THEBUSINESSBYTES BUREAU

BHUBANESWAR, FEBRUARY 20, 2026

In the tribal heartlands of southern Odisha, where limited livelihood options have historically pushed young people to migrate in search of work, a new entrepreneurship drive is reshaping local aspirations. UDYAMEE 2.0, supported by Utkal Alumina International Limited (UAIL) and implemented by the Entrepreneurship Development Institute of India (EDII), is fostering a culture of enterprise across 181 villages in Rayagada’s Kashipur block and Kalahandi’s Thuamul Rampur block, aiming to create sustainable livelihoods within communities.

Launched in August 2024 and scheduled to run through 2027, the initiative focuses on promoting non-farm and agri-allied ventures with strong participation from women and SC/ST communities. By aligning business opportunities with local resources and market demand, the programme seeks to build self-reliance while reducing distress migration. At its centre is a Rural Incubation Centre that provides end-to-end support, from ideation and skill training to formal registration, access to finance, branding and market linkages.

The incubation model combines classroom learning with exposure visits, mentoring by industry experts and convergence with government schemes such as PMFME and PMEGP. A financial pool of over ₹69.95 lakh is currently being mobilised through project support, entrepreneur contributions and scheme convergence, serving as both seed capital for new ventures and growth funding for scaling existing enterprises.

 “UDYAMEE 2.0 is about creating opportunity where people live,” said Dr. Sunil Shukla, Director General, EDII. “By building local entrepreneurship ecosystems in districts like Rayagada and Kalahandi, we are enabling rural youth, especially women and tribal communities, to see enterprise creation as a viable and aspirational path. The focus is not just on starting businesses, but on nurturing confident entrepreneurs who can generate income, employment and long-term resilience within their communities.”

The second phase builds on the outcomes of the earlier UDYAMEE programme implemented between 2021 and 2024, which promoted 301 enterprises and generated nearly ₹3.95 crore in cumulative income. The first phase recorded an average monthly income rise of ₹14,771 per entrepreneur, with 80 per cent of ventures led by SC/ST participants. Women played a prominent role, heading 199 individual enterprises and 10 group ventures, while the initiative also created 248 indirect employment opportunities.

Under UDYAMEE 2.0, the target is to nurture 350 entrepreneurs, including 250 new entrants and 100 existing entrepreneurs from the earlier phase who will be supported to scale up. So far, 35 entrepreneurs — 23 of them women — have received assistance. Ten collective enterprises have been identified, six of which are in the pre-operational stage and expected to begin business by March 2026, involving 47 entrepreneurs. The programme is also facilitating more than 20 additional collective ventures and aims to generate over 100 direct jobs by March next year.

The range of enterprises emerging under the initiative reflects a blend of local resource use and market-oriented thinking. Millet-based cafés and cloud kitchens are tapping into Odisha’s traditional crops and the growing demand for nutritious foods. Fly ash brick units are linked to regional industrial activity, while agricultural processing ventures are adding value to local produce. Other planned businesses include notebook manufacturing, hospitality services such as restaurant-cum-banquet facilities, and furniture units that promote indigenous woodcraft skills.

Beyond income generation, the programme is positioning entrepreneurship as a viable alternative to migration, particularly for tribal youth and women. By strengthening local supply chains, encouraging collective enterprises and connecting entrepreneurs to formal financial systems, UDYAMEE 2.0 is contributing to decentralised economic development in some of Odisha’s most underserved regions.

As the state sharpens its focus on inclusive growth, the initiative offers a replicable model for grassroots enterprise development. By combining corporate social responsibility support, institutional expertise and government scheme convergence, UDYAMEE 2.0 demonstrates how targeted interventions can transform rural economies, convert local skills into viable businesses and keep young talent rooted in their communities.