Investment Promotion Scheme (IPS) for Thrust Sectors: III. Scheme C4: For Food Processing Industries
By Department of Industries, UT Administration of Dadra and Nagar Haveli and Daman and Diu
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Quick Answer
This scheme offers a credit-linked interest subsidy for new or expanding food processing industries in Dadra & Nagar Haveli and Daman & Diu, covering up to ₹50 lakh annually.
- Funding amount
- Up to ₹50L
- Funding type
- Subsidy
- Application deadline
- Rolling
- Registrations needed
- Udyam registration
About this subsidy
The 'Scheme For Food Processing Industries' is a sub-scheme under the broader 'Investment Promotion Scheme (IPS)' for Thrust Sectors. Launched on July 3, 2015, for an initial period of five years by the Department of Industries, U.T. Administration of Dadra & Nagar Haveli and Daman & Diu, it has since been extended. The scheme is now operative from May 20, 2022, until May 19, 2027.
The primary objective of the overarching Investment Promotion Scheme (IPS) is to boost specialized Thrust Sectors like various types of furniture, aiming to establish the U.T. as a hub for the furniture sector. Beyond that, it seeks to increase women's participation in business, reduce local unemployment, and incentivize industries to hire resident laborers.
Specifically, the 'Scheme For Food Processing Industries' sub-scheme focuses on providing a crucial credit-linked interest subsidy. This subsidy is designed to support the establishment or expansion of food processing industries within the Union Territory, thereby promoting growth and investment in this vital sector. By easing the financial burden of loans through interest subsidies, the scheme encourages new ventures and capacity expansion, contributing to industrial development and job creation.
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
Provider
Department of Industries, UT Administration of Dadra and Nagar Haveli and Daman and DiuDadra and Nagar Haveli and Daman and Diu · India
Benefits & Funding
- Amount
- Up to ₹50L
What You Get
The scheme provides a credit-linked interest subsidy of 60% per annum, capped at a maximum of ₹50,00,000/- (₹50 lakh) per annum. This subsidy is available for a period of five years or for the duration of the loan repayment, whichever is earlier. Additionally, eligible food processing units established in dedicated Industrial Parks for Food Processing Industries can receive an additional 10% subsidy. This financial support is designed to significantly reduce the interest burden on loans taken for the establishment or expansion of food processing units, thereby encouraging investment and growth in the sector.
- Disbursement
- Reimbursement
- Bootstrap friendly
- Yes
Timelines & Process
Applications
Rolling basis
Application Process
- 1
Register Account
Create an account on the Single Window Portal and verify your email and mobile number.
You - 2
- 3
- 4
- 5
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 main objective of the "Scheme For Food Processing Industries"?
The main objective is to provide credit-linked interest subsidy for the establishment or expansion of food processing industries within Dadra & Nagar Haveli and Daman & Diu.
What is the maximum interest subsidy available?
Units can receive a 60% credit-linked interest subsidy, limited to a maximum of ₹50 lakh per annum, for up to five years or the loan repayment period, whichever is earlier.
Are there any additional subsidies?
Yes, an additional 10% subsidy is provided for food processing units located in dedicated Industrial Parks for Food Processing Industries.
Who is eligible to apply for this scheme?
New or existing MSME manufacturing/service units undertaking expansion or diversification, located in Dadra & Nagar Haveli and Daman & Diu, are eligible. Commercial production must commence between May 20, 2022, and May 19, 2027.
What is the application timeline?
Units must apply online within one year from the date of first loan disbursement or on or before the date of commercial production commencement, whichever is earlier.
How can I apply for the scheme?
Applications are submitted online through the official Single Window Portal after completing the registration process.
Sources
Data on this page is compiled from official program and provider references.
