§1Policies
- Uttarakhand State Logistics Policy 2023; Private Industrial Estate Policy 2023; Customized Package guidelines 2023Unclear— see the official guideline.
§2Incentive pattern
See uk-msme-2023-capital-subsidy; Mega Policy 10%-20% over 8-15 years plus hill incentive 1-2%.
Uttarakhand MSME Policy 2023 - English notification (Directorate of Industries)§3State schemes
- MSY 2.0ActiveMargin money (subsidy) on bank loan: 15%-30% of project cost by area and slab, plus 5% booster
- UK MSME capital subsidyActiveCapital subsidy on workshop building + plant & machinery, by area category and size; extra 5-10% for priority categories
- UK interest subsidyActiveMicro 4%, small 3%, medium 2% of interest, for max 3 years, with yearly caps by area
- UK stamp & electricity dutyActiveStamp duty on land reimbursed: 100% Cat A and B, 75% Cat C, 50% Cat D
- UK mandi fee & qualityActiveMandi fee reimbursement for 5 years: Cat A 50% (max ₹5 lakh per unit per year), Cat B 50% (max ₹3 lakh)
- UK Mega Policy 2025ActiveCapital subsidy: Large 10% (max ₹20 crore, 8 years); Ultra Large 12% (₹60 crore, 10 years); Mega 15% (₹150 crore, 12 years); Ultra-Mega 20% (₹400…
More incentives in the policy (8)
Name and benefit are from the policy; the full conditions are not on this page yet — see the policy document.
- Uttarakhand MSME Policy 2023 - DPR assistance75% of fee paid to empanelled consultant for DPR, reimbursed to new micro enterprises after commercial production.
- Uttarakhand MSME Policy 2023 - cluster development50 clusters planned; up to ₹5 crore per cluster for land, infrastructure, machinery and CFC.
- Mahila Udyami Vishesh Protsahan Yojana (women entrepreneurs special incentive)Capital subsidy 25% of fixed capital, max ₹25 lakh; interest subsidy 6% of interest, max ₹5 lakh per year per unit (GO effective 15 Aug 2015).
- Uttarakhand Startup Policy 2023Listed on Directorate of Industries policies page; scanned PDF — see the official guideline.
- Uttarakhand State Logistics Policy 2023Listed on Directorate policies page; — see the official guideline.
- Private Industrial Estate Policy (No. 373, 22 Feb 2023)Incentives to private industrial estate developers; — see the official guideline.
- Single Use Plastic alternatives policy (No. 374, 22 Feb 2023)Units making alternatives to single-use plastic are a Priority category under MSME Policy 2023 (+5% capital subsidy).
- Purchase Preference Policy 2019State procurement preference to registered local units; details — see the official guideline.
§4District zones
In many states the subsidy rate changes with the zone of the district or block.
ZoneCategory AHighest: micro capital subsidy 50% (max ₹50 lakh); medium up to ₹4 crore; stamp duty 100%; interest caps ₹5/6/7 lakh; mandi fee 50% max ₹5 lakh/yr; MSY 2.0 margin money 30/25/20%; Most-Priority +10%; Mega hill incentive 2%.
Pithoragarh · Uttarkashi · Chamoli · Champawat · Rudraprayag · Bageshwar
Uttarakhand MSME Policy 2023 - English notification (Directorate of Industries)ZoneCategory BMicro 40% (max ₹40 lakh); medium up to ₹3 crore; stamp duty 100%; interest caps ₹4/5/6 lakh; mandi fee 50% max ₹3 lakh/yr; MSY 2.0 30/25/20%; Most-Priority +10%; Mega hill incentive 1%.
Almora (entire) · Pauri Garhwal (entire) · Tehri Garhwal (mountainous area) · Nainital - Bhimtal, Dhari, Betalghat, Ramgarh, Okhalkanda blocks · Dehradun - Chakrata block
Uttarakhand MSME Policy 2023 - English notification (Directorate of Industries)ZoneCategory CMicro 30% (max ₹30 lakh); medium up to ₹2 crore; stamp duty 75%; interest caps ₹3/4/5 lakh; no mandi fee reimbursement; MSY 2.0 25/20/15%; Most-Priority +5%.
