Steel Re-Rolling Mill (MS Rounds, Angles, Channels, Tor Steel) · Karnataka
What it takes to start steel re-rolling mill (ms rounds, angles, channels, tor steel) in Karnataka: today’s cost, the central and state subsidy, where the work already happens and who can help.
- cost in the report
- ₹2.2 crore
- priced in
- 2003
- in today’s money (estimate)
- ≈ ₹6.3 crore
Subsidy you could get here
What you could get
PMEGP margin money (central)25% of project cost, kept in your loan account for 3 years. Your own share: ₹63.33 lakh. Project is above the PMEGP limit, so only the limit counts.₹12.5 lakh
State capital subsidy — Karnataka25% of machines and building · Apply within 12 months of commercial production. Paid in two instalments, by seniority and subject to funds. Shortfall in 70% Kannadiga employment cuts the subsidy proportionately.These are Zone 1 rates (199 taluks - most of the state), on value of fixed assets. Listed service enterprises also qualify. Micro means machinery below ₹1 crore and small ₹1-10 crore under this policy.₹94.99 lakh
Up to, if every scheme applies₹1.07 crore
These are separate schemes with their own rules. Many states do not pay their capital subsidy on the same cost that PMEGP already covers, and every subsidy is paid only after approval. Confirm the combination at your District Industries Centre.
Also in this state
- Stamp duty: Zones 1 and 2: 100% stamp duty (reimbursed until the Stamp Act is amended) and registration at ₹1 per ₹1,000. Zone 3: nothing for general category, 75% for special category. Source ↗
- Electricity duty: Electricity tax: 100% exempt for 7 years in Zone 1 (8 for special category) and 6 years in Zone 2 (7 for special); Zone 3 only special category, 4 years. Micro and small units in Zones 1-2 also get ₹1 per unit for 3 years. Exemption certificates are on hold until the Energy Department agrees. Source ↗
- Land conversion fee reimbursement: 100% in Zones 1-2 after production starts; Zone 3: nil for general, 75% for special category. Source ↗
- Quality and export-readiness certification: 50% of cost, up to ₹5 lakh per entity for each (rate from ICAI summary). Source ↗
- SC/ST bank loan subsidy: 60% subsidy, up to ₹5 lakh, on loans up to ₹10 lakh (ICAI summary). Source ↗
Where this work already happens
- Ballari (Toranagallu, Hosapete, Sandur) — Iron ore mining, sponge iron and steel
Land and sheds
- State land agency: Karnataka Industrial Areas Development Board (KIADB) ↗
- Plot portal: Karnataka Single Window System (KIADB land allotment; plot choice on KGIS) ↗
Free government help in this state
61 offices: District Industries Centres, MSME offices and more
Karnataka