The “Assistance of Fixed Capital Investment Subsidy” is a sub-scheme under the broader Investment Promotion Scheme (IPS) for MSMEs, launched by the Department of Industries, UT Administration of Dadra & Nagar Haveli and Daman & Diu. Originally introduced on 3rd July 2015, it has been extended from 20th May 2022 to 19th May 2027. The scheme supports the growth of the MSME sector by providing capital subsidies to new enterprises and those undertaking expansion or diversification.
Scheme Key Highlights (Short Summary)
• Validity: 20 May 2022 to 19 May 2027
• Administered by: Department of Industries, DNH & DD
• Applicable to: Manufacturing and Service Units (New/Expansion/Diversification)
• Location: Within the UT of Dadra and Nagar Haveli & Daman and Diu
• Support Type: Capital Investment Subsidy on GFCI
• Application Mode: Online through investdd.in
Benefits
• Micro Industries: 15% subsidy, up to ₹15,00,000
• Small Industries: 15% subsidy, up to ₹30,00,000
• Medium Industries: 15% subsidy, up to ₹35,00,000
• Bonus Benefit: Additional ₹10,00,000 if GFCI exceeds ₹10 crore
Eligibility
• New or existing Manufacturing/Service MSMEs undertaking expansion/diversification
• Must commence production between 20.05.2022 and 19.05.2027
• Enterprise must operate within the UT
• Must remain in production for at least 5 years
• Must comply with pollution control norms
• Application must be submitted within 1 year from:
• First loan disbursement date, OR
• Date of commercial production
Exclusions
• If term loan is sanctioned after 1 year from production start, the unit becomes ineligible
• Subsidy cannot be availed again for same investment if claimed under another scheme
Application Process
Online Registration
• Step 1: Go to investdd.in
• Step 2: Register using company details and verify via email & mobile OTP
• Step 3: Use credentials from email to log in
Application Submission
• Step 1: Login and navigate to “Departments & Services”
• Step 2: Select District Industries Centre DD & DNH → Click on Investment Promotion Scheme
• Step 3: Fill the “Common Application Form” with all mandatory details
• Step 4: Upload required documents and click Submit
Helpdesk
• Contact: 0260-2260871 / 2260310
• Email: [email protected]
• Portal Tech Support: 0260-2231885 / 2231886 | Email: [email protected]
Documents Required
• Corporate Identification Number (CIN)
• PAN, GST, TIN documents
• Udyam Registration / IEM copy
• Partnership Deed / MoA & AoA / Incorporation Certificate
• Land purchase deed OR registered lease (minimum 5 years)
• Power connection documents and recent electricity bill
• Factory License, PCC Consent to Operate
• CA Certificate for investment
• Authorization letter
• Self-attested Undertaking
Frequently Asked Questions (FAQs)
Q: What happens if the enterprise is sold within 5 years?
A: The benefit must be repaid if the unit is sold or transferred within 5 years.
Q: What is considered expansion/diversification?
A: Any additional investment exceeding 50% of existing GFCI, of which 60% must be in plant & machinery.
Q: What’s the timeline to apply?
A: Within 1 year of first loan disbursement or commercial production start date.
Q: Can secondhand machinery be included?
A: No, only new machinery qualifies for subsidy.
Q: What is Gross Fixed Capital Investment (GFCI)?
A: Total investment in land, building, plant & machinery, and fixed assets.
Q: Can enterprises choose the scheme with most benefits?
A: Yes, if eligible under multiple schemes.
Q: What if a central subsidy is also received?
A: The combined subsidy limit will be capped as per UT & Central norms.
Q: Who certifies buildings or self-fabricated machinery?
A: Certified Chartered Engineers as recognized by professional bodies.
Q: What are Dedicated Industrial Parks?
A: Industrial zones developed with pre-approved infrastructure for industries.
Q: What if pollution norms aren’t followed?
A: The enterprise becomes ineligible for the subsidy and may have to refund it.
Sources and References
• Guidelines
• FAQs