Building BusinessServices

Tyre Retreading Unit · Kerala

What it takes to start tyre retreading unit in Kerala: today’s cost, the central and state subsidy, where the work already happens and who can help.

cost in the report
₹22.3 lakh
priced in
2017+

Subsidy you could get here

What kind of unit?
You are
For PMEGP, OBC, minority, ex-servicemen and Divyang founders are also special category; state schemes name their own groups.
Where is the unit?

What you could get

PMEGP margin money (central)25% of project cost, kept in your loan account for 3 years. Your own share: ₹2.23 lakh. Project is above the PMEGP limit, so only the limit counts.₹5 lakh
State capital subsidy — KeralaThis state’s capital subsidy does not cover this kind of unit.—
State interest help (over the years)6% × 5 years · on a loan of about ₹20.03 lakhKELS / One Family One Enterprise: subvention of up to 6% so the effective rate is 4%, on term and working capital loans up to ₹10 lakh, for 5 years. Manufacturing, service and trading units set up from 1 Apr 2022.₹6.01 lakh
Up to, if every scheme applies₹11.01 lakh

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

  • SGST refund: No SGST reimbursement for MSMEs. Large and mega units: 100% SGST on capital investment for 5 years (as printed in the policy; operating rule not read). Source ↗
  • Stamp duty: Up to 100% stamp duty and registration waiver on land/buildings for manufacturing in government and notified private parks; for women, SC/ST, persons with disability and transgender founders anywhere in the state. Source ↗
  • Electricity duty: MSMEs: 100% electricity duty exemption for 5 years. No power tariff subsidy. Source ↗
  • Margin Money Grant to Nano Units: New nano units with project cost up to ₹10 lakh and at least 40% bank loan: grant 30% up to ₹3 lakh (general) or 40% up to ₹4 lakh (women, youth 18–40, SC/ST, persons with disability, ex-servicemen). Source ↗
  • MSME Scale Up Mission (Mission 1000): For selected existing MSMEs (3+ years old): capital investment subsidy up to 40%, max ₹2 crore; working capital interest subvention up to 50%, max ₹50 lakh. New applications in 2026 not confirmed. Source ↗
  • Quality, IP and Industry 4.0 support (Industrial Policy 2023): Quality certification 50% up to ₹25 lakh a year; IP creation 50% up to ₹30 lakh; Industry 4.0 20% up to ₹25 lakh; SME IPO 50% up to ₹1 crore. Source ↗

How sure we are about this state: Medium · Policy: Kerala Industrial & Commercial Policy 2023 (MSME capital support delivered through the Entrepreneur Support Scheme) ↗ · Source ↗

An estimate from published scheme rules, not an approval. Amounts are rounded.

Where this work already happens

No industry town for this business is recorded in this state yet.

Raw material from this state

Land and sheds

Land and sheds

Free government help in this state

26 offices: District Industries Centres, MSME offices and more

Kerala

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