Market Development Support Assistance under Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries - Various Incentives is a supportive scheme for industrial units in Puducherry. It gives money help to businesses that want to take part in international trade fairs. Eligible units get back 50% of their actual spending on rent, literature, and display material, up to a maximum of ₹5,00,000 per unit.
This scheme is run by the Industries and Commerce Department of the Union Territory of Puducherry. It helps local businesses show their products to buyers from other countries. The scheme stays open across the whole Union Territory, and units can claim their share of the expenses after taking part in an approved international fair.
Market Development Support Assistance under Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries - Various Incentives - Introduction
Market Development Support Assistance under Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries - Various Incentives is a main scheme of the Industries and Commerce Department of Puducherry. It was launched on 1st April 2017 and continues to support industrial units in the region. The main aim is to encourage local businesses to enter global markets by taking part in international trade fairs.
If an industrial unit qualifies, it can claim 50% of its total spending on rent and promotional items such as literature and display material. The maximum support a unit can get is ₹5,00,000. Applications are accepted offline using the prescribed forms available on the official department website. The Directorate of Industries and Commerce reviews each application on merit.
Key Information
| Detail | Information |
|---|---|
| Scheme Name | Market Development Support Assistance under Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries - Various Incentives |
| Level | State |
| State | Puducherry |
| Category | Business and Entrepreneurship |
| Benefit Type | Cash reimbursement |
| Maximum Support | ₹5,00,000 |
| Main Department | Industries and Commerce Department, Puducherry |
Benefits
This scheme gives a useful money cushion for units that take part in international trade fairs. A unit can claim 50% of its total costs for rent, exhibition literature, and display material, capped at a maximum of ₹5,00,000.
| Parameter | Benefit Details |
|---|---|
| Maximum Support | ₹5,00,000 |
| Reimbursement Rate | 50% of actual costs |
| Eligible Expenses | Rent, exhibition literature, and display materials |
The amount can be paid in a single installment or in multiple parts, depending on the funds available. If a unit has a loan, the subsidy is adjusted against its outstanding balance through the bank or financial institution. For self-financed units, the amount is sent directly to the business.
Eligibility
To qualify for this incentive, a unit must meet the criteria fixed by the government. The main points are given below.
- The business must be classified as a Micro, Small, Medium, or Large industry.
- The investment must have been made on or after 1st April 2017.
- The unit must employ local residents for at least 60% of its total workforce and keep this ratio during the period mentioned in the affidavit.
- Prior approval must be taken from the Director of Industries before taking part in any exhibition.
- Fixed assets such as plant and machinery must not be sold or transferred for at least 5 years from the date of receiving the subsidy or submitting the application, whichever comes later.
For example, if a small manufacturing unit in Puducherry wants to claim this support, it must make sure most of its staff are local residents and get written permission from the Director before booking a stall at an international fair.
Exclusions
This subsidy cannot be claimed if similar investment support has already been received from the Central Government, the State Government, or any other agency for the same project. Double payment is not allowed under this scheme.
Application Process
Offline Application Process
These steps explain how to apply for the support.
STEP 1 - Get the prescribed application form from the official department website of the Directorate of Industries and Commerce, Puducherry.
STEP 2 - Fill in all the required information correctly and attach copies of the mandatory documents. Self-attest the copies if needed.
STEP 3 - Submit the completed application form with all the required documents to the designated authority.
STEP 4 - Ask for a formal receipt or acknowledgement. This should show the submission date and a unique ID to track the application.
STEP 5 - The Directorate of Industries reviews the application on merit and presents it to the State Level Committee for final approval.
Submission Deadlines
New units should submit their applications within one year of starting commercial production. Existing units that are expanding or modernising should also apply within one year of completing those activities.
Documents
These documents should be kept ready for the application.
- Proof of registration, such as Entrepreneurs Memorandum Part-2, UAM, or PMT.
- Chartered Accountant certificates verifying payments made to exhibition organisers or agencies.
- Prior approval letter from the Director of Industries and Commerce.
- Proof of payment for stall rent, printing charges, and other exhibition-related expenses.
- Photographs of the stall setup at the exhibition.
- Catalogues, brochures, and promotional material printed for the event.
- Membership certificate from the Export Promotion Council or FIEO.
References
View Official Government Order | Industries and Commerce Department | Market Development Support Assistance Grant Order
FAQ's
What is the role of a Chartered Accountant in this process?
All expenditure claims must be certified by a Chartered Accountant to make sure the amounts are clear and follow the rules.
What if my business is self-financed?
If a unit is not using a bank loan, the approved subsidy amount is paid directly to the business by the government.
Are units with the same owners treated as one?
No. If the units are located at different sites and hold separate licenses and registrations, they are treated as separate entities for this subsidy.
What happens if I change my partnership structure within 5 years?
If major changes are made to the business partners or shareholders within five years of getting the subsidy, the full amount must be returned plus simple interest at the rate of 14% per year.
Who finalises the subsidy amount?
The State Level Committee reviews the merit of the application and recommends the final amount, which is then approved by the Director of Industries and Commerce.