About this business scheme
The "Aatmanirbhar Gujarat Scheme for assistance to MSMEs" aims to empower the state's dynamic MSME sector, which significantly contributes to employment, GDP, and exports.
The "Aatmanirbhar Gujarat Scheme for MSMEs" is an umbrella scheme launched by the Industries and Mines Department, Gujarat. It aims to empower the state's dynamic MSME sector, which significantly contributes to employment, GDP, and exports. Effective from October 5, 2022, to October 4, 2027, this initiative supports growth, investments, and the vision of "Aatmanirbhar Gujarat" and "Aatmanirbhar Bharat."
The component "Assistance for Interest Subsidy to Micro, Small and Medium Enterprise (Manufacturing Sector)" provides an interest subsidy on the term loan to support micro-enterprises in manufacturing.
Benefits at a glance
| Scheme name | Aatmanirbhar Gujarat Scheme for assistance to MSMEs: Assistance for Interest Subsidy to Micro, Small and Medium Enterprise (Manufacturing Sector) (AGMSMECISMS) |
|---|---|
| Launched by | Industries and Mines Department |
| Launch year | 2022 |
| Benefit type | Cash (money paid to your bank account) |
| Category | Business |
| Level / State | State · Gujarat |
| Official portal | ifp.gujarat.gov.in (link at the end of this page) |
Key facts
| Scheme for | Infra |
|---|---|
| Application mode | Online |
| Last date | Not given in the official listing |
| DBT (direct bank transfer) | No |
| Age | 18 to 60 years |
Who can apply (quick check)
- 👤All genders
- 🎂Age 18 to 60 years
- 📝Online
Quick check from official data. Full conditions are in the Eligibility section.
What you receive
Financial Assistance
| Category of Taluka | Quantum of Incentive |
| Category 1 | 7% on Term Loan with a maximum amount of Rs. 35,00,000/- per annum for a period of 7 years |
| Category 2 | 6% on Term Loan with a maximum amount of Rs. 30,00,000/- per annum for a period of 6 years |
| Category 3 & Municipal Corporation Areas | 5% on Term Loan with a maximum amount of Rs. 25,00,000/- per annum for a period of 5 years |
Who qualifies
- The firm must be a Micro/Small/Medium enterprise.
- The enterprise must have obtained acknowledgment or registration from the Ministry of MSME or the Department for Promotion of Industry and Internal Trade (DPIIT), as applicable.
- New enterprises or existing enterprises undertaking expansion or diversification are eligible.
- The enterprise must commence commercial production or rendering services during the scheme's operative period.
- The enterprise must submit an application online within one year of the first loan disbursement, commencement of commercial production/services, or GR issue date, whichever is later.
- Applications must be submitted before the scheme's last operative date.
- The enterprise must pay regular installments and interest to the bank/financial institution.
Who is not eligible
- Enterprises that have availed incentives for the same GFCI under any other state government scheme or agency are ineligible unless specifically allowed.
- Enterprises with term loans sanctioned more than one year after starting commercial production/services are ineligible.
- Enterprises defaulting on loan repayments will not receive interest subsidies for the default period.
- Enterprises seeking reimbursement for penal interest or other charges are ineligible for such claims.
Papers to keep ready
- Printed copy of the application along with declaration and undertaking in the application form signed by an authorized person, including their designation and name with the enterprise's stamp.
- Copy of acknowledgment of Udyog Aadhaar / Udyam Registration.
- Copy of term loan sanction letter.
- Copy of term loan account statement / bank certification of first disbursement certificate.
- Copy of the constitution of the enterprise (registered partnership deed for partnerships).
- Copy of DPR of the enterprise (for projects up to Rs. 5 crores); for projects above Rs. 5 crores, DIC will ask for a bank appraisal report.
- Shop & Establishment Certificate (for service sector enterprises in municipal corporations).
- Copy of GST registration (if applicable).
- Copy of PAN card of the enterprise.
- Copy of ITR for the last financial year showing plant & machinery value (new enterprises must submit a self-declaration for the first time).
- Copy of birth certificate/school leaving certificate (for entrepreneurs under 35 years as of the bank loan sanction date).
- Copy of caste certificate from a competent authority.
- Copy of certificate for differently abled persons from a competent authority.
- Copy of CTE issued by the GPCB (if applicable).
- Self-certified/certified copy of documents such as 7/12 Utara, Namuna 6, copy of index, property card, etc. (any one).
- NA permission (if applicable).
- Copy of notarized rent deed (agreement) with the owner's proof/affidavit for ownership of land/property.
- Copy of lease deed (agreement) with the owner's proof of ownership of land/property.
- Copy of the property tax receipt (for service activities).
- Board resolution for signing authority (in case of partnerships, LLPs, Pvt. Ltd., or Limited Companies).
- Declaration and undertaking regarding other investments in Gujarat.
- Annexure of the balance sheet showing the gross fixed capital investment of the previous financial year.
- CA certificate showing the gross fixed capital investment before initiating expansion/diversification/forward or backward integration.
Registration walkthrough
Online
Registration Process:
Step-1: Visit the Investor Facilitation Portal (IFP) portal. Click on "New Investor Registration" to access the registration form.
Step-2: Fill in the Registration Form. Click on "Submit".
Step-3: Verify the E-mail ID using the link sent on your registered E-mail ID.
Step-4: After verification, you will be registered successfully.
Post-Registration Process:
Step-1: Visit the Investor Facilitation Portal (IFP) portal. Click on "Login".
Step-2: Enter the email address and password you used during registration.
Step-3: Click the "Login" button to access your account.
