Zero Defect Zero Effect (ZED) Scheme

13.01.2024

Zero Defect Zero Effect (ZED) Scheme , Daily Current Affairs , RACE IAS : Best IAS Coaching in Lucknow 

Why in the news? 

According to the Ministry Recently ,the Zero Defect Zero Effect (ZED) scheme by the MSME Ministry has achieved the 1 lakh certification milestone.   

Key Points

• At the time of filing this report, 1,02,642 MSMEs were certified, of which 1,01,962 were bronze-level certified, 339 units received silver certification and 341 had gold certification, as per data from the scheme’s portal.
• The cumulative financial support extended to MSMEs under the scheme stood at Rs 134.57 crore.

About the Zero Defect Zero Effect (ZED):

• Launched in October 2016 and revamped in April 2022, the ZED scheme offers certification for environmentally conscious manufacturing under three certification levels (gold, silver, and bronze) classified according to 20 performance-based parameters such as quality management, timely delivery, process control, waste management, etc.
• The ZED certification is valid for three years and the MSME units are required to re-apply for the certificate as per the validity of the scheme. Currently, the scheme is applicable for manufacturing MSMEs only. The government hasn’t announced the scheme’s model for services MSMEs yet

• The major objectives of the ZED Scheme are:

To create proper awareness in MSMEs about ZED manufacturing and motivate them for the assessment of their enterprise for a ZED rating.

To drive manufacturing with the adoption of Zero-Defect production processes without impacting the environment (Zero Effect).

To encourage MSMEs to constantly upgrade their quality standards in products and processes.

To support the “Make in India” campaign.

• Currently, the scheme is applicable for manufacturing MSMEs only.
• MSME Sustainable (ZED) Certification can be attained in three levels after registering and taking the ZED Pledge:

Certification Level 1: BRONZE

Certification Level 2: SILVER

Certification Level 3: GOLD

                                                               Source:Financial express