Quality Management Standards & Quality Technology Tools

The scheme is aimed at improving the quality of the products in the MSE sector and inculcates the quality consciousness in this sector. With the adoption of this scheme, MSEs will become more competitive and produce better quality products at competitive prices. The adoption of these tools will enable MSEs to achieve efficient use of resources, improvement in product quality, reduction in rejection and rework in the course of manufacturing, reduction in building up inventory at various stages etc.

The Cluster-based approach is adopted for economy of scale, better dissemination of QMS/QTT and for best results. However, individual units (preferably from specific products in groups) may also be considered under the Scheme. Micro & Small enterprises is being selected from the clusters under study or intervention by this Ministry and clusters identified by other Organization and Ministries also.


The main objective of the scheme is to sensitize and encourage MSEs to adopt latest QMS and QTT and to keep a watch on sectoral developments by undertaking the stated activities.


The scheme is being implemented for Micro & Small Enterprises to understand and adopt the latest Quality Management Standards (QMS) and Quality Technology Tools (QTTs), so as to become more competitive and produce better quality products at competitive prices. The adoption of these tools will enable MSEs to achieve: (i) Efficient use of resources. (ii) Improvement in product quality. (iii) Reduction in rejection and re-work in the course of manufacturing. (iv) Reduction in building up inventory at the various stages in the form of raw materials, work-in-progress, finished components, finished products, etc. This will also enable the MSEs to enter into or strengthen their position in the export market. The Competition Watch(C-watch) sub-component of this scheme will enable Indian MSE, to understand the latest foreign products that are penetrating in the Indian market.

Eligibility and Criteria

The MSEs are to submit applications directly to the respective MSME-DIs/Expert Organisations for various activities for which they are asked to submit.
The funds will be released to the expert organizations activity wise in the phased manner for the specific activity.
Contribution of 25% from Micro units and 50% from Small units will be collected by the implementing agencies wherever applicable.
The implementing agency will submit the fund utilization certificate along with the detailed report about the component.
File more than one Udyog Adhaar with same Adhaar Number.


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