Step-4: Now fill in the required details and mandatory documents about your business to complete the application process.
Helpdesk: Contact Us.
Important dates
| Launch / start | 10 May 2022 |
|---|
Terms used in this scheme
- New Enterprise
A New Enterprise means an enterprise set up by the MSME, that has commenced commercial production/ rendering of services during the operative period of the scheme, provided it satisfies the following conditions:
- The new enterprise should have obtained acknowledgement/ registration from Ministry of MSME or DPIIT, as the case may be.
- The new enterprise should have separately identifiable fixed capital investment.
However, the enterprise will not lose its eligibility, if the utilities of an existing project, such as for water, electricity, steam, gas, pollution control facilities etc. are utilized.
- Existing Enterprise
An Existing Enterprise means an MSME that is in production/is rendering services before initiating the expansion/diversification. A new enterprise set up during the operative period of the scheme, will be termed as existing enterprise in reference to the expansion/ diversification.
- Gross Fixed Capital Investment (GFCI)
Gross Fixed Capital Investment means the investment made in building, plant and machinery, utilities, tools and equipment, and other assets (excluding Land) required for manufacturing the end product/ rendering of services. Assets acquired and paid for during the eligible investment period of the project under this scheme shall be considered for determining the gross fixed capital investment.
- Eligible Fixed Capital Investment (EFCI)
Eligible Fixed Capital Investment means following investments made on or after the date of issue of this GR and upto the last date of the eligible investment period.
Frequently asked questions
What is the "Aatmanirbhar Gujarat Scheme for Assistance to MSMEs"?
The “Aatmanirbhar Gujarat Scheme for Assistance to MSMEs” is a state initiative designed to support and strengthen the MSME sector in Gujarat. It aims to enhance growth, encourage investments, and contribute to the vision of self-reliant Gujarat and India.
When is the scheme operative?
The scheme is operative from October 5, 2022, to October 4, 2027, covering a period of five years.
What are the objectives of the scheme?
The scheme aims to boost MSME growth, enhance the industrial ecosystem, encourage investments, and contribute to Gujarat’s and India’s self-reliance vision.
What are some initiatives included in the scheme?
The scheme includes the establishment of new industrial estates, sector-specific parks, and infrastructure projects, along with amendments to the Gujarat Industrial Policy 2020 to further support MSME growth.
Who is eligible to benefit from the scheme?
MSMEs established and operating within Gujarat are eligible to benefit from the scheme, as per the criteria defined in the policy framework.
How is the incentive amount calculated?
The incentive is calculated based on the lower of the Gross Fixed Capital Investment (GFCI) made in the project or the cost appraised by a bank or financial institution.
What is the incentive rate for enterprises in Category 1 areas?
Enterprises in Category 1 areas can receive 7% of the term loan amount, with a maximum of Rs. 35,00,000/- per annum, for a period of 7 years.
What is the incentive rate for enterprises in Category 2 areas?
Enterprises in Category 2 areas can receive 6% of the term loan amount, with a maximum of Rs. 30,00,000 per annum, for a period of 6 years.
What is the incentive rate for enterprises in Category 3 and municipal corporation areas?
Enterprises in Category 3 and municipal corporation areas can receive 5% of the term loan amount, with a maximum of Rs. 25,00,000/- per annum, for a period of 5 years.
What happens if the GFCI exceeds the cost appraised by the bank or financial institution?
In such cases, the lower of the two amounts will be considered for calculating the incentive.
What types of projects are covered under this scheme?
Both new projects and expansion/diversification projects in the manufacturing or services sector are eligible, provided they meet the eligibility criteria.
Can an enterprise in a municipal corporation area receive benefits under this scheme?
Yes, enterprises in municipal corporation areas are eligible for incentives at 5% of the term loan amount, with a maximum of Rs. 25,00,000/- per annum for 5 years.
What is the additional interest subsidy available for differently-abled entrepreneurs, women entrepreneurs, and registered startups?
Differently-abled entrepreneurs, women entrepreneurs, and registered startups in the manufacturing sector are eligible for an additional 1% interest subsidy on their term loan.
Is there an additional benefit for young entrepreneurs?
Yes, young entrepreneurs below the age of 35 years on the date of sanction of the term loan are eligible for an additional 1% interest subsidy.
What is the minimum interest rate that an eligible enterprise must bear?
An eligible enterprise must bear a minimum of 2% interest on the term loan, regardless of the subsidies availed.
Can an existing enterprise install renewable power plants and receive interest subsidies?
Yes, existing enterprises installing new solar power plants or other renewable power plants for captive consumption on their premises are eligible for interest subsidies based on the enterprise’s location.
Can an enterprise avail the renewable power subsidy more than once?
No, the incentive for renewable power installations is available only once. Enterprises that have availed this subsidy under a previous scheme are not eligible under the current scheme.
Are startups eligible for both the 1% additional interest subsidy and the general interest subsidy?
Yes, registered startups in the manufacturing sector can avail both the general interest subsidy and the additional 1% subsidy.
Submit your application yourself on the official portal; it costs nothing. Treat anyone demanding money to "get you approved" as a scam.
- Guidelines 1 msmec.gujarat.gov.in (PDF)
- Guidelines 2 msmec.gujarat.gov.in (PDF)
- Online Application Portal ifp.gujarat.gov.in
- Document Checklist ic.gujarat.gov.in (PDF)
tsmpb.in is not affiliated with any government department. Apply only on the official portal and never pay anyone for an application.
The details on this page are from the official listing and have not been rewritten or reviewed by our team yet. Confirm them on the official portal before applying.
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