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Key policy highlights
Capital Subsidy
- Micro, small and medium enterprises in the Bundelkhand and Purvanchal region of the State will be eligible for capital subsidy of 25%, 20% and 15%, respectively
- Micro, small and medium enterprises in the Madhyanchal and Paschimanchal region of the State will be eligible for capital subsidy of 20%, 15% and 10%, respectively
- SC/ ST and women entrepreneurs will be eligible for 2% additional, capital subsidy
- Capital subsidy is capped at Rs 4 Crore/ unit
- Capital subsidy will be provided in 2 equal installments. First installment is payable once the construction of related buildings is completed. Second installment is payable once at least 50% of commercial production has begun.
Interest Subsidy
- Only micro units will be eligible for interest subsidy
- 50% interest subsidy, payable annually for five years, subject to ceiling of Rs 25 Lakh/ unit
- 60% interest subsidy for SC/ ST and women entrepreneurs, payable annually for five years, subject to ceiling of Rs 25 Lakh/ unit
Infrastructure Interest Subsidy
- Approved MSME industrial parks/ estates/ flatted factory complex (minimum area of 4000 square metres for flatted factory complexes) projects with area of 10 acres or more, will be eligible for annual infrastructure interest subsidy of up to 50%, subject to ceiling of Rs 2 Crore, annually
- Infrastructure interest subsidy will be payable for 7 years
Stamp Duty Exemption
- MSMEs will be eligible for 100% stamp duty exemption in the Purvanchal and Budelkhand region, and 75% in the Madhyanchal and Paschimanchal region except for Gautam Budh Nagar and Ghaziabad wherein stamp duty exemption will be 50%
- Women entrepreneurs will be eligible for 100% stamp duty exemption in any part of the State
- MSME industrial parks/ estates/ flatted factory complex developers will be provided 100% stamp duty exemption, on purchase of land
Promoting Quality Improvement among MSMEs
- MSMEs will be encouraged to manufacture high quality products
- MSMEs will be promoted to attain quality standards like ZED, GMP, Hallmark etc. To this end, fiscal assistance of up to 75% (maximum Rs 5 Lakh) will be provided to MSMEs, as reimbursement
- Financial assistance of 75% (maximum Rs.10 lakh) will be provided for attaining patents and GI tags
- Attorney fee of Rs 50,000 and Rs 2,00,000 will be reimbursed for obtaining national and international patents/ GI tag, respectively
- Financial assistance of 75% for implementing ERP solutions (maximum Rs 1 Lakh) and ICT solutions (maximum Rs 5 Lakh)
Promoting Environment Improvement Measures among MSMEs
- Fiscal assistance of 50% of the project cost (maximum Rs 10 crore) for establishment of CETPs
- Financial assistance of 50% of the project cost (maximum Rs 75 lakh) for implementing Zero Liquid Discharge facility
- Fiscal assistance of up to 50% of the project cost (maximum Rs 50 Lakh) for establishing boiler facility as common facility (minimum 10 MSMEs will be required to undertake such project)
- Promoting green practice and environmental audits for MSME like energy and water conservation audits – reimbursement of 75% (maximum Rs 50,000) towards audit services fee and 50% (maximum Rs 20 Lakh) towards purchase of auditor recommended equipment/ machinery
- Reimbursement of up to 50% (maximum Rs 2.5 Lakh) of the consultancy charges incurred towards obtaining green rating for industrial buildings
- Reimbursement of up to 50% (maximum Rs 10 Lakh) towards expenses incurred for the establishment of the Environment Management Laboratory/ Environment Management System