§1Who it is for
- New MSME manufacturing/service units, and existing units doing expansion/diversification, located in DNH & DD
Useful if
New or expanding MSMEs in Silvassa, Daman or Diu with bank loans.
Do not spend time on it if
Units funded by NBFCs or starting production after May 2027.
§2Eligibility
MSME with Udyam Registration
- New unit, or existing unit doing expansion/diversification of at least 50% of GFCI (60% of it in plant & machinery); only one expansion/diversification in the scheme period
- Commercial production during the scheme period (20 May 2022 - 19 May 2027)
Located in the UT of DNH & DD
- Term loan must be sanctioned within one year of commercial production; loans from NBFCs not eligible
- Only new building and new plant & machinery count
- Must follow PCC pollution norms (Notification PCC/DMN/13(PART IV)/2020-2021/448 dated 25 Jan 2021)
- Must not have availed a similar incentive under another UT scheme (central scheme allowed)
§3Benefits
- 15% of Gross Fixed Capital Investment: max ₹15 lakh (micro), ₹30 lakh (small), ₹35 lakh (medium)
- Extra ₹10 lakh if eligible GFCI is over ₹10 crore
- First-generation women and differently-abled entrepreneurs (new MSMEs): extra 10% of GFCI, max ₹15 lakh
§4Norms — pattern of assistance
- GFCI excludes land (manufacturing) and excludes land and building (services)
- UT + central capital subsidy together max 35% of GFCI disbursed by bank; affidavit on other subsidies needed
- Paid only after commercial production starts; credited to loan/CC account
- Must stay in production 5 years or subsidy recovered as arrears of land revenue
- Annual production/sales/employment report to DIC before end of September
§5Documents
Tick each one as you get it ready.
Other registrations
Authorisation letter
§6How to apply
- 1
Register on swp.dddgov.in, verify email and mobile, log in
- 2
Departments & Services > District Industries Centre DD & DNH > apply with documents
- 3
Apply within one year of first loan disbursement or one year of commercial production, whichever is later; late = not eligible
- 4
DIC scrutinises and inspects; Investment Promotion Council gives in-principle approval; Secretary (Industries) approves; GM DIC issues sanction
§7Pros and cons
Merits
- Extra help for women, differently-abled and large-GFCI units
- Separate richer rates for thrust sectors (20%, up to ₹50 lakh)
- Online application on the single-window portal
Demerits
- Hard one-year deadline to apply
- NBFC loans excluded
- Scheme period ends 19 May 2027; units starting later miss it
→Related schemes
Need help with DNH&DD capital subsidy?
Eligibility check, DPR and application file — ask us on WhatsApp.
Our interestHelp is our paid service. You can also apply for the scheme yourself.
¶Sources
- IPS 2022 - Gazette of DNH & DD, 20 May 2022
- myScheme - IPS Assistance of Fixed Capital Investment Subsidy (documents, steps)
Checked on 18 October 2026. For information only — confirm with the department or bank. Spotted a mistake? Report it.
