Sarkari Yojana
Incentives To Encourage Purchases From Local Suppliers Scheme
About Incentives To Encourage Purchases From Local Suppliers Scheme
Introduced by the Directorate of Industries, Trade and Commerce (DITC), Government of Goa, the “Incentives To Encourage Purchases From Local Suppliers Scheme” seeks to boost local consumption by rewarding units that buy their inputs within the state. In doing so, it strengthens the economics of ancillary units, local Micro, Small and Medium Enterprises (MSMEs) and traders, including those engaged in Horticulture business/Food Processing. An eligible unit can get back 2% of the cost of the local purchases it consumes, capped at ₹5,00,000/- per year, and this support is available for five consecutive years counted from the date of its first application. Claims are taken up on an annual basis, so the unit has to file in the specified format once each financial year has closed.
Scheme Overview
State Government
Business Entity
Scheme Details
Eligibility Requirements
To qualify for Incentives To Encourage Purchases From Local Suppliers Scheme, applicants must satisfy the following conditions:
Only units falling in the white, green, or…
Only units falling in the white, green, or orange category qualify.
The unit has to be a manufacturing enterprise…
The unit has to be a manufacturing enterprise of micro/small or medium size.
At least 50% (in value) of the unit's…
At least 50% (in value) of the unit's raw material/ component/ tools etc. (input requirement for production) should be bought from local sources/ manufacturers.
Registration under the Umbrella Scheme (Goa State Incentives…
Registration under the Umbrella Scheme (Goa State Incentives to Encourage Investments Scheme) is compulsory.
Units that have already received a similar benefit…
Units that have already received a similar benefit through another scheme/program of the Government of Goa are excluded.
Benefits Provided
Incentives To Encourage Purchases From Local Suppliers Scheme provides the following benefits to eligible applicants:
The unit is reimbursed 2% of what it…
The unit is reimbursed 2% of what it spends on local purchases that it actually consumes.
Reimbursement in any year cannot go beyond ₹5,00,000/-
Reimbursement in any year cannot go beyond ₹5,00,000/-. Intended Use/Definition of Purchase
"Local purchases" covers every industrial input, consumables included,…
"Local purchases" covers every industrial input, consumables included, bought from Goa (irrespective of whether it was made in Goa), with services left out.
The calculation is done on the value net…
The calculation is done on the value net of Goods and Services Tax (GST). Frequency and Validity
Support can be claimed for five consecutive years…
Support can be claimed for five consecutive years starting from the date the first application is made. Benefit Disbursement
Payouts depend on the budgetary allocation available
Payouts depend on the budgetary allocation available.
Should benefits be stopped because the allocation runs…
Should benefits be stopped because the allocation runs out, no Promissory Estoppel can be claimed. Conditions
Any official authorized by the Directorate of Industries,…
Any official authorized by the Directorate of Industries, Trade and Commerce must be given free access by the applicant to inspect or supervise the unit, examine its registers, or speak with its employees, so that the proper use of the State Government's financial incentives/subsidies can be confirmed.
Whenever asked, and from time to time, the…
Whenever asked, and from time to time, the applicant must furnish to the Directorate of Industries, Trade and Commerce (DITC) every report, piece of information and document that the scheme specifies or that the Directorate directs.
Where submitted information or documents turn out to…
Where submitted information or documents turn out to be wrong, or the incentive was secured through misrepresentation or false information, the Government of Goa/Directorate of Industries, Trade and Commerce will revoke the subsidy.
In such a case, the applicant must return…
In such a case, the applicant must return the incentives to the government, failing which they can be recovered as arrears of land revenue under the Land Revenue Code 1968 and/or the Goa, Daman, Diu Public (Recovery & Dues) Act 1986.
Any violation of the terms and conditions of…
Any violation of the terms and conditions of this Declaration entitles the Government to recover the incentives as arrears of land revenue under the Land Revenue Code 1968 and/or the Goa, Daman, Diu Public (Recovery & Dues) Act 1986.
Documents Required
Applicants should keep the following documents ready before starting the application:
Self-attested copy of the unit's registration under the…
Self-attested copy of the unit's registration under the Umbrella Scheme.
Affidavit/self-declaration prepared in the prescribed format
Affidavit/self-declaration prepared in the prescribed format.
Purchase bills from local sources, self-certified
Purchase bills from local sources, self-certified.
Local purchase statement with vouchers showing Goods and…
Local purchase statement with vouchers showing Goods and Services Tax payment details (State component) (as applicable).
Final accounts for the year being claimed
Final accounts for the year being claimed.
Chartered Accountant (CA) certified statement confirming that the…
Chartered Accountant (CA) certified statement confirming that the purchases were paid for, were made locally within Goa, and were used by the applicant unit as raw material for manufacturing.
Chartered Accountant certificate stating that no claim for…
Chartered Accountant certificate stating that no claim for a similar benefit has been lodged under any other scheme or program of the Government of Goa.
Partnership Deed or Memorandum of Association/ Articles of…
Partnership Deed or Memorandum of Association/ Articles of Association, whichever applies.
Copy of the Resolution Number (needed to authorise…
Copy of the Resolution Number (needed to authorise swearing and submission of the affidavit).
Applicant's passport-size photograph
Applicant's passport-size photograph.
How to Apply
Offline Application
Applicants can apply for Incentives To Encourage Purchases From Local Suppliers Scheme through the offline application process outlined below.
Print the prescribed format of the application form
Print the prescribed format of the application form. As an alternative, the specified form along with the Affidavit cum Declaration format can be collected from DITC or through its official channels.
Complete every mandatory field of the form and…
Complete every mandatory field of the form and enclose copies of all required documents, self-attesting them where needed.
Hand over the completed, signed form with its…
Hand over the completed, signed form with its enclosures to the Directorate of Industries, Trade and Commerce within the prescribed period (if any). The form has to carry the signature of the authorized representative, along with the date and seal. An application has to be lodged once every financial year has closed. Benefit Disbursement DITC reviews the claim, and depending on the budgetary allocation, the eligible unit is then considered for reimbursement. Grievance Redressal / Help & Support Suggestions or comments about the scheme can be emailed to dir-indu.goa@nic.in using the subject line "Feedback/Comments on Incentives to Encourage Purchases From Local Suppliers Scheme".
Exclusions / Who Is Not Eligible
The items listed in the ([Schedule ‘A’](https://www.goa.gov.in/wp-content/uploads/2019/07/Incentives-to-encourage-purchases-from-local-supplies-scheme-2017.pdf)) of the scheme guidelines shall not be considered eligible as “local raw material” for the purpose of this scheme:
- Natural resources (e.g., water, air, and the like).
- Major and Minor minerals (e.g., ore, sand, etc).
- Alcoholic beverages.
- Tobacco and tobacco products.
****The list given above is only indicative, not exhaustive.***
Official Application & Website
Verify the latest eligibility, dates and instructions before applying.