Capital Investment Subsidy: Physically Handicapped Persons/ Ex-Servicemen under Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries gives a 25% capital subsidy, up to ₹25,00,000, to new industrial units set up by physically handicapped entrepreneurs and ex-servicemen. The Industries and Commerce Department of Puducherry runs this support for eligible micro and small manufacturing enterprises in the union territory, covering their spending on land, buildings, and machinery so they can become self-sufficient.
Capital Investment Subsidy: Physically Handicapped Persons/ Ex-Servicemen under Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries is a live component of the umbrella Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries scheme. Applications are accepted on a rolling basis, and the department keeps granting the benefit to newly qualifying units across Puducherry.
If you are a physically handicapped entrepreneur or an ex-serviceman who started a new industrial unit on or after 5th August 2009, you may qualify for this benefit. The subsidy works out to 25% of your investment in land, buildings, and plant and machinery, subject to a ceiling of ₹25,00,000. This is meant to give your business a stable start in the Union Territory of Puducherry.
Capital Investment Subsidy: Physically Handicapped Persons/ Ex-Servicemen under Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries - Introduction
This scheme is one of the fiscal incentives rolled out under the industrial policy of Puducherry to encourage entrepreneurship. It is handled by the Directorate of Industries and Commerce / District Industries Centre under the umbrella Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries scheme. The support is open through the year, and the authorities keep sanctioning the capital investment subsidy to eligible units.
Key Information
| Detail | Information |
|---|---|
| Scheme Name | Capital Investment Subsidy: Physically Handicapped Persons/ Ex-Servicemen under Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries |
| Level | State |
| Beneficiary State | Puducherry |
| Target Beneficiaries | Business Entity |
| Benefit Type | Cash |
| Benefit Amount | 25% subsidy up to ₹25,00,000 |
| Nodal Department | Industries and Commerce Department, Puducherry |
Benefits
You can receive a capital investment subsidy at the rate of 25% for your investment in land, buildings, and plant and machinery. The maximum amount a micro and small manufacturing enterprise can get is ₹25,00,000.
Distribution of Funds - The authorities usually disburse the subsidy in a single installment. If the available funds are limited during a financial year, they may release the amount in parts.
How You Receive the Subsidy - For bank-financed units, the payment goes straight to the bank to be adjusted against your loan or used for creating fixed assets. For self-financed units, the government pays the subsidy amount directly to you.
Eligibility
To qualify for this subsidy, you must meet the following criteria:
- Your industrial unit must be new and must have started production on or after 5th August 2009.
- You must be a physically handicapped entrepreneur or an ex-serviceman.
- Physically handicapped entrepreneurs need a disability certificate confirming not less than 40% incapacity.
Application Process
You should follow these steps to apply for the subsidy online. The Directorate of Industries and Commerce, Puducherry, handles the applications and the State Level Committee reviews each case on its own merit.
STEP 1 - Visit the official portal of the Directorate of Industries and Commerce, Puducherry, and find the common application form for subsidies.
STEP 2 - Fill in the application form with all the required details accurately.
STEP 3 - Attach copies of the required documents and self-attest them where asked.
STEP 4 - Submit the signed application to the appropriate authority and take a receipt. Keep this receipt safe as it shows your submission date and carries a unique tracking ID.
Submission Deadlines - For a new unit, submit your application within one year from the date of getting your Entrepreneurs Memorandum Part-2 or Permanent Registration. For an existing unit applying after expansion or modernization, submit within one year of completion of the work.
Documents
Prepare the following documents to support your application:
Basic Documents
- Proof of Entrepreneurs Memorandum Part-2 (UAM/ PMT) Registration or Commencement of Production Certificate.
- Caste certificate if you belong to the SC/ST categories.
- Loan sanction letter from your bank.
- Registered land document and plan approval from the Pollution Control Board.
Technical and Financial Documents - You will also need a valuation certificate for your building from the PWD or PIPDIC, a registered lease agreement, purchase invoices for plant, machinery or pollution control equipment, a chartered accountant certificate on your fixed asset investment, an installation certificate for pollution control equipment from the DSTE, air and water consent orders from the DSTE, and a notarized affidavit. If you are using second-hand machinery, add an affidavit stating you have not previously claimed or availed any subsidy for that machinery from the Central, State, or Union Territory governments.
References
Capital Investment Subsidy Grant Order
Official G.O. for Capital Investment Subsidy
Industries and Commerce Fiscal Assistance Orders
FAQ's
What is the maximum subsidy amount I can receive under this scheme?
You can receive up to ₹25,00,000, which is 25% of your total investment in land, building, and machinery, whichever is lower.
Who qualifies as a physically handicapped person under this scheme?
You qualify if you have at least 40% incapacity confirmed by the relevant medical authority through a disability certificate.
How will my subsidy be disbursed?
If you have a bank loan, the subsidy goes to your bank to be adjusted against the loan. If you are self-financed, the authorities pay you directly.
What do I need to provide if my machinery is second-hand?
You must give an affidavit stating that you have not claimed any subsidy for that machinery from any other government body earlier.
Is there a time limit for submitting my application?
Yes, you should apply within one year from the date of your commencement of production or the completion of your expansion and modernization work.