Building BusinessServices

Wood Particle Board (Medium Density) · Jharkhand

What it takes to start wood particle board (medium density) in Jharkhand: today’s cost, the central and state subsidy, where the work already happens and who can help.

cost in the report
₹5.7 crore
priced in
2017
in today’s money (estimate)
≈ ₹8.6 crore

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: ₹85.95 lakh. Project is above the PMEGP limit, so only the limit counts.₹12.5 lakh
State capital subsidy — Jharkhand35% of machines and building · Comprehensive Project Investment Subsidy on fixed capital (building, plant & machinery, permanent productive assets): 50% in year 1 and 50% in year 3 after the Date of Commercial Production certificate from the State MSME Directorate.₹1.8 crore
State interest help (over the years)5% × 5 years · on a loan of about ₹7.74 crore5% a year for 5 years on loans repaid on time: up to ₹25 lakh (micro) or ₹1 crore (small). Not for NPA units. CGTMSE guarantee fee also reimbursed for micro and small units.₹1.25 crore
Up to, if every scheme applies₹3.18 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

  • SGST refund: The MSME Policy 2023 has no SGST reimbursement. JIIPP 2021 (100% net SGST for 5 years for MSMEs) ended on 31 Mar 2026; the 2026 successor is still a draft. Source ↗
  • Stamp duty: 100% reimbursement of stamp duty and registration fee on the first purchase of land from raiyats. Not for JIADA leases or industrial park plots. Source ↗
  • Electricity duty: Electricity duty 100% reimbursed for 5 years. No general power tariff concession. Source ↗
  • Jharkhand Food and Feed Processing Industry Policy 2024: Food processing units: 35% of project cost up to ₹15 crore (45% up to ₹20 crore in ITDP tribal areas); interest 5% up to ₹2 crore (6% up to ₹3 crore in ITDP areas); +5% for SC/ST/women/Divyang. Cannot be combined with other state incentives. ITDP districts: West Singhbhum, Dumka, Gumla, Jamtara, Khunti, Latehar, Lohardaga, Pakur, East Singhbhum, Sahibganj, Ranchi, Saraikela-Kharsawan, Simdega, Godda, Garhwa. Source ↗
  • Quality, patent and green support (MSME Policy 2023): Quality certification 100% up to ₹25 lakh; patents 50% up to ₹25 lakh; trademark 100% up to ₹3 lakh; energy and water audit 75% up to ₹3 lakh; effluent treatment plant 50% up to ₹25 lakh; SME exchange listing 20% up to ₹10 lakh. Source ↗
  • Jharkhand Export Policy 2023: New export units: 5% interest subsidy on plant & machinery loans for 5 years, up to ₹50 lakh; transport subsidy to ports up to ₹20 lakh a year; trade-fair stall 75% up to ₹4 lakh (women 90% up to ₹4.5 lakh). Source ↗

How sure we are about this state: High · Policy: Jharkhand MSME Promotion Policy 2023 ↗ · 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.

Land and sheds

Land and sheds

Free government help in this state

4 offices: District Industries Centres, MSME offices and more

Jharkhand

← Full business guideMake the project report (DPR)