UP Textile Infra Subsidy
By Government of Uttar Pradesh
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Quick Answer
Subsidy of 50% of project cost, up to INR 3 Crore, for textile and garmenting units in Uttar Pradesh building self-use roads, drainage, water and power, under the Textile and Garmenting Policy 2022.
- Funding amount
- Up to ₹3Cr
- Funding type
- Subsidy
- Provider
- Government of Uttar Pradesh
- Application deadline
- Rolling
- Location
- Uttar Pradesh
About this subsidy
Textile and garmenting units in Uttar Pradesh that build their own infrastructure get a subsidy of 50% of the project cost, up to INR 3 Crore per unit. The scheme is part of the UP Textile and Garmenting Policy 2022.
It covers self-use amenities: internal roads, drainage and water supply, and power supply such as power lines and transformers. It is meant for units setting up on undeveloped land parcels, where these costs fall on the new unit.
To qualify, the unit must be in the Textile and Garmenting sector as defined in the policy, be setting up on an undeveloped land parcel, and be developing these amenities for its own use.
Eligibility
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Subsidy providers
The Government of Uttar Pradesh supports startups and businesses through a set of state policies, each run by a different department. This page covers the startup policy, which gives grants, reimbursements and free incubation to early startups, and the MSME, IT, food processing,…
Learn moreBenefits & Funding
- Amount
- Up to ₹3Cr
What You Get
Beneficiaries of this scheme will receive a significant financial subsidy of 50% of the project cost incurred for developing essential self-use infrastructural amenities. This subsidy is capped at a generous maximum of INR 3 Crore for each eligible unit. The financial support is specifically designed to cover the costs associated with critical infrastructure components including internal road development, robust drainage and water supply systems, and reliable power supply infrastructure such as power lines and transformers. This substantial co-financing mechanism directly reduces the capital expenditure burden on new units, making it more feasible to establish operations on previously undeveloped land parcels. The subsidy aims to accelerate the setup and operational readiness of textile and garmenting units, providing a strong incentive for investment and growth within the sector. The support mechanism ensures that units can invest in high-quality, sustainable infrastructure crucial for long-term operational efficiency without disproportionate financial strain.
- Disbursement
- Reimbursement
- Bootstrap friendly
- Yes
Timelines & Process
Applications
Rolling basis
Selection Process
The selection process for the Subsidy for Infrastructure involves a rigorous evaluation by a committee constituted by the Government of Uttar Pradesh. Applications are first screened for completeness and adherence to basic eligibility criteria, such as the unit's registration in the textile and garmenting sector and the location on undeveloped land. Subsequently, a technical and financial assessment is conducted on the submitted project proposals. This includes verifying the estimated project costs, assessing the technical feasibility and necessity of the proposed infrastructure amenities (roads, drainage, water, power), and evaluating the overall potential impact of the unit on the state's industrial growth. The committee may conduct site visits to the proposed project location and engage in discussions with applicants to clarify details. Final approval is granted based on the comprehensive evaluation, ensuring that the most deserving and impactful projects receive the subsidy, aligning with the policy's objectives of industrial development.
Application Process
- 1
Review Policy
Thoroughly review the 'UP Textile and Garmenting Policy 2022' to understand all criteria.
You - 2
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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 this subsidy?
The main objective is to promote industrial growth in the textile and garmenting sector in Uttar Pradesh by incentivizing units to develop essential self-use infrastructure on undeveloped land parcels.
Which specific infrastructural amenities are covered by the subsidy?
The subsidy covers the development of self-use amenities such as internal roads, drainage and water supply systems, and power supply infrastructure including power lines and transformers.
Is there a minimum project cost requirement to avail this subsidy?
While no explicit minimum project cost is stated, the subsidy covers 50% of the cost up to INR 3 Crore, implying that projects must have a substantial infrastructure component to be eligible for significant support.
Are existing units eligible for this subsidy, or only new ones?
The policy specifically mentions "Units setting up on undeveloped land parcels", indicating that the subsidy is primarily aimed at new establishments or significant expansions involving new land development.
What is the typical disbursement process for the subsidy?
The subsidy is generally disbursed on a reimbursement basis, meaning the unit incurs the cost for infrastructure development first, and then claims the eligible 50% (up to INR 3 Crore) upon verification by the authorities.
Is co-financing mandatory for this scheme?
Yes, since the subsidy covers 50% of the project cost, the unit is required to finance the remaining 50% from its own sources or other means.
Sources
Data on this page is compiled from official program and provider references.
