SC/ST Enterprises Surge: How National Hub Scheme Fuels Transformational Rise in Public Procurement Tenders

SC/ST Enterprises Surge: How National Hub Scheme Fuels Transformational Rise in Public Procurement Tenders

SC/ST Enterprises Surge: How National Hub Scheme Fuels Transformational Rise in Public Procurement Tenders​

NSSH Scheme Drives 37x Growth for Marginalized Entrepreneurs​

The Ministry of Micro, Small and Medium Enterprises (MSME) is driving significant inclusive economic growth through the National SC-ST Hub (NSSH) Scheme. This targeted intervention has been empowering Scheduled Caste (SC) and Scheduled Tribe (ST) entrepreneurs since October 2016, aligning with the vision of a Viksit Bharat @2047.

The scheme is successfully building the capacity of SC/ST Micro and Small Enterprises (MSEs). By providing crucial support in training, market linkage, and financial assistance, NSSH is actively facilitating integration into formal economies.

A notable impact metric shows that public procurement from SC/ST owned MSEs has witnessed a remarkable 37-fold increase over the last decade. This growth surged from ₹99.37 crore (0.07%) in 2015-16 to reach ₹3738.34 crore (1.59%) in 2025-26.

To date, more than 1.79 lakh existing and aspiring SC/ST entrepreneurs have benefited from the various services offered under the NSSH umbrella.

Case Studies: From Idea to Major Public Contracts​

The transformative power of the NSSH scheme is vividly illustrated through the journey of several first-generation entrepreneurs. These stories demonstrate how targeted support translates directly into market scale and economic stability.

Shri Balwant Lal Suman, a Mechanical Engineer from Hazaribagh, Jharkhand, exemplifies this transformation. He established Rigtech Infra (OPC) Private Limited to manufacture pipes for infrastructure applications. He leveraged the Special Credit Linked Capital Subsidy Scheme (SCLCSS), availing ₹25 lakh in September 2023 for advanced machinery upgrades.

This investment enhanced his production capabilities and allowed him to integrate into major public supply chains. A significant breakthrough followed when his enterprise secured tenders from Rail Vikas Nigam Ltd. for critical fencing panels, uprights, gates, and anticlimbing devices in 2025. His business expanded its market reach and created employment for 16 persons.

Shri Bahadurbhai Panchiyabhai Chaudhari of Surat, Gujarat, also achieved marked growth with Modufurn Benchcraft LLP. With NSSH support, he streamlined his operations to meet organized market and compliance requirements. The firm successfully secured orders from the Ministry of Education, GoI, and the Education Department, Govt of Gujarat.

Further solidifying its trajectory, Shri Chaudhari leveraged the SCLCSS again, receiving ₹25 lakh for machinery upgradation in March 2026. This sustained support has significantly improved his production consistency, enabling scalable operations within public procurement markets.

Women Entrepreneurship Thrives Through Strategic Support​

Smt. Devi Gurjar’s journey with Ajanta Beverages from Jodhpur, Rajasthan, highlights the empowering impact of NSSH on women entrepreneurs. Operating in beverages and packaged drinking water, her enterprise focused intensely on quality and institutional standards.

A key milestone arrived when Smt. Gurjar secured orders from HPCL Rajasthan Refinery Limited (HRRL) in December 2025. To facilitate this expansion and modernization, the NSSH provided her with ₹19.41 lakh under the SCLCSS in May 2020.

This strategic capital infusion helped modernize the unit, strengthening its production ecosystem. The success story underscores how crucial government backing is in helping small enterprises overcome barriers and achieve mainstream market scale.

The Scope of NSSH Interventions​

The National SC-ST Hub scheme provides a comprehensive range of assistance designed to foster self-reliance within the MSME sector. These focused interventions are directly aimed at maximizing participation in government procurement policies.

NSSH actively supports the purchase of plant and machinery/equipment for MSEs. Beyond financing, the initiative focuses heavily on capacity building and training opportunities. Furthermore, it facilitates market linkage, Udyam registration, and crucial GeM (Government e-Marketplace) onboarding.

By providing these holistic support systems, NSSH is not just funding businesses; it is strengthening the entire MSME ecosystem across India. This committed focus ensures that SC/ST entrepreneurs can participate fully in the nation’s economic growth narrative.
 

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