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's capital investment subsidy of up to ₹45 lakh supports manufacturing MSMEs to enhance 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, administers the "Scheme for Assistance to Micro, Small and Medium Enterprises (MSME)" as an umbrella initiative. It is valid from August 7th, 2020, to August 6th, 2025, and is intended to support the state's MSME sector, which contributes to employment, GDP, and exports.
Under this scheme, the "Assistance of Capital Investment Subsidy (Manufacturing Sector)" component is directed at manufacturing MSMEs. It provides a capital investment subsidy to ease the financial load on enterprises pursuing expansion, modernisation, or diversification. The support is meant to stimulate fresh investment and enable existing MSMEs to enhance their infrastructure and technology, thereby improving their competitiveness in domestic and international 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
- Applicant must be a Micro, Small, or Medium Enterprise (MSME). - Enterprise must operate in the manufacturing sector. - Term loan must be sanctioned by a recognised Bank or Financial Institution (excluding NBFCs). - Subsidy application must be submitted within one year of loan disbursement or before commencement of commercial production, whichever is earlier. - Enterprise must remain operational for a minimum of 7 years after subsidy approval. - Compliance with all relevant pollution control measures and environmental regulations is mandatory. - Only one type of investment project (Forward Integration, Backward Integration, Diversification, or Expansion) is eligible for the subsidy under this scheme.
How to apply
The Capital Investment Subsidy application is filed online through Gujarat's Investor Facilitation Portal (IFP).
**Registration:** 1. Go to the Investor Facilitation Portal (IFP) at https://ifp.gujarat.gov.in/DIGIGOV/ and select "New Investor Registration" to open the registration form. 2. Fill in every required field of the form correctly, then click "Submit." 3. A verification link will arrive by email at the address you provided. Click that link to confirm your email. 4. Once the email is verified, your registration is complete.
**Submitting the Application:** 1. Return to the Investor Facilitation Portal (IFP) at https://ifp.gujarat.gov.in/DIGIGOV/ and click "Login." 2. Enter the email address and password you set during registration. 3. Click "Login" again to enter your account dashboard. 4. In your account, provide all requested business information and upload the required supporting documents to finish the subsidy application.
If you need help, use the 'Contact Here' link on the IFP portal to reach the helpdesk.
How applications are assessed
Applications for the capital investment subsidy are handled through an online workflow. After submission on the Investor Facilitation Portal, each application undergoes a detailed examination to confirm it meets all eligibility conditions, covering enterprise category, sector, loan sanction particulars, and operational obligations.
The Industries and Mines Department is expected to carry out a rigorous check of the documents and financial statements provided, using this verification to establish eligibility and compute the subsidy figure. The source does not mention any staged selection procedure involving presentations or review panels.
Frequently asked questions
What is the primary objective of this scheme?
The scheme aims to support Gujarat’s manufacturing MSMEs through capital investment subsidies, with the goal of increasing employment, GDP, and exports while strengthening their global competitiveness.
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 (excluding NBFCs) are eligible to apply for this subsidy.
What is the maximum subsidy amount I can receive?
The maximum capital investment subsidy is ₹45,00,000 for enterprises in Category 1 Talukas where Eligible Fixed Capital Investment exceeds ₹10 crore.
Is there a specific deadline to apply for the subsidy?
Applications must be submitted within one year of term loan disbursement or before commercial production starts. The scheme remains in effect until 6 August 2025.
What is the commitment required from the enterprise after receiving the subsidy?
The enterprise must stay operational for at least 7 years after subsidy approval and follow all relevant pollution control regulations.
Can I apply for subsidies for multiple investment types?
Only one type of investment project—such as Forward Integration, Backward Integration, Diversification, or Expansion—is eligible for the subsidy under this scheme.
Sectors
- Manufacturing Industrial
- Msme
- Manufacturing
- Capital Subsidy
- Gujarat Government
- Industrial Growth
Details last verified on 3 August 2026. Source: the issuer's published information.