Sarkari Yojana
Gujarat Textile Policy: Capital Subsidy
About Gujarat Textile Policy: Capital Subsidy
Gujarat’s “Gujarat Textile Policy”, issued by the Industries and Mines Department, works as an umbrella scheme that seeks greater investment in textiles and a sturdier value chain in each sub-sector, while placing weight on the garments and apparel and technical textiles industries. Operating from October 1st, 2024 to September 29th, 2029, it aims to shrink the carbon footprint and encourage green growth, helping the sector become globally competitive and environmentally sustainable. The “Capital Subsidy” component supports qualifying industrial units by subsidising their capital expenditure. How much a unit gets depends on the category of its location and the kind of activity it carries out.
Scheme Overview
State Government
Business Entity
01 Oct 2024
Scheme Details
Eligibility Requirements
To qualify for Gujarat Textile Policy: Capital Subsidy, applicants must satisfy the following conditions:
A Term Loan must have been taken for…
A Term Loan must have been taken for the project.
Commercial production should already have started before the…
Commercial production should already have started before the unit seeks disbursement of the subsidy.
The application must be filed within one year…
The application must be filed within one year of the Date of Commercial Production (DoCP).
Combined State and Central subsidy cannot be more…
Combined State and Central subsidy cannot be more than the total term loan amount disbursed.
Eligible Activities:
Activity 1:
Garments, Apparel & Made-ups and Technical Textiles Activity (Composite Units included)
Activity 2:
Weaving (whether or not with preparatory), Knitting, Dyeing & Processing, Texturising, Twisting, Embroidery, and MMF Spinning that turns Polyester Staple Fiber (PSF) / Viscose Staple Fiber (VSF) into yarn (Spinning of Cotton and Synthetic Filament Yarn is not covered).
Benefits Provided
Gujarat Textile Policy: Capital Subsidy provides the following benefits to eligible applicants:
Financial Assistance:
Category 1 & PM MITRA Park talukas
Category 1 & PM MITRA Park talukas: Activity 1 gets 35% of eFCI, up to ₹100,00,00,000/-; Activity 2 gets 20% of eFCI, up to ₹50,00,00,000/-
Category 2 talukas
Category 2 talukas: Activity 1 gets 30% of eFCI, up to ₹100,00,00,000/-; Activity 2 gets 18% of eFCI, up to ₹50,00,00,000/-
Category 3 talukas
Category 3 talukas: Activity 1 gets 20% of eFCI, up to ₹50,00,00,000/-; Activity 2 gets 10% of eFCI, up to ₹40,00,00,000/- Note:
Eligible Fixed Capital Investment:
Eligible Fixed Capital Investment (eFCI) refers to the specified investment components made within the Eligible Investment Period.
Where the unit also takes Capital Subsidy under…
Where the unit also takes Capital Subsidy under a Central Government scheme, the State and Central Capital Subsidy together can never be more than the total term loan amount disbursed.
Documents Required
Applicants should keep the following documents ready before starting the application:
The registration document of the industrial undertaking (as the law requires) and the Industrial Entrepreneur Memorandum, in the form the Government of India prescribes.
Legal possession papers for land with valid non-agriculture permission for industrial use, and the registered purchase / Lease / Rent deed. A GIDC estate plot or shed requires a copy of the possession letter as well.
GPCB's Consent to Establish, if the unit needs one.
Detailed Project Report presenting:
Executive summary
Executive summary
Background
Background
Existing business information (expansion projects)
Existing business information (expansion projects)
Land/Shed details
Land/Shed details
Approach to raw material procurement
Approach to raw material procurement
Manpower details
Manpower details
Techno-economic viability assessment
Techno-economic viability assessment
Financial analysis - Term loan sanction letter from…
Financial analysis
Term loan sanction letter from the lending financial institution(s)
Board Resolution / Authority Letter / PoA
PAN Card, both of the Enterprise and of the Authorised Person
GST Registration together with all Annexures
First Sale Bill (if commercial production is already running)
Audit Report from before the expansion got under way
2024-10-01
How to Apply
Offline Application
Applicants can apply for Gujarat Textile Policy: Capital Subsidy through the offline application process outlined below.
Application for Registration:
An application in the prescribed format, with its…
An application in the prescribed format, with its supporting documents, should reach the Industries Commissioner within one year of whichever is latest among loan disbursement, production start and the policy operative date.
The Industrial Commissioner reviews the application, verifies the…
The Industrial Commissioner reviews the application, verifies the documents through the prescribed procedure and issues a registration certificate.
Application for Provisional/Final Eligibility Certificate
:- Application for Industrial Unit
MSME Units having GFCI up to INR 10 Crore:
Units in this band apply to the General Manager, District Industries Center once DoCP is achieved.
MSME Units having GFCI above INR 10 Crore and up to 50 Crore:
Units in this band file for a Provisional Eligibility Certificate with the MSME Commissioner after DoCP, within 1 year from DoCP or one year from the date this GR was issued, whichever is later.
Other than MSME Units:
Registered units outside the MSME category file with the Industries Commissioner after DoCP for a Provisional Eligibility Certificate, within 1 year from DoCP or 1 year from issue of the registration certificate, whichever is later.
Contact Us:
Industries Commissionerate
District Industries Center
Exclusions / Who Is Not Eligible
- The Industrial Unit will not be eligible for Capital Subsidy under this Policy if, the Term Loan is sanctioned after one year from Date of Commercial Production (DoCP).
Official Application & Website
Verify the latest eligibility, dates and instructions before applying.