Punjab Direct Purchase MSP Levy Waiver
By Department of Industries & Commerce, Government of Punjab
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Quick Answer
Anchor units in Punjab are exempt from the PAMB licence condition requiring payment of 2% over MSP on direct purchase of produce.
About this subsidy
A direct purchase licence from the Punjab Agricultural Marketing Board normally carries a condition that the buyer pay 2% over and above the Minimum Support Price for produce bought straight from farmers. Clause 12.9 of Punjab's Industrial and Business Development Policy 2022 exempts Anchor Units from that condition for permission given under Direct Purchase. For a processor buying grain, oilseed or other MSP-notified produce at scale, 2% of procurement value is a recurring cost on every consignment, and removing it is what makes farm-gate sourcing competitive against mandi purchase for an anchor project.
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
The Department of Industries & Commerce is the Government of Punjab's department that runs the Punjab Start-up Cell. The Cell is headed by the Director of Industries and Commerce and acts as a single point of contact for the state's startup policy. The department is based at…
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What You Get
The unit is released from the condition, attached to its PAMB licence, of paying 2% over and above the Minimum Support Price on produce bought under Direct Purchase permission. The saving is realised on every procurement transaction rather than paid out as a grant, and it applies for as long as the Direct Purchase permission and anchor status hold.
- Disbursement
- Reimbursement
- Bootstrap friendly
- Yes
Timelines & Process
Applications
Rolling basis
Selection Process
Anchor Unit status is granted by the State at project approval. The exemption is then a licence-condition relaxation processed between the department and PAMB rather than a competitive award.
Application Process
- 1
Anchor status
The State accords Anchor Unit status to the project.
Provider - 2
- 3
- 4
How to apply
Four steps from draft to disbursement — one action each.
- 1
Submit on the official portal
Use the official application link and verify all details before final submission.
- 2
Follow up
Reach out 5–7 days after submitting to confirm receipt and ask about the review timeline.
Frequently Asked Questions
What exactly is waived?
The condition in the PAMB-issued licence requiring payment of 2% over and above the Minimum Support Price.
Which purchases does it cover?
Purchases made under Direct Purchase permission.
Who grants the underlying licence?
The Punjab Agricultural Marketing Board (PAMB).
Who qualifies?
Units granted Anchor Unit status under the Industrial and Business Development Policy 2022.
Sources
Data on this page is compiled from official program and provider references.









