What is the primary objective of the MSME Design Scheme?

The scheme aims to help MSMEs access expert advice on all aspects of design, enabling them to realize their design-related objectives, develop new products, and enhance their existing product portfolios through design interventions.

What are the two main parts of the Design Scheme?

The scheme is divided into two major parts: 'Design Projects,' which facilitates MSMEs in developing new design strategies and products through consultancy, and 'Design Awareness Programme,' which creates general awareness about the value of design through seminars, talks, and workshops.

What is the maximum financial assistance available for Design Projects?

For approved Design Projects, the Government of India contributes up to a maximum of ₹40 lakh (₹40,00,000). For Micro enterprises, the government contributes 75% of the project cost, and for Small & Medium enterprises, it contributes 60%.

Is there support for student design work?

Yes, the 'Student Project' component provides financial assistance up to ₹2.5 lakh (₹2,50,000) for design work by bona-fide students, with the Government of India contributing 75% of the total student project cost.

What are the eligibility criteria for MSMEs to apply?

Beneficiary units must be registered micro, small, or medium enterprises and possess a valid Udyog Aadhaar Memorandum (UAM) or Udyam Registration certificate.

Design Scheme Under MSME Innovative Scheme – Up to ₹40 Lakhs

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Ministry of MSME

New Delhi · Delhi · India

The Ministry of Micro, Small and Medium Enterprises (MSME) is the central government ministry responsible for formulating policies and programmes for the MSME sector in India. It administers several schemes aimed at promoting entrepreneurship, livelihood creation, and enterprise…

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The "Design scheme" is a crucial component of the "MSME Innovative Scheme," launched by the Ministry of Micro, Small & Medium Enterprises. Its primary objective is to empower MSMEs by providing them with access to specialized design advice and interventions. This scheme aims to help businesses conceptualize, develop, and enhance their product portfolios through professional design strategies. By integrating design expertise, MSMEs can foster innovation, improve product aesthetics, functionality, and market competitiveness.

The scheme is broadly structured into two main parts:

Design Projects: This segment focuses on facilitating MSMEs to develop innovative design strategies and create design-related products. It involves direct interventions and consultancy services from experienced design professionals. The financial assistance under this activity is specifically earmarked for engaging design consultants and covering expenses related to prototype and product development. This support enables MSMEs to translate their ideas into tangible, market-ready products or significantly enhance existing ones.
Design Awareness Programme: The objective of this component is to cultivate a broader understanding and appreciation for the strategic value of design in business. Through various activities like seminars, talks, and workshops, the program seeks to sensitize MSMEs about the transformative power of design and innovation across different facets of their industry. This awareness aims to integrate design thinking into the core business processes of MSMEs, fostering a culture of innovation and continuous improvement.

The Design Scheme offers significant financial assistance and strategic support to eligible MSMEs. For Design Projects, the Government of India contributes a substantial portion of the total project cost: 75% for Micro enterprises and 60% for Small & Medium enterprises, with a maximum government contribution of ₹40 lakh (₹40,00,000). The remaining project cost is borne by the MSME and deposited to the Implementing Agency. This grant is disbursed in three stages linked to project milestones: 40% at the Strategy & Concept stage, 30% at the Detail Design stage, and 30% upon successful completion of the prototype/product and final report submission. This structured disbursement ensures progress-linked funding. Additionally, a Student Project component supports bona-fide student design work for MSMEs, providing financial assistance up to ₹2.5 lakh (₹2,50,000), covering 75% of the total student project cost. Beyond financial aid, the scheme provides specialist design advice from experienced designers and offers extensive Design Awareness Programmes through seminars, talks, and workshops, aiming to sensitize MSMEs about the value and power of design for business growth and innovation.

Design Scheme Under MSME Innovative Scheme

Design Scheme Under MSME Innovative Scheme

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