Jyoti Gramodyog Vikas Yojana
By Cottage and Rural Industries Department, Government of Gujarat
Check your eligibility
Sign up and we'll tell you whether your startup qualifies for this grant.
Quick Answer
Margin money subsidy for artisans, entrepreneurs and Self-Help Groups setting up new village industries in Gujarat, with project costs from ₹1 lakh to ₹25 lakh.
About this subsidy
Individual artisans, entrepreneurs and Self-Help Groups (SHGs) in Gujarat can get a margin money subsidy of 25–30% to set up a new village industry with a project cost of ₹1,00,000/- to ₹25,00,000/-. The Commissioner of Cottage and Rural Industries, Government of Gujarat, launched the scheme on 7th September 2015. SC/ST, women and physically handicapped applicants get the higher rate.
The project must be in a rural area with 24x3-phase electricity supply and a population not above 20,000. Applications go offline through District Industries Centres (DICs). The subsidy is paid to your account after two years of successful operation, verified by the DIC.
You must be aged 25 to 50, with at least Class 10 education and one year of experience or training in the activity. Partnership firms, private limited companies, joint ventures and HUF are not eligible.
Eligibility
See if you're eligible
Full eligibility criteria — entity type, stage, sector, founder profile and registration requirements — plus your fit for this program. Sign up to view.
Subsidy providers
Benefits & Funding
- Amount
- ₹25,000 – ₹4.5L
What You Get
- Margin Money Subsidy: Receive financial assistance ranging from ₹25,000 to ₹4,50,000 as a margin money subsidy for setting up new village industries.
- For general category projects, 25% subsidy is provided for costs up to ₹10 lakh, and 25% on the first ₹10 lakh plus 10% on the remaining cost for projects up to ₹25 lakh.
- For SC/ST, women, and physically handicapped applicants, the subsidy is enhanced to 30% for projects up to ₹10 lakh, and 30% on the first ₹10 lakh plus 10% on the remaining cost for projects up to ₹25 lakh.
- This subsidy covers machinery, raw materials, and working capital (up to 10% of total cost), excluding land/building expenses.
- The subsidy is disbursed directly to the beneficiary's account after two years of successful operation, verified by the District Industries Centre (DIC).
- Disbursement
- Lump Sum
- Bootstrap friendly
- Yes
Timelines & Process
Applications
Rolling basis
Selection Process
Applications are submitted offline through District Industries Centres (DICs), which process and verify the submitted forms and documents. Eligibility criteria are assessed, and project proposals are reviewed for alignment with the scheme's objectives. Final approval and verification for subsidy disbursement occur after 2 years of successful project operation by the beneficiary, confirmed by the DIC.
Application Process
- 1
Collect Application Form
Applicant obtains the prescribed application format from the District Industries Centre or downloads it online.
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 primary objective of the Jyoti Gramodyog Vikas Yojana?
The scheme aims to promote rural entrepreneurship by providing financial assistance (margin money subsidy) for setting up new village industries in Gujarat.
What are the minimum and maximum project costs eligible under this scheme?
The scheme supports projects with costs ranging from ₹1,00,000 to ₹25,00,000.
How much subsidy can I expect for my project?
General category applicants can receive a 25% subsidy, while SC/ST, women, and physically handicapped applicants are eligible for a 30% subsidy on projects up to ₹10 lakh, with a tiered structure for projects up to ₹25 lakh, capping the maximum subsidy at ₹4.5 lakh.
Who is eligible to apply for this scheme?
Individual artisans, entrepreneurs, and Grade-II active Self-Help Groups (SHGs) between 25 and 50 years of age, with at least Class 10 education and one year of business experience or relevant training, are eligible. The project must be located in a rural area with a population not exceeding 20,000.
What kind of entities are NOT eligible?
Partnership firms, private limited companies, joint ventures, HUFs, or similar commercial entities are specifically excluded from applying.
When is the subsidy disbursed?
The subsidy is credited to the beneficiary’s account after 2 years of successful operation, following verification by the District Industries Centre (DIC).
Sources
Data on this page is compiled from official program and provider references.
