SubsidyIndustries and Mines Department, Government of Gujarat

Gujarat MSME Industrial Policy 2020 — Capital & Interest Subsidy

The Gujarat MSME Industrial Policy 2020 offers financial assistance to MSMEs via capital and interest subsidies, depending on the sector and location. It aims to stimulate investment in backward areas and selected sectors.

Maximum amount
₹35.0L
Typical payout
₹3.0L
Processing time
8–24 weeks
Application window
Open year-round

Check if your startup qualifies for Gujarat MSME Industrial Policy 2020 — Capital & Interest Subsidy

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Eligibility criteria

Company type
Private Limited, LLP, Proprietorship, Partnership Firm
Stage
Early Stage (Revenue < ₹1Cr), Growth Stage (₹1Cr–₹25Cr), Scaling (₹25Cr+)
States
Gujarat
Sectors
manufacturing, food_processing, textile, chemicals, engineering, agritech, pharma, other
Prerequisites
  • Udyam (MSME) registration required

Documents required

1
Printed copy of the submitted online application with declarations
A self-declaration confirming the accuracy of the submitted online application. This is mandatory.
Tip: Ensure all details are accurate before printing and keep a signed copy.
2
Udhyam Registration Certificate (URC) / Udyog Aadhaar
Certification of micro, small, and medium enterprise status. This is mandatory for all applicants.
Tip: Register on the Udyam portal if not already done.
3
Sanction letter and complete appraisal report of the Term Loan issued by the Bank/Financial Institution
Official documentation from the bank approving the term loan necessary for claiming subsidies.
Tip: Request a comprehensive appraisal report when securing the loan.
4
Bank ledger of the term loan account
Documentation highlighting dates of loan disbursement. This is critical for verifying financial transactions.
Tip: Ensure the ledger is up-to-date and covers all relevant transactions.
5
Certificate of Commencement of Commercial Production
Proof that commercial production has started, verified by the first sale invoice.
Tip: Keep a record of the first sale invoice as part of the documentation.
6
Chartered Accountant (CA) Certificate detailing actual expenditure
Verification by a Chartered Accountant of the actual expenditures on eligible fixed capital investments.
Tip: Work closely with your CA to ensure all expenditures are properly documented.
7
Original itemized bills, invoices, and proof of payment
Proof of purchases that match the CA expenditure schedule.
Tip: Organize and store all invoices securely for ease of reference.
8
Constitution documents of the firm
Legal documents such as Partnership Deed, ROC Registration, MoA/AoA, required to verify the business constitution.
Tip: Ensure these documents are registered and updated as needed.
9
Valid No Objection Certificate (NOC) / Consent from GPCB
Official consent from Gujarat Pollution Control Board, mandatory for environmental compliance.
Tip: Apply for the NOC well in advance to avoid delays.
10
Electricity bill showing connection status and power load allocation
Current electricity bill to verify power connection status and capacity.
Tip: Ensure the bill is in the company's name and shows the current load.
11
Self-certified undertaking for local employment
A commitment to employ at least 85% local workers. Necessary for the subsidy.
Tip: Maintain records of employee hiring to support your claim.
12
Cast certificate/Physically Challenged certificate
Required if seeking additional benefits under specialized higher interest subvention for SC/ST/Women entrepreneurs.
Tip: If applicable, obtain the certificate from the relevant authority.
13
Certified copy of Title Clearance Certificate/Land Sale Deed
Needed if claiming specific asset values related to land.
Tip: Ensure the titles are clear and legally verified.
14
Original Equipment Manufacturer (OEM) certificate
Proof that machinery is sourced directly from the manufacturer and not from an unverified trader.
Tip: Request this certificate at the time of purchase.

How to apply for GJ MSME Subsidy

1
Navigate to the official Gujarat Investor Facilitation Portal (IFP) to begin.Open portal
2
Register under New Investor Registration to set up an investor account.Open portal
3
Log in and fill out the Common Application Form (CAF) with enterprise details.
4
Access the Incentive module and select Scheme for Assistance to MSMEs (2020).
5
Upload the mandatory digital documents, submit your application, and download the acknowledgement receipt.
6
Track status, clear queries, or download templates from the MSME Gujarat Industrial Policy updates directory.Open portal

Frequently asked questions

Who is eligible for GJ MSME Subsidy?

GJ MSME Subsidy is available to Private Limited, LLP, Proprietorship, Partnership Firm companies at the Early Stage (Revenue < ₹1Cr), Growth Stage (₹1Cr–₹25Cr), Scaling (₹25Cr+) stage, across Gujarat. Udyam (MSME) registration is required.

How much funding does GJ MSME Subsidy provide?

GJ MSME Subsidy provides up to ₹35.0L. Most applicants receive around ₹3.0L.

How long does GJ MSME Subsidy approval take?

The typical processing time from submission to disbursement is 8–24 weeks.

Is GJ MSME Subsidy currently accepting applications?

Yes, GJ MSME Subsidy is currently active and accepting applications. Application window: Open year-round.

Do I need Udyam registration for GJ MSME Subsidy?

Yes, Udyam (MSME) registration is required. Register at udyamregistration.gov.in before applying.

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Information is based on publicly available scheme guidelines. Always verify with official sources before applying.