Uttarakhand Micro, Small and Medium Enterprises Policy - 2023 is a financial support framework made for entrepreneurs. It helps them set up, grow, or diversify their businesses within the state through structured subsidies and grants. Applications for the incentives under this policy are still being accepted and processed on the official portal as of 13 August 2026.
Uttarakhand Micro, Small and Medium Enterprises Policy - 2023 works as a catalyst for industrial growth in the state. It helps business owners by offering financial incentives and a supportive environment for establishing, expanding, or diversifying micro, small, and medium enterprises. The Department of Industries manages the policy to make sure that businesses add value to the state economy while creating jobs for citizens.
Uttarakhand Micro, Small and Medium Enterprises Policy - 2023 - Introduction
The scheme was notified by the Government of Uttarakhand through notification number 1145/VII-3-23/04(01)-MSME/2023 dated 09 August 2023. It replaced the earlier policy that expired in March 2023. The policy mainly covers the manufacturing sector and offers a mix of one-time and recurring incentives to new units as well as existing units that go through substantial expansion.
Key Information
| Scheme Name | Uttarakhand Micro, Small and Medium Enterprises Policy - 2023 |
| Level | State |
| Category | Business & Entrepreneurship |
| Target Beneficiaries | Business Entity |
| Benefit Type | Cash |
| Nodal Department | Industry Department |
| Official Portal | investuttarakhand.uk.gov.in |
Benefits
This policy provides various financial supports to help a business grow. The main incentives are listed below.
| Assistance Type | Benefit Details |
| DPR Assistance | 75% reimbursement of costs incurred for report preparation. |
| Stamp Duty | 50% to 100% reimbursement based on enterprise category. |
| Capital Goods | 20% to 50% of fixed investment in plant and machinery (up to ₹4 crore). |
| Interest Subsidy | 2% to 4% per annum rebate on loans. |
| Electricity Duty | 100% reimbursement for loads up to 500 KW. |
| Market Fee | 50% reimbursement up to a set annual limit. |
| Quality Certification | 75% reimbursement up to ₹1 lakh. |
| Cluster Development | 70% of project cost up to ₹5 crore per project. |
Eligibility
To qualify for this support, a business must meet these requirements.
- The enterprise must be a manufacturing micro, small, or medium unit located within the state. The policy applies only to the manufacturing sector.
- For existing businesses, the owner should show at least 25% additional capital investment and a 25% increase in production capacity to claim expansion benefits.
- The unit must get in-principle approval under the Uttarakhand Enterprise Single Window Facilitation and Licensing Act, 2012.
- The application must be submitted through the Common Application Form (CAF) on the official portal before starting commercial production.
- Commercial production must begin on or after 01.08.2023 for new units to be eligible for these financial incentives.
Application Process
The application is submitted online through the official investment portal. Here are the steps to claim the incentives.
STEP 1 - Visit the official investment portal once the unit starts commercial production.
STEP 2 - Navigate to the Incentive Tab and submit the application with all required details.
STEP 3 - The State Level Authorized Committee, led by the Director General of Industries, reviews and approves the claims.
STEP 4 - Once approved, the capital subsidy is paid in installments (two installments for micro units and five for small and medium units), while other incentives are given as a lump sum amount.
Documents
Standard business documents are required. These include the business registration certificate, proof of investment such as invoices for machinery and building, detailed project reports, and audited financial statements to support the application under the current guidelines.
References
Official Policy Guidelines PDF | Guidelines PDF | Incentive Dashboard | Official FAQs | User Manual
FAQ's
Who is eligible under this policy?
Manufacturing micro, small, and medium enterprises in the state qualify, excluding specific restricted categories defined in the policy.
Are new and existing enterprises covered?
Yes, both new units and existing enterprises undergoing substantial expansion can receive benefits under this policy.
What is the minimum requirement for existing enterprises?
For example, if Rohan owns a small factory, he must show at least 25% extra capital investment and a 25% boost in production capacity to be eligible for expansion benefits.
How should an enterprise apply for financial incentives?
The owner should apply online via the Incentive Tab on the official portal after the commencement of commercial production.
What approvals are required before starting?
The unit should get in-principle approval via the Single Window portal using the Common Application Form before starting the project.
How are financial incentives disbursed?
Micro units receive the capital subsidy in two annual installments, while small and medium units receive it in five annual installments. Other incentives typically come in a single lump sum payment.