MySubsidy

Incentive Scheme for MSMEs in Powerloom Sector: Subsidy for Water Conservation/ Environment Compliance

Department of Micro, Small and Medium Enterprises and Textiles, Government of West Bengal · Central government

The West Bengal government subsidises up to 50% (max ₹2 lakh) for micro and small powerloom units installing sound pollution control devices.

Closed. Applications closed on 31 December 2025. The details below describe the most recent cycle.

Key facts

Subsidy amount
Up to ₹2,00,000
Instrument
Subsidy
Deadline
31 December 2025
Disbursement
Reimbursed after spend

About this scheme

The "Incentive Scheme for MSMEs in Powerloom Sector" was introduced by the Department of Micro, Small & Medium Enterprises and Textiles, Government of West Bengal. It came into effect on January 1, 2022, and remains valid until December 31, 2024. The scheme encourages the installation of modern shuttleless powerlooms, with the aim of building a sustainable environment for MSMEs in the textile industry. It seeks to improve resource use, generate employment, and broaden operational capacity, positioning West Bengal as a leading powerloom hub in India.

Within this framework, the sub-scheme "Subsidy for Water Conservation/ Environment Compliance" addresses environmental concerns. It is directed at eligible micro and small enterprises in the powerloom sector. Under this programme, businesses can claim reimbursement for costs incurred on captive sound pollution control devices that form part of an approved project. The initiative reflects the state government's effort to modernise industrial infrastructure while promoting environmental compliance in a key manufacturing sector. By covering part of these expenses, it supports enterprises in adopting cleaner practices and raising operational standards.

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
West Bengal

- Generally applicable to all micro, small, and medium enterprises (MSMEs) in the powerloom sector. - Enterprises must have commenced commercial production between January 1, 2022, and December 31, 2024. - Enterprises must have executed a Four-party agreement with the Directorate of Textiles, a Financial Institution, and Tantuja. - Units must belong to the private sector, cooperative sector, or joint sector undertaking, including companies/undertakings owned and managed by the State Government and Industrial SHGs. - The project must be covered by a detailed feasibility report/project prepared for the purpose. - The project must have been approved and sanctioned by a Central Financial Institution, Commercial Bank, or State Financial Institution.

How to apply

- **Download Application Form:** Access the prescribed Form-A2 from the official website or the designated download link. - **Commence Production:** Confirm that your micro, small, or medium enterprise in the Powerloom sector began commercial production between January 1, 2022, and December 31, 2024. - **Prepare Documentation:** Compile all necessary supporting papers. This usually includes your Udyam registration certificate, a detailed project report on the installation of sound pollution control devices, the bank sanction letter for the project, invoices or bills for expenses incurred, the Four-party agreement, and evidence of production start. - **Complete Application:** Fill in Form-A2 fully and correctly, attaching every required document. - **Submit Offline:** Send the completed application form and documents offline to the Directorate of Textiles at the address specified in the scheme details. Ensure this is done within 12 months from the date commercial production began. - **Await Review:** The Directorate of Textiles will examine and verify the application. The Directorate will provide further updates on the application's status.

Apply on the issuer's site

How applications are assessed

The Directorate of Textiles reviews applications (Form-A2 with supporting documents) after a project has been approved and sanctioned by a Central Financial Institution, Commercial Bank, or State Financial Institution. This review verifies eligibility and confirms the expenditure incurred on sound pollution control devices before the subsidy reimbursement is approved.

Frequently asked questions

What is the primary objective of this sub-scheme?

The sub-scheme reimburses eligible micro and small enterprises in the Powerloom sector for expenditure on captive sound pollution control devices, providing a fiscal incentive for water conservation and environment compliance.

Which enterprises are eligible to apply for this subsidy?

The scheme applies to MSMEs in the powerloom sector in West Bengal. Eligibility requires production to have started between January 1, 2022, and December 31, 2024, a Four-party agreement, and project approval from a Central Financial Institution, Commercial Bank, or State Financial Institution.

What is the maximum subsidy amount available?

Eligible enterprises may claim a subsidy of 50%, capped at ₹2,00,000 (Two Lakh Indian Rupees).

What kind of expenses does the subsidy cover?

The subsidy reimburses the enterprise for expenditure on captive sound pollution control devices, provided these are part of an approved project.

How do I apply for this subsidy?

Applications must be submitted offline in the prescribed Form-A2, along with all relevant documents, to the Directorate of Textiles within 12 months from the date of commencement of commercial production.

What is the application deadline?

You must submit your application within 12 months of commencing commercial production. For enterprises that began production between January 1, 2022, and December 31, 2024, the final application date is December 31, 2025.

Sectors

  • Manufacturing Industrial
  • Msme
  • Powerloom
  • West Bengal
  • Subsidy
  • Environment Compliance

Details last verified on 3 August 2026. Source: the issuer's published information.