KHADI AND VILLAGE INDUSTRIES COMMISSION

DIRECTORATE OF KHADI CO-ORDINATION

3, IRLA ROAD, VILE PARLE (WEST), MUMBAI-56

Phone/Fax : +91-22-2671 5860 E-mail : Web : www.kvic.org.in

No.DKC/Rebate Policy/2008-09 Date : 21.07.2008

C I R C U L A R

Sub : Rebate policy for the year 2008-09 - regarding

Government of India vide their letter No.G-25020/4/2003-KVI dated 15th July 2008 have conveyed sanction to the payment of normal rebate as well as special rebate on sale of Khadi and Khadi related items for the year 2008-09, with effect from 1st April 2008 and up to 31st March 2009, as per details given below: -

Sr. No /

Item

/
Normal
rebate
/ Additional Special rebate for 108 days
1 / Cotton Khadi / 10% / 10%
2 / Woolen Khadi (it includes Kambals & Kamblies) / 10% / 10%
3 / Silk Khadi
(i) Reeled / Nil / 10%
(ii) Spun / 10% / 10%
4 / Polyvastra / 10% / 10%

2. The above rebate scheme for 2008-09 is subject to the following conditions:

(i)  The institutions should hold a valid Khadi certificate and the name of all sale outlets must invariably be reflected in the certificate.

(ii)  The institution must be affiliated with the KVIC or the State KVIB for financial and technical assistance to produce trade or sell or promote Khadi.

(iii)  The sales targets of the institutions concerned for the year are to be approved by the Standing Finance Committee of KVIC/KVIB before payments are made.

(iv)  The reimbursement of rebate will be regulated by the decision of the commission as applicable to category A+, A, B & C in so far as khadi institutions are concerned.

3. The rebate shall be allowed only at the sales centres run by the Khadi and Village Industries Commission, the Khadi and Village Industries Boards and also at retail sales centres run by the Registered Institutions, which are engaged in the production of Khadi/Polyvastra. No rebate claim shall be entertained from other sales counters/centres.

4. The rebate on sale of Khadi and Khadi related items and Polyvastra will be paid to Government departments, Undertakings, Co-operatives and other autonomous bodies under the administrative control of the State Governments or Government of India. However, the said rebate on sale of khadi and khadi related items, Polyvastra will be only on retail sales across the certified counters and not meant for extending to the items covered under Rate Contract with DGS&D or Single Tender.

5. The trading institutions which are engaged only in marketing of Khadi would be given the rebate only after they have been subjected to an audit. However, it may be ensured that there is no double payment of rebate.

6. There will be no rebate on exports.

7. The present scheme will continue only till 31.03.2009 and be discontinued thereafter. Therefore, for sales made during the period 01.04.2008 to 31.03.2009, rebate would be payable in 2009-10.

8. The Ministry of MSME in its aforesaid letter clearly mentioned that on no account will the present scheme be applicable beyond 01.04.2009 and no budgetary assistance will be provided for the current rebate structure for sale made after 01.04.2009. This may please be noted.

9. KVIC introduced 3 MDA pilot schemes vide Circular No. DKC/E-Committee-II/06-07 dated 12.06.2006 for experimentation. These schemes were being implemented through 14 outfits (12 khadi institutions and 2 departmental sales outlets) for a period of two years i.e. 2006-07 and 2007-08 with effect from 01.07.2006. Since, the tenure of the pilot schemes are over, those 14 outfits are to be brought under the ambit of the rebate scheme.

10. All the State / Regional Offices are requested to bring the contents of this Circular to the notice of all institutions and departmental units of the KVIC and State KVI Boards under their jurisdiction. The State/Divisional Directors may also decide the spells for special rebate in consultation with the institutions/KGB/State Board functioning in the state.

CHIEF EXECUTIVE OFFICER

To

1.  All Directors / In-charge, State / Divisional Offices, KVIC.

2.  C.E.O./Secretary of all State KVI Boards.

Copy to :

1.  Jt. Secretary to Govt. of India, Ministry of MSME, Udyog Bhavan, New Delhi

2.  Shri Ramdas Sharma, Member (N.Z.),

3.  Shri K. C. Kalappa, Member (South Zone), 3-6-781/1, Street No.14, Himayat Nagar, Hyderabad – 500 029.

4.  Shri Shailesh Kumar Bandopadhyay, Member (E.Z.), Charuneed, 20, Vivekananda Sarani, Kamdahari, Kolkata, West Bengal-700 084.

5.  Shri Deepak Tyagi, Member (C.Z.), A-28, Sector-16, Noida, G. B. Nagar, Uttar Pradesh – 201 301.

6.  Shri Padi Yubbe, Member (N.E.Z.), Capital Auto Agency Premises, C-Sector, IGP Road, NH-52/A, Itanagar, Arunachal Pradesh-791 111.

7.  Dr. P. L. Dhar, Expert Member (S&T), Professor, Mechanical Engineering Department, Indian Institute of Technology, New Delhi – 110 016.

8.  Ms. Madhu Jain, Expert Member (Marketing), Eros Theatre Building, 4th Floor, J. Tata Road, Churchgate, Mumbai – 400 020, Maharashtra

9.  Dr. Ramesh Yadava, Expert Member (Rural Development), Uttar Pradesh Khadi and Village Industries Board, 8 Tilak Marg, Lucknow – 226 001(U.P.)

10.  Dr. Damodar Acharya, Expert Member (Technical Education and Training) / Director, Indian Institute of Technology, Kharagpur, Dist. Midnapur, West Bengal

11.  Shri Anup Banerjee, Ex-Officio Member, KVIC / Dy. Managing Director, State Bank of India, State Bank Bhavan, Madam Cama Road, Mumbai-21.

12.  Shri Manubhai Mehta, Chairman, Central Certification Committee and Chairman, Khadi Gramodyog Sangh, Samanvay, Rajkot, Gujarat

13.  All Zonal Dy. Chief Executive Officers of KVIC for information and also to make available copy of the circular to the Members of Zonal Committee and Zonal Certification Committee.

14.  Secretary to Chairperson, KVIC, Mumbai

15.  O.S.D. to Chief Executive Officer, KVIC, Mumbai

16.  Accounts Officer, F.A. Cell, KVIC, Mumbai

17.  P.A. to Chief Vigilance Officer, KVIC, Mumbai

18.  All Directorates under Khadi (KPM/KD/KRM)

19.  Director (Audit)

20.  Director (C.C.C.) for information and also to make copy of the circular available to the Members of Central Certification Committee.

21.  Director (Accounts)

22.  Director (Finance)

23.  Director (Budget)

24.  Director (Ec.R.)

25.  Director (Marketing) with a request to ensure distribution of the copy of the circular to all departmental sales outlets.

26.  Director (Information Technology) for placing the circular on web site.

27.  Director (Publicity) with a request to publish the same in the ensuing issue of ‘Jagriti’.

28.  Managers of all Central Sliver Plants, KVIC

29.  Circular file

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