NSIC is the abbreviation used for National Small Industries Corporation Limited is a government undertaking operating under Micro, Small, and Medium Enterprise (MSMEs). Formed by the Government of India in the year 1955 is known as Mini Ratna Public Sector Undertaking (PSU).

NSIC promotes & fosters the growth of MSMEs operating in India through various schemes such as Single Point Registration, Marketing Support, and credit rating scheme for SMEs, etc

Eligibility Criteria for NSIC Registration

Before applying for NSIC registration, the applicant shall mandatory meet these requirements for being eligible:

• Applicant must be Micro and Small Enterprise with valid Udyog Aadhar Memorandum or EM Part-II
  
• MSMEs who have started their business and have incurred commercial production for one year or less can apply for a provisional NSIC certificate with validity of one year.
  

NSIC Registration Process

Enterprises engaged in manufacture or service providers having registered under MSME or have Udyog Aadhar Registration are eligible to get registered under NSIC. Registered MSME having Udyog Aadhar Registration can apply online or offline by applying to the NSIC office. Following is the procedure to apply online for NSIC registration:

• Visit the official website of the NSIC i.e. http://www.nsic.co.in/Home.aspx 
  
• Click on “Online Registration for GP”. 
  
• Fill up all the required detail in the NSIC Registration form and press save and proceed. 
  
• Complete the payment of NSIC Registration fees. 
  
• Lastly, hit the “submit” button for submitting the NSIC Registration Application Form. 
  

The following is the procedure of NSIC Registration through offline mode- 

• Download a copy of NSIC Registration Application Form. 
  
• Fill the required detail. 
  
• Small and Medium Scale Enterprise is required to submit the NSIC Application frame (in copy) alongside essential charges and reports to Zonal/Branch and Sub Office/Extension office of NSIC. 
  
• Send the Form to the concerned Inspecting office alongside duplicates of required archives and imperative Proofs/Draft/Pay Order of investigation charges for concerned Inspection Agency to do Technical Inspection of Micro and Small Enterprise. 
  
• Subsequent to getting Inspection Report, National Small Industries Corporation issue GP Registration Certificate to MSME for things/stores as suggested.

     Documents required for Online NSIC registration

Following documents are annexed with the online/offline application for NSIC registration:

• Complete details of plant & machinery installed such as date of purchase, the value of asset, depreciation, etc.
  
• COI, in case of a company
  
• Form A issued by the registrar of firms to a partnership firm
  
• LLP agreement in case an applicant is LLP
  
• MOA & AOA
  
• Self-attested supporting documents for ownership
  
• Declaration from director concerning non-connection with any large-scale unit.
  
• Bank's report describing the financial position of the applicant
  
• Complete list of raw materials, finished goods or in-process goods.
  
• PAN of the company
  
• Audited financial statement of the preceding year
  
• BIS License, if applicable
  
• ISO 9000 (Optional requirement)
  
• Details about quality control equipment installed in the factory
  
• Details of manpower including technicians employed in the manufacturing department
  
• Copy of latest electricity bill of the premise
  

NSIC Registration Charges

Following NSIC Registration charges such as registration fees, inspection charges along with professional fee are payable at the time of registration:

Fees for Fresh NSIC Registration of MSMEs:

Inspection Charges: Inspection charges are paid in addition to the registration fee.

• For micro-sized MSME: INR 2000

• For small-sized MSME: INR 3000

The validity of NSIC Registration

NSIC Registration under Single Point Registration granted to MSMEs remains valid for two years which is renewed or revised after the expiry of such two years and provisional NSIC registration certificate granted to MSMEs with a monetary limit of INR 5 Lakhs is valid for one year from the date of issue.

Benefits of NSIC Registration

The entities holding NSIC registration qualify for additional benefits such as:

• Free Allotment of tenders - NSIC registration enables the allotment of tenders totally free of cost to eligible MSMEs.
  
• No EMD deposit - MSMEs having NSIC registration need not pay Earnest Money Deposit (EMD).
  
• Development of SSIs - NSIC has reserved around 358 items for purchase, particularly only from (Small Scale Industries) SSIs for the upliftment of this sector.
  
• Assistance in Government tenders - All MSMEs bidding for government tenders within the price cap are allowed to supply up to 20% of the demand on the reduced price.
  
• Reserved Quota - From the total annual requirement of 20% supplies from MSMEs, 4% is reserved for the units owned by SC/STs category.
  
• Progress of MSMEs - NSIC executes various interconnected aid services concerning marketing, technology, finance and other such support to MSMEs.
  
• Increased Sale - PSUs, departments and central ministries assure a minimum of 25% of the total annual purchases of products and services produced by MSEs.
  
• Provides consultancy services - NSIC in India encourage entrepreneurship development, capacity building, policy and institutional framework and business development services to MSEs.
  

 FAQs

Q. What are the main promotional schemes of NSIC to promote MSMEs in India?

The main motive of NSIC is to promote and foster the development of MSMEs through various schemes such as:

• The single point registration scheme
  
• Credit rating scheme
  
• Tender marketing scheme
  
• Assistance for raw material
  
• A national hub for schedule caste and schedule tribe
  
• Providing services relating to Marketing Intelligence
  

Q. What is the meaning of monetary limit in NSIC certificate?

Monetary Limit indicates the value of single order that a NSIC Registered Unit can execute without paying any Security Deposit. It is therefore related to Order Value however it is fixed on the basis of a unit's Net Sales Turnover during the last three years reflected in the Audited Balance Sheets.

Q. What is the use of NSIC certificate?

NSIC helps promote aid and foster the growth of MSME businesses in India by operating various schemes like Single point Registration for Government Purchase, Marketing Support, Performance and Credit Rating Scheme for small industries and more.

Q. What does NSIC stands for?

National Small Industries Corporation Limited.

Q. What is Udyog Aadhar?

Udyog Aadhar is nothing but a government registration that is provided along with a recognition certificate and a unique number in order to certify small/medium businesses or enterprises.

Q. What is the validity of Single Point Registration Scheme certificate?

The validity of Single Point Registration Scheme certificate is 2 years and can be renewed after two years.

Q. What is the difference between MSMEs and NSIC?

The NSIC registration certificate granted to MSEs (Micro and Small enterprises) under Single Point Registration Scheme is valid for only 2 years whereas MSME registration certificate is valid for a lifetime.

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Posted by Pooja

Team Taxaj