Capital Investment Subsidy: SC/ST/Women Entrepreneurs Component of the Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries Scheme
Industries and Commerce Department, Government of Puducherry · Central government
Puducherry provides up to ₹50 lakh (25%) capital subsidy on land, building, plant & machinery for SC, ST, and Women entrepreneurs.
Open, rolling. Applications are accepted continuously — there is no deadline.
Key facts
- Subsidy amount
- Up to ₹50,00,000
- Instrument
- Subsidy
- Deadline
- Rolling
- Disbursement
- Single lump sum
About this scheme
The Capital Investment Subsidy for SC/ST and Women Entrepreneurs forms part of the broader Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries Scheme, administered by the Department of Industrial Development (Industries and Commerce), Union Territory of Puducherry. It provides financial support on capital investments in land, buildings, and plant & machinery, aiding the establishment and growth of small and micro manufacturing units.
The scheme seeks to reduce the capital expenditure burden for first-generation or underserved entrepreneurs. By covering a portion of these costs, the Puducherry government intends to boost economic activity, generate employment, and support inclusive industrial development. Assistance levels vary by applicant category, with enhanced benefits for Scheduled Caste and Scheduled Tribe entrepreneurs to address historical disadvantages and improve their participation in the industrial sector.
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
- Not specified
- DPIIT startup recognition
- Not specified
- GST registration
- Not specified
- Where the business may be based
- Puducherry
- Applicant must be a Scheduled Caste (SC), Scheduled Tribe (ST), or Woman Entrepreneur. - Eligible for small and micro manufacturing enterprises. - For SC/ST/Women entrepreneurs, production must have commenced on or after March 27, 2002. - For SC/ST entrepreneurs, investment made and production/expansion commenced on or after August 24, 2011. - Indigenous second-hand machinery qualifies, valued at the lowest of initial purchase price (after depreciation), second-hand purchase price, or chartered engineer's valuation. - Imported second-hand machinery qualifies if imported directly or through an agent with proper documentation. - Multiple industrial units by the same proprietor or with common partners/directors qualify as separate entities if they have distinct locations, products, and registrations.
How to apply
- **Step 1: Register Claim**: Secure the prescribed application form from the Official Website of the Directorate of Industries and Commerce, Puducherry. This document serves to register your claim for the incentive or subsidy. - **Step 2: Fill Application Form**: Accurately complete every mandatory field in the application form. Attach all required documents, self-attesting them where applicable. - **Step 3: Submit Application**: Deliver the signed and completed application form, along with all supporting documents, to the designated authority within the Department of Industrial Development. - **Step 4: Obtain Acknowledgment**: Ask the authority for a receipt or acknowledgment. This receipt must contain key particulars, including the submission date and time, and, where possible, a unique identification number for your application.
How applications are assessed
The State Level Committee assesses every application received. Each case is examined on its merits to confirm whether the industrial unit satisfies all prescribed conditions and is eligible for the incentive or subsidy.
Frequently asked questions
What is the primary objective of this scheme?
The scheme provides fiscal assistance on capital investments to encourage entrepreneurs, especially from Scheduled Caste, Scheduled Tribe, and women communities, to set up or expand industrial units in Puducherry.
Who is eligible to apply for this subsidy?
The scheme is open only to Scheduled Caste, Scheduled Tribe, and Women Entrepreneurs establishing or expanding small and micro manufacturing units in Puducherry.
What investments are covered under the subsidy?
The subsidy applies to 25% of eligible investment in land, industrial buildings, and plant and machinery.
What is the maximum subsidy amount I can receive?
For Scheduled Caste and Scheduled Tribe entrepreneurs, the maximum cumulative subsidy is ₹50,00,000, while for women entrepreneurs, it is ₹25,00,000.
How is the subsidy disbursed?
The subsidy is usually released in one instalment. For bank-financed units, it is paid through the financial institution for loan adjustment or other business needs, while self-financed units receive it directly from the entrepreneur.
Are there any conditions regarding second-hand machinery?
Yes, indigenous second-hand machinery qualifies, with its value taken as the lowest of its depreciated initial purchase price, the second-hand purchase price, or the chartered engineer's valuation. Imported second-hand machinery is also eligible when imported directly by the unit or through an agent, provided the import documents are in order.
Sectors
- Manufacturing Industrial
- Puducherry
- Subsidy
- Capital Investment
- Scst Entrepreneurs
- Women Entrepreneurs
- Manufacturing
- Fiscal Assistance
Details last verified on 3 August 2026. Source: the issuer's published information.