Gujarat State Business & Entrepreneurship

Aatmanirbhar Gujarat Scheme for Assistance to Mega Industries: Assistance of Interest Subsidy

Large manufacturing companies investing ₹2,500 crore or more in Gujarat's priority sectors can claim a 7% interest subsidy on their term loans for 10 years. The annual reimbursement is capped at 1.2% of eligible fixed capital investment. Apply online through the Gujarat Investor Facilitation Portal at ifp.gujarat.gov.in.

Industries and Mines Department For: Infra Official Source

About This Scheme

Full official description

The "Aatmanirbhar Gujarat Scheme for Assistance to Mega Industries" is an umbrella scheme launched by the Industries and Mines Department, Gujarat. It aims to empower the state's dynamic mega-industry sector, which significantly contributes to employment, GDP, and exports. Effective from October 5, 2022, to October 4, 2032, this initiative supports growth, investments, and the vision of "Aatmanirbhar Gujarat" and "Aatmanirbhar Bharat." The component "Assistance of Interest Subsidy" offers a fixed quantum of interest subsidy for new industrial setups or expansion projects, facilitating industrial investments and encouraging economic development.

Benefits

7% interest subsidy on term loans taken for fixed capital investment
Maximum annual benefit capped at 1.2% of eligible fixed capital investment
Subsidy available for 10 years from commencement of commercial production

Who Can Apply (Eligibility)

Must be a manufacturing unit in one of Gujarat's defined thrust sectors (see Aatmanirbhar Gujarat policy)
Minimum investment of ₹2,500 crore in plant and machinery
Must create direct employment for at least 2,500 people
Must have a term loan from a recognized financial institution for fixed capital investment
Must continue paying at least 2% interest even after claiming this subsidy
Applicable to new industrial units or expansion projects

How to Apply

Online

Registration Process:

Step-1: Visit the Investor Facilitation Portal (IFP) portal. Click on "New Investor Registration" to access the registration form. Step-2: Fill in the Registration Form. Click on "Submit". Step-3: Verify the E-mail ID using the link sent on your registered E-mail ID. Step-4: After verification, you will be registered successfully.

Post-Registration Process:

Step-1: Visit the Investor Facilitation Portal (IFP) portal. Click on "Login". Step-2: Enter the email address and password you used during registration. Step-3: Click the "Login" button to access your account. Step-4: Now fill in the required details and mandatory documents about your business to complete the application process.

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Frequently Asked Questions

What is the "Aatmanirbhar Gujarat Scheme for Assistance to Mega Industries"?

The "Aatmanirbhar Gujarat Scheme for Assistance to Mega Industries" is a state initiative designed to support and strengthen the Mega Industry sector in Gujarat. It aims to enhance growth, encourage investments, and contribute to the vision of self-reliant Gujarat and India.

When is the scheme operative?

The scheme is operative from October 5, 2022, to October 4, 2032, covering a period of 10 years.

What are the objectives of the scheme?

The scheme aims to boost Mega Industry growth, enhance the industrial ecosystem, encourage investments, and contribute to Gujarat's and India's self-reliance vision.

Who is eligible to benefit from the scheme?

Mega Industries established and operating within Gujarat are eligible to benefit from the scheme, as per the criteria defined in the policy framework.

What is the purpose of the "Assistance of Interest Subsidy" component?

The component aims to reduce the financial burden on industrial units by subsidizing a portion of the interest on term loans for fixed capital investments.

Who is eligible for this scheme?

New industrial units and expansion projects availing term loans for fixed capital investment are eligible.

What is the interest subsidy rate?

The interest subsidy is @7%, subject to a maximum of 1.2% of the eligible fixed capital investment per annum.

How long is the subsidy provided?

The subsidy is provided for up to 10 years.

What is the minimum investment required to qualify for the scheme?

The manufacturing unit must have an investment of at least INR 2,500 crore in plant and machinery.

How many jobs must a unit create to be eligible?

The unit must directly employ at least 2,500 persons to qualify for the subsidy.

What sectors are eligible under the scheme?

The unit must belong to one of the thrust sectors defined in the state's industrial policy.

Can units apply for the subsidy before commercial production starts?

No, the subsidy is disbursed only after the commencement of commercial production.

Ready to apply?

Visit the official government portal to apply for this scheme.

Apply on myScheme.gov.in

Documents Required

Bank Certificate for the Claim Period.
Bank/Financial Institute certified Term Loan Account statement for Claim Period.
IEM Part – B /IL /LOP of Industrial Undertaking.
To be submitted in first claim only.
Valid CCA obtained from GPCB (if applicable).
First Sale Bill.
To be submitted in first claim only.
Purchase bill, Sale bill, and Electricity Bill for Last month of Claim Period.
Attendance / Salary Register for the Last Month of Claim Period.
Employment Statement for the Last Month of the claim Period in Prescribed Format.
Details of Apprentice (If applicable).
Valid Insurance Policy for Fixed Assets.
No due Certificate from Previous Bank (in case of Take-over of Term Loan).
Bank Sanction Letter from Bank taken over the Term Loan (If Applicable).
Bank/Financial Institute certified Term Loan Account statement for take-over.
Authority Letter duly certified with Board Resolution, Directors / Partners / Owner. (Authorised Person should be any Director/Partner/at-least Employee of the Company).
Copy of Pan Card (To be submitted in first claim only).
Copy of Cancelled Cheque (To be submitted in first claim only).