Tehri - plain areas (Dhalwala, Tapovan, Muni ki Reti and plains of Fakot block) · Dehradun - areas above 800 m in Raipur, Sahaspur, Vikasnagar, Kalsi, Doiwala blocks · Nainital - areas above 800 m in Kotabagh block
Uttarakhand MSME Policy 2023 - English notification (Directorate of Industries)ZoneCategory DLowest: micro 20% (max ₹20 lakh); medium up to ₹1.50 crore; stamp duty 50%; interest caps ₹2/3/4 lakh; MSY 2.0 25/20/15%; Most-Priority +5%.
Haridwar (entire) · Udham Singh Nagar (entire) · Nainital - Ramnagar and Haldwani blocks, Haldwani Municipal Corporation, Lalkuan and Ramnagar Nagarpalikas, Kotabagh areas at or below 800 m · Dehradun - Raipur, Sahaspur, Vikasnagar, Kalsi, Doiwala areas at or below 800 m, and Dehradun Municipal Corporation
Uttarakhand MSME Policy 2023 - English notification (Directorate of Industries)Schemes for some districts only
- Mandi fee reimbursement (MSME Policy 2023)Category A and B areas only
- Hill Incentive (Mega Policy 2025)Category A and B areas only
- One District Two Products (ODTP) - +5% MSY 2.0 product booster, Priority category under MSME PolicyAll 13 districts (product list not confirmed)
→Industrial land in this stateAgency, portal, allotment, lease
§5Famous for
§6Choose your district
For each district: its ODOP product, its subsidy zone and the schemes that run only there.
- AlmoraBal Mithai
- BageshwarCopper based products
- ChamoliNettle based products
- ChampawatHimalyan Honey
- DehradunBakery
- HaridwarJaggeryAspirational
- NainitalAipan Products
- Pauri GarhwalHerbal Products
- PithoragarhWoollen Product
- RudraprayagWood Crafts (Temple imitiation)
- Tehri GarhwalNatural fibre
- Udham Singh NagarMoonj Grass productAspirational
- UttarkashiRed Rice
§7Focus sectors & ODOP
Priority: natural fibre and minor forest produce; ODTP products; GI-tag products; manufacturing startups; biotech & nanotech; single-use-plastic alternativesMost-Priority: food processing; fruit & vegetable processing; fruit-based winery; pirul (pine needle) briquettes/pellets; medicinal and aromatic plant products
ODOP / clusters2 entriesOne District Two Products (ODTP) Scheme 2021 - two products per district for 13 districts (official list not found)
- One District Two Products (ODTP) Scheme 2021 - two products per district for 13 districts (official list not found)
- 50 MSME clusters planned under MSME Policy 2023
§8Why do business here — and why not
Merits
- Micro units in Category A hill districts get 50% capital subsidy (max ₹50 lakh) - MSME Policy 2023.
- Electricity duty exemption for 5 years for units up to 500 kW - MSME Policy 2023.
- MSY 2.0 writes bank decision timelines (2-3 weeks) into the scheme and gives up to 35% subsidy in hill areas.
Demerits
- MSME Policy 2023 excludes all service-sector activity including tourism, and furnace/stone crusher/steel ingot units.
- Units must give 70% permanent jobs to state residents and run 5 years, or repay incentives with 18% interest.
- Small and medium units get capital subsidy over 5 yearly instalments after production.
- Plains districts (Haridwar, Udham Singh Nagar) get the lowest rates (Category D).
¶Still being researched
We could not confirm these points from an official source, so no figure is printed on the page.
Open items7 points pending
- Uttarakhand: ODTP product list (26 products) not found on an official page
- Uttarakhand: MSME Policy 2023 Guidelines PDF (document list, forms) — see the official guideline. - scanned
- Uttarakhand: Startup Policy 2023 — see the official guideline. (62-page scan)
- Uttarakhand: MSY 2.0 portal URL not confirmed
- Uttarakhand: Mega Policy 2025 threshold table partly unreadable in OCR (Ultra-Mega threshold investment)
- Uttarakhand: Mahila Udyami Vishesh Protsahan Yojana (2015) current status unknown
- Uttarakhand: summary-level msmeSchemes records have eligibility/norms/documents = []