Dr.Babasaheb Ambedkar Udyog Uday Yojana: Assistance in Rent to MSEs
Industries and Mines Department, Government of Gujarat · Central government
Gujarat's rent reimbursement scheme funds SC/ST-led micro and small manufacturing units with up to 70% rent back, capped at ₹1 lakh a year for five years.
Open, rolling. Applications are accepted continuously — there is no deadline.
Key facts
- Subsidy amount
- Up to ₹1,00,000
- Instrument
- Subsidy
- Deadline
- Rolling
- Disbursement
- Reimbursed after spend
- Scheme duration
- 5 years
About this scheme
The Industries and Mines Department of Gujarat runs the Dr. Babasaheb Ambedkar Udyog Uday Yojana, a scheme aimed at strengthening the state's MSME sector. MSMEs are central to Gujarat's economy, accounting for a substantial share of employment, GDP and export earnings. The scheme works to improve the competitiveness and sustainability of these enterprises, with a particular focus on entrepreneurs from the Scheduled Caste (SC) and Scheduled Tribe (ST) communities. It remains in force for five years, from August 7th, 2020, to August 6th, 2025.
One component of the scheme, 'Assistance in Rent to MSEs', addresses the operating costs of Micro and Small Enterprises in the manufacturing sector. It applies to businesses functioning out of rented or leased commercial premises.
Through rent reimbursement, the component lowers the financial load on eligible enterprises, helping them remain stable and supporting industrial development across Gujarat.
Who can apply
- Eligible business forms
- Private limited company, Limited liability partnership, One person company, Partnership firm, Sole proprietorship
- Udyam registration
- Not specified
- MSME registration
- Required
- DPIIT startup recognition
- Not specified
- GST registration
- Not specified
- Where the business may be based
- Gujarat
- The enterprise must qualify as a Micro, Small or Medium enterprise. - An SC/ST entrepreneur must be running the firm, with the SC/ST stake standing at 51% or above. - Manufacturing activities must be the enterprise's line of work. - The unit must function out of a shed held on a legally valid rent or lease. - Legal ownership and possession of that rented or leased shed must rest with its owner. - Electricity or power must be consumed by the manufacturing unit for production purposes.
How to apply
Applications under the 'Assistance in Rent to MSEs' component of the Dr. Babasaheb Ambedkar Udyog Uday Yojana are submitted wholly online via the Investor Facilitation Portal (IFP) of Gujarat.
- **Step 1: New Investor Registration**. Go to the [Investor Facilitation Portal (IFP)](https://ifp.gujarat.gov.in/DIGIGOV/) and select 'New Investor Registration'. - **Step 2: Fill Registration Form**. Enter all the details sought in the registration form and submit it. - **Step 3: Email Verification**. Confirm your email address by clicking the link sent to the email ID you registered. - **Step 4: Successful Registration**. Once verification succeeds, your account stands registered. - **Step 5: Login to Portal**. Having registered, go back to the [Investor Facilitation Portal (IFP)](https://ifp.gujarat.gov.in/DIGIGOV/) and select 'Login'. - **Step 6: Enter Credentials**. Provide your registered email address and password to sign in to your account. - **Step 7: Complete Application**. Provide all the business details sought and upload the mandatory documents to finalise your application. - **Step 8: Await Review**. The concerned authorities will examine the submitted application for eligibility and completeness.
How applications are assessed
The Industries and Mines Department, Gujarat, screens every application received via the Investor Facilitation Portal. A review committee checks each one against the eligibility conditions — Micro or Small Enterprise status, manufacturing operations, valid rent or lease agreements, and the share of ownership held by SC/ST entrepreneurs — and examines supporting papers covering rent payments, property ownership and electricity use for manufacturing.
Applications that clear this scrutiny are moved forward for approval and release of the rent assistance, with the process conducted in line with scheme guidelines.
Frequently asked questions
Who is eligible for the Assistance in Rent to MSEs scheme?
In Gujarat, Micro and Small Enterprises (MSEs) in manufacturing qualify if SC/ST entrepreneurs hold at least 51% ownership and the unit operates from legally rented premises.
What is the maximum financial assistance available?
Rent paid by an eligible applicant is reimbursed at up to 70%, subject to a ceiling of ₹1,00,000 per annum.
How long can an eligible enterprise receive this assistance?
Rent reimbursement is available for a period of five years.
Is this scheme applicable pan-India or only in specific regions?
The Industries and Mines Department, Gujarat, runs this scheme, and only enterprises operating within Gujarat are eligible for it.
What is considered an 'SC/ST Enterprise' for this scheme?
A business qualifies as an SC/ST Enterprise when an SC/ST entrepreneur holds 51% or more of its ownership or equity.
Do I need to be a new business to apply?
The scheme applies to Micro and Small Enterprises that are already operational, meaning the unit must be an established manufacturing business. No specific limit is placed on how long the business has been running.
Sectors
- Manufacturing Industrial
- Msme
- Rent Assistance
- Scst
- Manufacturing
- Gujarat
Details last verified on 18 September 2026. Source: the issuer's published information.