Subsidy

Textile Subsidy

Various Subsidies and Governmental assistance available to a textile unit (Cotton Ginning and Pressing Units, Spinning Units, Weaving Units, Processing / Printing Units, Technical Textile (including Nonwoven) Units, Garment – Apparel and made up Units) situated at GUJARAT by Central Government and State Government:

Sr No. Name of the Scheme Authority / Department Nature of assistance
1. RR-TUFS(Central Level – Available in whole India) Ministry of Textile thru Textile Commissioner – Capital Subsidy on various machines from 10% to 30% of the cost of Machineries
– Capital Subsidy on Building construction to group of weavers
– Interest subsidy on term loan 2% to 6%p.a. for 7 years
2. GTP (Gujarat Textile Policy) – 2012 Government of Gujarat thru Industry Commissioner – 5% to 7%p.a. Interest subsidy for 5 years on specified machinery
– Power tariff subsidy of `.1/- per unit
– Refund of VAT to the tune of investment in plant and machinery
– Assistance to training institute
– Support for establishment of textile park
3. Gujarat Industrial Policy MSME 2009 Government of Gujarat thru Industry Commissioner – 5% to 8%p.a. Interest Subsidy on plant and machinery and building term loan to MSME units
4. Excise Duty refund under EPCG Scheme (Central Level – Available in whole India) Ministry of commerce thru Director General of Foreign Trade (DGFT) – Generally 12.36% (or 10.30% or 6.18%) excise is levied by the machine supplier on value of textile machinery. Such excise is refunded to textile unit with a condition to export.
5. Import Duty Waiver(Central Level – Available in whole India) Ministry of commerce thru Director General of Foreign Trade (DGFT) – 0% duty on import of textile machinery with a condition to export.
6. Electricity Duty waiver Gujarat Government thru Collector of Electric duty – Electricity duty (cess) waiver to new industrial undertaking
7. Credit Linked Capital Subsidy Scheme (CLCSS)(Central Level – Available in whole India) Ministry of MSME thru Development Commissioner MSME – Capital Subsidy on various specified machines of all sectors of textile @15%

Food and Agro Industry Subsidy

Various Subsidies and Governmental assistance available to a food sector unit by Central Government as well as State Government:

Sr. No. Name of the Scheme Authority / Department Nature of assistance
1. NMFPI Ministry of Food Processing Industries thru Nodal Agency – Capital Subsidy on various machines and factory building to food processing units @ 25% of cost of machineries and construction.
– Capital subsidy to Cold Chain, Value Addition and Preservation Infrastructure @ 35% of the bank appraised project cost plus interest subvention @ 6% p.a. for a period of 5 years.
– Capital subsidy to Primary Processing centres / Collection Centres in the rural areas @50% of eligible project cost.
– Capital subsidy to Reefer Vehicles / Mobile pre cooling vans @ 50% of the Cost
2. Scheme for Assistance to manufacturing sector 2013 Government of Gujarat thru Industry Commissioner – 7% p.a. Interest subsidy for 5 years on specified machinery and building term loan to MSME (investment up to `. 10 Crores) and 2% p.a. for Large Industry (investment up to `. 100 Crores).
– Assistance to Centre of Excellence.
Excise Duty refund under EPCG Scheme Ministry of commerce thru Director General of Foreign Trade (DGFT) – Generally 6.18% (or 12.36%) excise is levied by the machine supplier on value of machinery. Such excise is refunded with a condition to export.
4. Import Duty Waiver Ministry of commerce thru DGFT – 0% duty on import of food processing machinery with a condition to export.
5. Electricity Duty waiver Gujarat Government thru Collector of Electric duty – Electricity duty (cess) waiver to new industrial undertaking for 5 years.
6. Credit Linked Capital Subsidy Scheme (CLCSS) Ministry of MSME thru Development Commissioner MSME – Capital Subsidy on various specified machines of all sectors of food sector @15% of machinery cost.

All Other Sector Industry Subsidy

Various Subsidies and Governmental assistance available to a all other sector unit by Central Government as well as State Government:

Sr. No.

Name of the Scheme

Authority / Department

Nature of assistance

1.

 Credit Linked Capital Subsidy Scheme (CLCSS) Ministry of MSME thru Development Commissioner MSME – Capital Subsidy on various specified machines of all sectors of food sector @15% of machinery cost subject to maximum Rs. 15 Lakhs.

2.

 MSME Policy Government of Gujarat thru Industry Commissioner – 5 – 8% p.a. Interest subsidy for 5 years on specified machinery and building term loan to MSME

3.

 Excise Duty refund under EPCG Scheme Ministry of commerce thru Director General of Foreign Trade (DGFT) – Generally 12.36% (or as prevailing) excise is levied by the machine supplier on value of machinery. Such excise is refunded with a condition to export.

4.

 Import Duty Waiver Ministry of commerce thru DGFT – 0% duty on import of food processing machinery with a condition to export.

5.

 Electricity Duty waiver Gujarat Government thru Collector of Electric duty – Electricity duty (cess) waiver to new industrial undertaking for 5 years.