§1Who it is for
- New and expansion manufacturing MSMEs in Maharashtra (Udyam definition per GoI notification of 21 March 2025)
Useful if
Manufacturing MSMEs selling inside Maharashtra, especially in Group C/D/D+ talukas or Vidarbha/Marathwada
Do not spend time on it if
Traders and pure service firms (service units have a separate chapter with high minimum jobs)
§2Eligibility
- Micro: P&M up to Rs 2.5 crore; Small: Rs 2.5–25 crore; Medium: Rs 25–125 crore
- Maximum permissible Fixed Capital Investment Rs 125 crore
- Location decides ceiling and incentive period (Taluka Group A to D+, Vidarbha/Marathwada etc., No Industry/Naxal/Aspirational districts) — Annexure I
- Capital subsidy only for thrust-sector categories: EOUs with at least 50% exports, circular-economy units using at least 50% recycled material (certified), or units fully owned by women/SC/ST/PwD employing 50% women
- Employment-linked EPF subsidy only in Group D, D+ and below, with Employment Factor above 20 jobs per Rs 1 crore investment
§3Benefits
- IPS = 100% of gross SGST payable on first sale of eligible products billed and delivered within Maharashtra
- Interest subsidy up to 5% p.a.; unit must bear minimum 5%; annual cap Rs 1 crore
- Stamp duty: 100% exemption (Group C, D, D+, below); 50% waiver on first lease/conveyance deed in Group A & B
- Power tariff subsidy Rs 1 per unit for 3 years, cap Rs 1 crore (new units, Group D, D+ and below)
- Electricity duty exemption for incentive period (new units in C, D, D+ and below)
- EPF: 50% of employer contribution for 5 years, max Rs 5 crore per unit (D, D+ and below)
- Export PLI (EOUs not taking IPS): 1.5% (100% EOU) or 1% (>50% exports) of incremental turnover for 5 years; max 10% of FCI; MSME max Rs 1 crore per year
§4Norms — pattern of assistance
- Overall ceiling as % of FCI: A 30% (5 yrs), B 40% (7), C 50% (7), D 60% (10), D+ 70% (10), Vidarbha/Marathwada/Ratnagiri/Sindhudurg/Jalgaon/Dhule 80% (10), No Industry/Naxal/Aspirational 100% (10)
- Capital subsidy base: D/D+ and below 100% of land+building+machinery; C 80% of machinery; A&B 50% of machinery; upper limit Rs 25 crore or 20% (whichever less); annual cap Rs 5 crore; equal instalments over incentive period; benefit lost for any year conditions are not met (no carry forward)
- Special category: extra 10% of FCI in P&M, cumulative cap 120% of FCI (women/SC/ST/PwD-owned with 50% such workforce; D/D+/emerging districts; priority sectors with 10 jobs per Rs 1 crore)
- Performance add-ons: technology upgradation 50% up to Rs 25 lakh (over 5 yrs); water audit 50% up to Rs 1 lakh, energy audit 50% up to Rs 2 lakh; energy-efficiency equipment 50% up to Rs 5 lakh; credit rating 50% up to Rs 1 lakh; SME listing 50% up to Rs 5 lakh; quality certification 75% (GMP/Hallmark up to Rs 1 lakh; patent/GI up to Rs 2 lakh); IPR Rs 2 lakh domestic / Rs 10 lakh international; ZED 50% of fee up to Rs 50,000
- One-time scale-up grant (first 25,000 units): micro→small 50% of extra investment up to Rs 5 lakh; small→medium up to Rs 10 lakh; medium→LSI up to Rs 25 lakh
- All refunds/incentives from all state sources capped at 100% of FCI (barring exceptions)
§5Documents
The guideline does not list the documents. Ask the portal or bank before you apply — we do not make up lists.
§6How to apply
- 1
Apply through MAITRI single window / DIC as notified; detailed procedure and forms not yet published in the policy GR
§7Pros and cons
Merits
- SGST-linked IPS is 100% of gross SGST (not net) for MSMEs (MIISP 4.1.1(A))
- Backward areas get up to 80–100% of FCI as ceiling over 10 years (Table 4)
Demerits
- Incentives are reimbursement-based over 5–10 years, capped yearly — cash comes back slowly (Table 4, capital subsidy clause)
- Capital subsidy only for EOU/circular/women-SC-ST-PwD units — ordinary MSMEs rely on SGST and interest subsidy (MIISP 4.1.1(A))
- Detailed MSME guidelines still pending — 'upcoming MSME policy' (MIISP 4.1.1(B))
→Related schemes
Need help with MIISP MSME package?
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
Checked on 18 October 2026. For information only — confirm with the department or bank. Spotted a mistake? Report it.
