Maharashtra FSI Premium Exemption Scheme 2025
By Directorate of Industries, Government of Maharashtra
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Quick Answer
Provides private entities with additional Floor Space Index (FSI) for developing plug-and-play facilities for MSMEs, with a waiver of associated premium under the Maharashtra Industries Policy 2025.
- Funding amount
- Varies
- Funding type
- Subsidy
- Application deadline
- Rolling
- Location
- Maharashtra
About this subsidy
The 'Exemption from Premium for Additional FSI for Plug and Play Facilities' is a key incentive under the Maharashtra Industries Investment and Services Policy 2025. This program aims to bolster the state's industrial ecosystem by encouraging private developers to create high-quality, ready-to-use infrastructure tailored for Micro, Small, and Medium Enterprises (MSMEs) in both the manufacturing and services sectors. This initiative is designed to address infrastructure gaps and foster a more conducive environment for MSME operations and expansion within Maharashtra.
By offering additional Floor Space Index (FSI) of up to 200% (or as per local DCR, whichever is higher) without any premium, the Government of Maharashtra seeks to reduce the cost burden for developers. This stimulates investment in the construction of modern industrial and service-oriented facilities. These 'plug and play' facilities are crucial for MSMEs, providing them with immediate access to compliant and functional workspaces, reducing their setup time and capital expenditure, and allowing them to focus on core business activities.
This strategic incentive supports the overarching policy goal of making Maharashtra an attractive destination for industrial investment and innovation, ensuring that MSMEs have the necessary infrastructure to thrive and contribute to the state's economic growth.
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
Benefits & Funding
What You Get
Private entities are provided with an exemption from premium for additional Floor Space Index (FSI) of up to 200% or as per the provisions of the local Development Control Regulations (DCR), whichever is higher. This significant regulatory relief reduces the cost of developing 'plug and play' facilities, making it more attractive for private players to invest in and provide ready-to-use infrastructure for MSMEs in the manufacturing and services sectors. The benefit essentially acts as a subsidy on construction costs, fostering industrial growth and ecosystem strengthening by encouraging the creation of modern, compliant workspaces.
- Bootstrap friendly
- Yes
Timelines & Process
Applications
Rolling basis
Selection Process
The selection process for this incentive involves a thorough review of submitted project proposals by the relevant authorities of the Government of Maharashtra. A designated committee, likely comprising representatives from the Department of Industries and other technical experts, evaluates the proposed 'plug and play' facilities. Key assessment criteria include ensuring the project aligns with the policy's objectives of supporting MSMEs in the manufacturing and services sectors, adherence to local Development Control Regulations (DCR), the financial viability of the project, and its overall contribution to strengthening the industrial ecosystem of the state. Projects demonstrating a clear benefit to MSMEs and compliance with all statutory requirements are prioritised for approval.
Application Process
- 1
Register Project
Register your intent and project details with the relevant state industrial development authority.
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
Who is eligible to claim this incentive?
Private entities that are developing 'plug and play' facilities specifically for MSMEs in the manufacturing and services sector are eligible to claim this incentive.
What is the benefit provided under this scheme?
Eligible private entities receive additional Floor Space Index (FSI) of up to 200%, or as per local Development Control Regulations (DCR) (whichever is higher), without having to pay any premium for it.
What type of facilities are covered by this exemption?
The exemption is specifically for facilities designated as 'plug and play', designed to provide ready-to-use and efficient infrastructure for MSMEs to commence or expand their operations quickly.
What is FSI and why is its premium exemption significant?
FSI (Floor Space Index) determines the maximum permissible total floor area that can be constructed on a given plot of land. An exemption from its premium means developers save substantial costs, making it economically viable to build more industrial or commercial space. This incentive acts as a direct financial benefit by reducing development expenses.
Is this a cash grant or a loan?
No, this is a subsidy in the form of an exemption from regulatory fees (premium for FSI), which results in direct cost savings for the private entity. It is not a direct cash grant or a repayable loan.
Which government body issues this incentive?
This incentive is delivered by the Government of Maharashtra as part of its Maharashtra Industries Investment and Services Policy 2025, administered through relevant state industrial departments.
Sources
Data on this page is compiled from official program and provider references.
