MySubsidy

Scheme for Assistance to Micro, Small and Medium Enterprises (MSME): Assistance of Capital Investment Subsidy (Manufacturing Sector)

Industries and Mines Department, Government of Gujarat · Central government

Gujarat provides manufacturing MSMEs a capital investment subsidy of up to ₹45 lakh to strengthen industrial growth and competitiveness.

Closed. Applications closed on 6 August 2025. The details below describe the most recent cycle.

Key facts

Subsidy amount
Up to ₹45,00,000
Instrument
Subsidy
Deadline
6 August 2025
Disbursement
Reimbursed after spend

About this scheme

The Industries and Mines Department, Government of Gujarat, operates an umbrella scheme titled "Scheme for Assistance to Micro, Small and Medium Enterprises (MSME)". It remains in force from 7 August 2020 to 6 August 2025. The scheme addresses the MSME sector in Gujarat, which contributes to employment generation, GDP and exports.

One component of the scheme, "Assistance of Capital Investment Subsidy (Manufacturing Sector)", applies to MSMEs carrying out manufacturing activities. Under this component, a capital investment subsidy is extended to lower the financial burden on enterprises that take up expansion, modernisation or diversification.

The subsidy is intended to draw fresh investment and to help existing MSMEs upgrade their infrastructure and technology, improving their ability to compete in domestic and global markets.

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 applicant must be a Micro, Small, or Medium Enterprise (MSME). - The enterprise must be engaged in the manufacturing sector. - A term loan must be sanctioned by a recognised Bank or Financial Institution (NBFCs are excluded). - The subsidy application must be filed either within one year of loan disbursement or before commercial production begins, whichever comes first. - Following subsidy approval, the enterprise must continue operations for at least 7 years. - Adherence to all applicable pollution control measures and environmental regulations is compulsory. - Under this scheme, only one category of investment project — Forward Integration, Backward Integration, Diversification, or Expansion — qualifies for the subsidy.

How to apply

Applications for the Capital Investment Subsidy are submitted online through Gujarat's Investor Facilitation Portal (IFP).

**Registering on the portal:** - **Step 1: Open the portal**: Go to the Investor Facilitation Portal (IFP) at https://ifp.gujarat.gov.in/DIGIGOV/. Select "New Investor Registration" to open the registration form. - **Step 2: Complete the form**: Enter accurate details in every mandatory field, then press "Submit." - **Step 3: Verify your email**: A verification link will arrive at the email ID you registered. Open that link to confirm your email address. - **Step 4: Registration confirmed**: Once the email is verified, your registration stands confirmed.

**Submitting the application after registration:** - **Step 1: Log in**: Go back to the Investor Facilitation Portal (IFP) at https://ifp.gujarat.gov.in/DIGIGOV/ and select the "Login" button. - **Step 2: Provide credentials**: Enter the email address you registered and the password you set during registration. - **Step 3: Reach your dashboard**: Press "Login" to open your personalised account dashboard. - **Step 4: Fill in the application**: From your account, supply all the required business details and upload the mandatory supporting documents as prompted, so that your subsidy application is finalised.

Should you need help at any point, a helpdesk is reachable through the 'Contact Here' link on the IFP portal.

Apply on the issuer's site

How applications are assessed

Applications for the capital investment subsidy are handled entirely online. Once submitted via the Investor Facilitation Portal, each application undergoes a detailed review against the eligibility criteria — enterprise type, sector, loan sanction particulars and operational commitments.

The source does not describe a multi-stage selection process involving pitches or jury rounds. It indicates instead that the Industries and Mines Department will carry out a full verification of the documents and financial records submitted, on the basis of which eligibility is determined and the subsidy amount calculated.

Frequently asked questions

What is the primary objective of this scheme?

Gujarat's manufacturing MSMEs receive capital investment subsidies under this scheme, which aims to raise employment, GDP and exports while strengthening their ability to compete globally.

Which enterprises are eligible for this capital investment subsidy?

Manufacturing-sector MSMEs that have obtained a term loan from a recognised bank or financial institution — NBFCs are not covered — may apply for this subsidy.

What is the maximum subsidy amount I can receive?

An enterprise can receive a capital investment subsidy of up to ₹45,00,000. This ceiling applies to units located in Category 1 Talukas whose Eligible Fixed Capital Investment is above ₹10 crore.

Is there a specific deadline to apply for the subsidy?

Applications must be filed within one year of the term loan being disbursed, or before commercial production commences. The scheme itself remains in force until 6 August 2025.

What is the commitment required from the enterprise after receiving the subsidy?

After the subsidy is approved, the enterprise must stay operational for a minimum of 7 years and adhere to every applicable pollution control measure.

Can I apply for subsidies for multiple investment types?

No. Under this scheme, the subsidy covers only a single investment project type, whether that is forward integration, backward integration, diversification or expansion.

Sectors

  • Manufacturing Industrial
  • Msme
  • Manufacturing
  • Capital Subsidy
  • Gujarat Government
  • Industrial Growth

Details last verified on 18 September 2026. Source: the issuer's published information.