MMDA Highlights 

MMDA will be 30% on Prime cost in place of
Production cost and applicable only on NonRC items. 

40% MMDA shall be for Khadi producing Institutions. 

20% for Khadi Selling institutions. 

40% will be Incentive for artisans and other karyakartas involved in production. 

Incentive for Spinner/Weaver will be 30% and Incentive for other Artisans involved in
Production activities will be 10%. 
Sample Calculation for MMDA (NonRC) 

Let Prime cost be Rs.1000 and MMDA 30%
. 
MMDA Rs.1000 X 30% =Rs.300 

MMDA for Khadi producing Institution . 
Rs.300 X 40%=Rs.120 

MMDA for Khadi selling Institution . 
Rs.300 X 20%=Rs.60 

i) Incentive for Spinners/Weaver . 
Rs.300 X 30%=Rs.90 

ii) Incentive for other Artisans . 
Rs.300 X 10% =Rs.30 

Total Incentive for Artisans . 
Rs.300 X 40% =Rs.120 