Gujarat’s R&D Assistance Scheme: Up to 60% Funding for Industrial LabsScheme StatusScheme Status

This scheme is part of the “Scheme for Assistance for Research & Development Activities” launched by the Industries and Mines Department, Gujarat under the Gujarat Industrial Policy. Effective from August 7, 2020 to August 6, 2025, it aims to promote sustainable industrial growth by supporting industries to adopt eco-friendly practices and comply with environmental norms. The “Assistance to Industrial Association for Establishment of R&D Laboratories” component provides financial support to Industrial Associations for setting up new R&D laboratories. The assistance covers expenditures on infrastructure, machinery, hardware & software, and other essential resources needed for conducting innovative research and development.

Benefits

  • Financial Assistance:
    • Up to 60% of the project cost is provided for the acquisition of machinery, equipment, hardware & software, and related assets.
    • The support is subject to a maximum cap of ₹5,00,00,000 per project.

Eligibility

For Corporate Industries:

  • Company Requirements:
    • The applicant must be a company registered under the Companies Act, 1956 or 2013.
    • The company should have been operational for at least three financial years post-formation, with a regular source of income for the past two years.
  • Business Focus:
    • The company should be engaged in manufacturing, production, or rendering technical services.
    • Companies engaged in contract research are eligible if they maintain independent R&D infrastructure.
    • Firms planning to commence manufacturing in the future may also be considered if they demonstrate potential.
  • R&D Unit Criteria:
    • The in-house R&D unit must be located in a non-residential area and operate on premises authorized by the relevant Central/State Government (proof of such authorization must be provided).
    • The unit must have independent infrastructure and adequate, qualified technical manpower, with a minimum area of 1000 sq. ft.
    • At the time of application, the R&D unit should be functional with well-defined, time-bound R&D programmes aimed at developing innovative products and technologies.

For Biotech Start-Ups:

  • Start-Up Requirements:
    • The applicant should be a biotech start-up conducting high-end research with potential for generating intellectual property and revenue.
    • The start-up must have qualified R&D manpower and a basic R&D infrastructure.
    • It should have focused research objectives based on innovative and advanced technologies, a clear business model, and demonstrated funding sources for sustainability.
    • The company must provide documents or details of collaborations, agreements, or MOUs with incubator centres or technology parks.
    • A list of biotechnology-based project proposals submitted or approved for Government of India funding should be provided.

Other Recognition Criteria:

  • The company must articulate and display a long-term R&D policy prominently within its R&D unit(s).
  • R&D activities must be distinct from routine operational activities (such as production and quality control) and should have dedicated, identifiable infrastructure.
  • It is preferable that the R&D unit is located separately from the main factory premises, either in a separate building, on a different floor, or in a designated area.
  • The unit must have well-defined, time-bound R&D programmes and maintain proper documentation of its activities.
  • The unit should employ qualified personnel exclusively for R&D and be headed by a full-time, experienced R&D leader with direct access to top management.
  • R&D expenditures (both capital and revenue) must be recorded separately in the company’s Annual Report and Statement of Accounts and should be commensurate with the company’s financial size.

Application Process

Mode: Online

  1. Application Submission:
    • Companies seeking recognition for their in-house R&D units must apply online via the DSIR website or designated portal.
  2. Cover Letter & Annexures:
    • Following successful online submission, a cover letter, a completely filled-in application form (signed by the Managing Director or a Director on the Board), and requisite annexures must be submitted in a single PDF attachment (less than 20 MB) to Dr. P.K. Dutta, Scientist ‘G’ and Head RDI, DSIR at [email protected].
  3. Hard Copies:
    • Note that hard copies are not required.
  4. Technical Support:
    • For any software-related issues, contact [email protected] or use the customer support option on the portal.

Documents Required

  • E-Application:
    • A completed e-application (.pdf) generated by the system, signed by the MD/whole-time Director.
  • Corporate Presentation:
    • A CD (or digital equivalent) containing a corporate presentation detailing the R&D unit and its activities.
  • Annual Report:
    • The latest annual report of the company.
  • R&D Activity Note:
    • A document outlining ongoing and proposed R&D activities, including details of past achievements and completed projects.
  • Major Achievements Write-Up:
    • A brief write-up on major past achievements, and ongoing and future projects.
  • Personnel Details:
    • Information on scientific personnel in the R&D unit, including qualifications and designations.
  • Infrastructure Details:
    • Documentation of R&D infrastructure, including installation dates and valuation of major facilities.
  • Layout Drawing:
    • A drawing depicting the location of the R&D unit relative to the production unit.
  • Memorandum & Articles of Association:
    • A copy of these documents for newly formed companies.

Note: All attachments must be in PDF format.

Frequently Asked Questions (FAQs)

  • What is the objective of the scheme?
    To grant recognition and registration to in-house R&D units established by corporate companies, benchmarking industrial R&D and enabling access to fiscal incentives and additional government R&D funding.
  • What activities are supported?
    The scheme supports the establishment of new R&D laboratories and the strengthening or upgradation of existing facilities to promote innovative research.
  • Who is eligible to apply?
    Eligible applicants are corporate companies registered under the Companies Act (1956 or 2013) and biotech start-ups meeting the criteria outlined above.
  • What are the benefits of recognition?
    Recognized R&D units can access various fiscal incentives and additional funding from government departments and agencies that require DSIR recognition.
  • How should the application be submitted?
    Applications are submitted online, and additional documents are sent via email as a single PDF attachment.
  • Is a hard copy required?
    No, hard copies are not required.
  • To whom should the application be sent?
    The completed application, along with annexures, should be emailed to Dr. P.K. Dutta at [email protected].

Sources and References

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