To set up Common Facility Centres (for testing, training, raw material depot, effluent treatment, complementing production processes, etc.).
    • Promotion of green & sustainable manufacturing technology for the clusters so as to enable units switch to sustainable and green production processes and products
  • There are two components under the scheme viz.
    • Common Facility Centers (CFCs): Creation of tangible “assets”as Common Facility Centers (CFCs) in Industrial Estate.
    • Infrastructure Development (ID): This component is for development of infrastructure in new/existing notified Industrial Estate including Flatted factory complexes.
  • Nodal Ministry: Ministry of Micro, Small & Medium Enterprises

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