SubsidyMinistry of MSMEVerified 7 May 2026Official source

ZED Certification Scheme — Zero Defect Zero Effect

Provides MSMEs with subsidised quality certification under the ZED (Zero Defect Zero Effect) framework. Subsidy of 80% (micro), 60% (small), 50% (medium) on certification costs. ZED certification unlocks access to government procurement and larger buyers.

Maximum amount
₹3.0L
Typical payout
₹1.5L
Processing time
8–16 weeks

Eligibility criteria

Company type
Private Limited, LLP, One Person Company, Proprietorship, Partnership Firm
Stage
Early Stage (Revenue < ₹1Cr), Growth Stage (₹1Cr–₹25Cr), Scaling (₹25Cr+)
States
All India (nationwide)
Sectors
manufacturing, food_processing, textile, chemicals, engineering, pharma, printing, rubber, leather, other
Prerequisites
  • Udyam (MSME) registration required

Documents required

1
Udyam Registration Certificate
MSME registration is mandatory
Tip: Register free at udyamregistration.gov.in
2
GST Registration Certificate
Active GSTIN required
3
Manufacturing Process Documents
Process flow chart, quality control procedures
Tip: Have these ready before starting the ZED assessment
4
Last 2 Years Turnover Proof
CA-certified or GST returns
Tip: Determines your MSME category and subsidy rate

How to apply for ZED

1
Register on ZED portal with Udyam numberOpen portal
2
Complete online self-assessment (ZED maturity model — ~2 hours)
3
Third-party assessor conducts factory visit (subsidised)
4
ZED rating awarded (Bronze / Silver / Gold) — certification issued
5
Subsidy automatically credited after certification

Does your startup qualify for ZED?

Answer a few questions about your company and get a personalised eligibility report across all active government schemes — including ZED.

Check your eligibility — free

Frequently asked questions

Who is eligible for ZED?

ZED is available to Private Limited, LLP, One Person Company, Proprietorship, Partnership Firm companies at the Early Stage (Revenue < ₹1Cr), Growth Stage (₹1Cr–₹25Cr), Scaling (₹25Cr+) stage, across all Indian states (nationwide). Udyam (MSME) registration is required.

How much funding does ZED provide?

ZED provides up to ₹3.0L. Most applicants receive around ₹1.5L.

How long does ZED approval take?

The typical processing time from submission to disbursement is 8–16 weeks.

Is ZED currently accepting applications?

Yes, ZED is currently active and accepting applications.

Do I need Udyam registration for ZED?

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

Information is based on publicly available scheme guidelines. Last verified 7 May 2026. Always verify with official sources before applying.