Aatmanirbhar Gujarat Scheme for assistance to MSMEs: Assistance for Interest Subsidy to Micro, Small and Medium Enterprise (Manufacturing Sector)
By Industries and Mines Department, Government of Gujarat
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Quick Answer
A Gujarat state scheme offering interest subsidy on term loans to micro, small, and medium enterprises in the manufacturing sector for growth, expansion, or diversification.
- Funding amount
- ₹1.25Cr – ₹2.45Cr
- Funding type
- Subsidy
- Application deadline
- 343d — 4 Oct 2027
- Location
- Gujarat
- Registrations needed
- Udyam registration
About this subsidy
The "Aatmanirbhar Gujarat Scheme for MSMEs" is a comprehensive umbrella initiative launched by the Industries and Mines Department of Gujarat. This scheme is designed to bolster the state's vibrant Micro, Small, and Medium Enterprise (MSME) sector, which plays a pivotal role in employment generation, GDP contribution, and export performance within Gujarat. Operational from October 5, 2022, to October 4, 2027, the broader scheme aims to foster economic growth, stimulate investments, and contribute significantly to the vision of a self-reliant Gujarat and India.
This specific component, "Assistance for Interest Subsidy to Micro, Small and Medium Enterprise (Manufacturing Sector)", focuses on providing crucial financial support through an interest subsidy on term loans. This aid is primarily targeted at micro-enterprises within the manufacturing sector, but also extends to small and medium enterprises. It enables them to undertake new projects, expand existing operations, or diversify their business activities, thereby strengthening their financial viability and encouraging further industrial development in the state.
Eligibility
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Full eligibility criteria — entity type, stage, sector, founder profile and registration requirements — plus your fit for this program. Sign up to view.
Subsidy providers
The Industries & Mines Department (IMD) of the Government of Gujarat is the state department that makes industrial and MSME policy. Its executive arm, the Industries Commissionerate, implements those policies, both the state's and the central government's, and runs the Startup…
Learn moreBenefits & Funding
- Amount
- ₹1.25Cr – ₹2.45Cr
What You Get
The Aatmanirbhar Gujarat Scheme provides significant financial assistance through an interest subsidy on term loans, structured across three categories based on taluka classification:
- Category 1: Offers a 7% interest subsidy on the term loan, with a maximum annual amount of ₹35,00,000/- for a period of 7 years. This can amount to a total benefit of up to ₹2.45 crore over the scheme's tenure.
- Category 2: Provides a 6% interest subsidy on the term loan, capped at an annual maximum of ₹30,00,000/- for a period of 6 years. This can lead to a total benefit of up to ₹1.8 crore.
- Category 3 & Municipal Corporation Areas: Features a 5% interest subsidy on the term loan, limited to an annual maximum of ₹25,00,000/- for a period of 5 years. This can offer a total benefit of up to ₹1.25 crore. This tiered incentive structure ensures that MSMEs receive tailored support, helping them manage their debt burden and freeing up capital for further investment in expansion, diversification, and operational improvements. The subsidy acts as a direct cash benefit, reducing the cost of borrowing for eligible manufacturing enterprises.
- Disbursement
- Tranched
- Bootstrap friendly
- Yes
Application Process
- 1
Register as New Investor
Visit the Investor Facilitation Portal and complete the new investor registration form.
You - 2
- 3
- 4
How to apply
Four steps from draft to disbursement — one action each.
- 1
See the questions before you start
Download every question this programme's application form asks, so you can prepare your answers offline before opening the portal.
- 2
Line up your documents
Keep every document from the checklist ready in one folder. Missing docs are the #1 reason applications get bounced.
- 3
Submit on the official portal
Use the official application link and verify all details before final submission.
- 4
Follow up
Reach out 5–7 days after submitting to confirm receipt and ask about the review timeline.
Program templates & documents
Files the program publishes for applicants — download these and apply in the prescribed format.
Frequently Asked Questions
What is the Aatmanirbhar Gujarat Scheme's interest subsidy for MSMEs?
This scheme provides an interest subsidy on term loans availed by Micro, Small, and Medium Enterprises (MSMEs) in the manufacturing sector in Gujarat. The subsidy rates and maximum amounts vary based on the taluka category and the duration of the support.
What are the eligibility criteria for this interest subsidy?
To be eligible, your firm must be a Micro, Small, or Medium enterprise with valid MSME or DPIIT registration. It can be a new enterprise or an existing one undertaking expansion or diversification. Commercial production/services must commence within the scheme's operative period, and regular loan installments/interest payments must be made to the bank/financial institution.
What is the maximum financial benefit available?
The maximum annual interest subsidy can be up to ₹35 lakh for a period of 7 years in Category 1 talukas, totaling up to ₹2.45 crore over the scheme's duration. For Category 2, it's ₹30 lakh annually for 6 years (₹1.8 crore total), and for Category 3/Municipal Corporations, it's ₹25 lakh annually for 5 years (₹1.25 crore total).
How do I apply for the interest subsidy?
The application process is entirely online. First, you need to register on the Investor Facilitation Portal (IFP) by creating an account and verifying your email. After successful registration, log in to the portal and fill in all the required business details and mandatory documents to complete your application.
Is there a deadline to apply for this scheme?
Yes, applications must be submitted within one year of the first loan disbursement, commencement of commercial production/services, or the GR issue date, whichever is later. Crucially, all applications must be submitted before the scheme's last operative date, which is October 4, 2027.
Is MSME registration mandatory to apply for the subsidy?
Yes, it is mandatory. The enterprise must have obtained an acknowledgment or registration either from the Ministry of MSME or the Department for Promotion of Industry and Internal Trade (DPIIT), as applicable, to qualify for the scheme.
Sources
Data on this page is compiled from official program and provider references.
