AI SummaryInvestment Promotion Scheme (IPS) for Handicraft Artisans offers capital support to handloom and handicraft artisans of Dadra & Nagar Haveli and Daman & Diu who need money to buy machinery or raw materials. The scheme gives a capital subsidy on machinery investment and on working capital loans, so local creators can modernize their workshops and grow their craft business.
The scheme is a sub-scheme under the broader Investment Promotion Scheme (IPS) 2022, run by the Dept. of Industries of the U.T. Administration. It was first launched on 3rd July, 2015 for a period of five years. Now it works under an extension that began on 20th May, 2022 and stays valid until 19th May, 2027.
Investment Promotion Scheme (IPS) for Handicraft Artisans - Introduction
This scheme acts as a support system for local creators in the Union Territory. It is implemented by the Dept. of Industries, U.T. Administration of Dadra & Nagar Haveli and Daman & Diu, and it helps artisans either modernize their workshops or buy the raw materials they need to keep production going.
The main aim is to give incentives to the MSME sector and protect artisans from market ups and downs. It encourages women participation, brings down local unemployment, and pushes industries to hire local workers. By offering a capital subsidy, it gives artisans the confidence to invest in machinery and business growth without worrying too much about the cost.
Key Information
| Detail | Information |
|---|---|
| Scheme Name | Investment Promotion Scheme (IPS) for Handicraft Artisans: Assistance for Capital Investment for the Handloom and Handicrafts Artisans of the U.T. Requiring Financial Assistance for Purchase of Machinery or Raw Materials |
| Level | State |
| Scheme For | Infra |
| Beneficiary States | Dadra & Nagar Haveli and Daman & Diu |
| Category | Business & Entrepreneurship |
| Target Beneficiaries | Individual, Business Entity, Industries |
| Sub Category | Setting up / start-up / entrepreneurship |
| Benefit Type | Cash |
| DBT Scheme | No |
| Nodal Department | Department of Industries |
| Open Date | 2015-07-03 |
| Tags | Capital Investment, MSMEs, Incentives, Entrepreneurship, Subsidy, Reimbursement, IPS, Handicraft Artisans, Handloom, Purchase of Machinery |
Benefits
Artisans can get financial support through two specific channels under this scheme. Both channels offer a subsidy of 50 percent of the amount, up to a maximum of rupees two lakh each.
| Subsidy Category | Subsidy Rate | Maximum Amount |
|---|---|---|
| Machinery Investment Subsidy | 50% of investment | ₹2,00,000 |
| Working Capital Loan Subsidy | 50% of loan amount | ₹2,00,000 |
Note: If you belong to Scheduled Castes (SC), Scheduled Tribes (ST), are a woman, or are a differently-abled person with 30 percent or more disability, you get an additional 10 percent subsidy.
Eligibility
To apply under this scheme, you need to meet a few simple conditions. The eligibility is kept open so that genuine artisans of the Union Territory can come forward and get the support.
- You should be a dedicated handloom or handicraft artisan.
- You must be a resident of the U.T. of Dadra and Nagar Haveli & Daman and Diu.
- You should be at least 18 years of age.
- You must intend to purchase machinery or raw materials to grow your business.
- You should have proven skills in handloom or handicraft art and show your products to the designated committee (GM of DIC, Director of Tourism, and CEO of District Panchayat).
Application Process
Registration Process
STEP 1 - Visit the Registration page of the official website.
STEP 2 - Enter your details in the required fields and click on Register.
STEP 3 - Verify your email using the link sent to your inbox. If you do not see it, check your spam folder.
STEP 4 - Use the verification URL from the email to confirm your account.
STEP 5 - Enter the OTP 111111 to verify your mobile number. Your login credentials will be sent to your registered email.
Application Submission
STEP 1 - Log in at the user portal.
STEP 2 - Use your mobile number and the PIN received in your email to access your account.
STEP 3 - Click on the Departments & Services tab from the left navigation menu.
STEP 4 - Locate District Industries Centre DD & DNH and select the link to apply for the Investment Promotion Scheme: 2022 to 2027.
STEP 5 - Fill out the Common Application Form with your details and upload all documents.
STEP 6 - Review your information carefully and hit the Submit button.
Need Help?
You can contact the District Industries Centre at 0260-2260871 or 0260-2260310, or send an email to dic-dd@nic.in. For technical issues regarding the portal, call 0260-2231885 / 2231886 or email ddegs-dd@nic.in.
Documents
Keep the following documents ready before you start your application. Having them ready in advance makes the whole process smooth and quick.
- Corporate Identification Number (CIN).
- Taxpayer Identification Number (TIN).
- Permanent Account Number (PAN).
- Goods and Services Tax (GST) registration.
- Any other relevant business registrations.
- Copy of Udyam Registration or Industrial Entrepreneur Memorandum.
- Partnership Deed or Firm Registration Certificate for partnerships; Memorandum & Articles of Association for companies.
- Copy of land purchase deed, if you own the land.
- Registered lease agreement for a minimum of 5 years, if operating on leased land.
- Electricity sanction order and a copy of your latest bill.
- Authorization letter.
- Consent to Operate or Renewal Certificate from PCC.
- Factory License copy.
- Signed Undertaking.
- Proof of being a Handloom or Handicraft artisan.
- Proof of age.
- Any other documents as requested during application.
References
FAQ's
What can the capital subsidy be used for?
This subsidy covers the purchase of machinery and raw materials that are needed to develop your craft business.
Who is eligible for financial assistance?
Handloom and Handicrafts artisans residing in the U.T. are eligible to apply.
What kind of financial assistance is provided?
The scheme provides a capital subsidy for investments in both machinery and working capital.
Can the subsidy be used for personal expenses?
No, the funds are strictly for machinery and raw materials required for business development.
How much subsidy can I receive?
The amount depends on your specific business needs as validated by the committee against the scheme guidelines.
What is the maximum subsidy for machinery?
You can receive a subsidy of 50 percent of the investment amount, up to a maximum of ₹2,00,000.
What is the maximum subsidy for working capital?
You can receive 50 percent of your working capital loan amount, up to a maximum of ₹2,00,000.
Is there extra help for specific groups?
Yes, SC, ST, women, and differently-abled individuals (with 30 percent or more disability) get an additional 10 percent subsidy.
Can I apply for both machinery and working capital subsidies?
Yes, you may get both, provided you stay within the specific maximum limits for each category.
Is the subsidy for all types of machinery?
It applies to machinery and materials needed for business, subject to official approval.
What is the operative period?
The scheme runs from 20th May, 2022, to 19th May, 2027.
What if my enterprise starts in 2023?
You are eligible to receive benefits for up to 5 years starting from the date of commencement of your production, even if that period extends past the scheme's operative end date.
How do I apply?
Visit the Single Window Portal at swp.dddgov.in, navigate to the Departments tab, and follow the link to apply for the Investment Promotion Scheme.