Capital Investment Subsidy: Physically Handicapped Persons/ Ex-Servicemen
By Industries and Commerce Department, Government of Puducherry
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Quick Answer
A component of the Puducherry scheme offering 25% capital investment subsidy up to ₹25 lakh for new micro and small manufacturing units run by physically handicapped persons or ex-servicemen.
- Funding amount
- Up to ₹25L
- Funding type
- Subsidy
- Application deadline
- Rolling
- Eligible stage
- Revenue
- Location
- Puducherry
About this subsidy
The Capital Investment Subsidy for Physically Handicapped Persons/Ex-Servicemen is an integral component of the broader 'Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries' Scheme. This initiative is managed by the Department of Industrial Development (Industries and Commerce) under the Union Territory of Puducherry. The primary objective of this program is to foster industrial growth and entrepreneurship among specific demographic groups. It targets new industrial units that commenced production on or after August 5th, 2009, and are spearheaded by physically handicapped entrepreneurs or Ex-Servicemen. The subsidy is specifically designed to support investments made in crucial fixed assets such as land, building, and plant and machinery, thereby reducing the initial capital burden for these businesses. The scheme aims to empower these entrepreneurs to establish and grow their manufacturing enterprises, contributing to economic development and self-reliance within the region. By providing direct financial assistance, the Puducherry government seeks to create a supportive environment for inclusive industrialization.
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
- Amount
- Up to ₹25L
What You Get
Beneficiaries receive a capital investment subsidy equivalent to 25% of their investment in land, building, and plant and machinery, up to a maximum of ₹25 lakh. This financial assistance is crucial for micro and small manufacturing enterprises, helping them offset significant upfront costs. The subsidy is typically disbursed in a single installment, though multi-installment disbursement may occur under certain circumstances. For units financed by financial institutions, the subsidy is routed through them to adjust against loans, create additional fixed assets, or support working capital. Self-financed units receive the subsidy directly, providing flexible capital support for their operations.
- Disbursement
- Milestone Based
- Bootstrap friendly
- Yes
Timelines & Process
Applications
Rolling basis
Selection Process
The applications are reviewed by a State Level Committee. This committee thoroughly examines the merits of each case to determine whether the industrial unit fulfills all the specified criteria and qualifies for the grant of incentive or subsidy. The decision-making process ensures that deserving entrepreneurs and units receive the intended support.
Application Process
- 1
Register Claim
Obtain and register the claim for incentive/subsidy using the prescribed form from the official website.
You - 2
- 3
- 4
- 5
- 6
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.
Frequently Asked Questions
What is the maximum subsidy amount available?
The scheme offers a maximum capital investment subsidy of ₹25,00,000 (₹25 lakh).
What percentage of investment is covered by the subsidy?
The subsidy covers 25% of the investment made on land, building, and plant and machinery.
Who is eligible for this scheme?
New industrial units that started production on or after 5th August 2009, established by physically handicapped entrepreneurs (with at least 40% incapacity) or Ex-Servicemen, and operating as micro and small manufacturing enterprises in Puducherry.
How is the subsidy disbursed?
The subsidy is generally disbursed in a single installment. If the unit is financed by a bank/financial institution, the amount is routed through them for loan adjustment or asset creation. For self-financed units, the subsidy is disbursed directly to the entrepreneur.
What is the application deadline?
For new units, applications must be submitted within one year from the date of commencement of obtaining Entrepreneurs Memorandum Part-2/ Permanent Registration/ Commencement of Production Certificate. For existing units undertaking expansion, diversification, or modernization, the application must be submitted within one year of completion of these activities.
Where can I find the application form?
The prescribed application form is available on the Official Website of the Directorate of Industries and Commerce, Puducherry, specifically at the common application link for subsidies.
