What types of enterprises are eligible for this subsidy?

The subsidy is available for eligible New, Expansion, or Diversification projects by Sub-Large and Large Enterprises in General Industries within Andhra Pradesh.

What is the maximum subsidy amount I can receive?

Sub-Large Enterprises can receive a maximum of ₹20 crore, while Large Enterprises can receive up to ₹50 crore.

How is the subsidy disbursed?

The subsidy is disbursed in installments over a period of 4 years for Sub-Large Enterprises and 5 years for Large Enterprises, based on the category and eligible FCI.

Does this subsidy apply only to textile industries?

While the policy document is the "textile policy", this specific incentive (3.11) is explicitly for "General Industries," meaning it applies broadly beyond just the textile sector.

Is there an application deadline for this scheme?

The program operates on a rolling basis, allowing applications throughout the policy period without a specific deadline for individual claims, subject to policy guidelines.

Is there any co-financing requirement?

Yes, as this is an investment subsidy based on Fixed Capital Investment (FCI), the enterprise is expected to make the primary investment, and the subsidy will be provided as a percentage of that eligible FCI.

AP Investment Subsidy for Industries (2026): Up to ₹50Cr

The Investment Subsidy for Sub-Large & Large Enterprises (General Industries) is a key incentive under the Andhra Pradesh Textile and Apparel Growth (AP TAG) Policy 4.0. Designed to stimulate industrial growth and capital investment within the state, this scheme aims to support the establishment of new industrial units, expansion of existing facilities, and diversification into new product lines by sub-large and large enterprises. By offering a significant subsidy on Fixed Capital Investment (FCI), the government seeks to enhance the competitiveness of industries, encourage job creation, and foster a robust manufacturing ecosystem in Andhra Pradesh. The policy provides clear guidelines on the quantum of support, ensuring transparent and time-bound disbursement of benefits to eligible units. This initiative is crucial for attracting substantial industrial investments and driving economic development across various general industrial sectors.

The selection process for the Investment Subsidy involves a multi-stage evaluation. Applications are initially screened for completeness and adherence to basic eligibility criteria. Subsequently, a technical and financial appraisal is conducted by a committee comprising officials from the Department of Industries & Commerce and relevant experts. This appraisal assesses the project's viability, the quantum of eligible Fixed Capital Investment, and its alignment with the state's industrial development goals. The committee's recommendations are then submitted to the sanctioning authority for final approval, ensuring that only qualifying enterprises receive the subsidy.

This scheme offers substantial investment subsidies to eligible enterprises:

Sub-Large Enterprises: Receive 20% of eligible Fixed Capital Investment (FCI), capped at ₹20 crore, disbursed over a period of 4 years.
Large Enterprises: Receive 25% of eligible FCI, capped at ₹50 crore, disbursed over a period of 5 years. This financial support aims to significantly reduce the capital expenditure burden, promoting new investments, expansions, and diversification projects within Andhra Pradesh's general industrial sectors. The subsidy is provided as a direct benefit, helping businesses achieve financial stability and growth in their operational scale.

AP Investment Subsidy for Industries

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