AP Investment Subsidy: Up to ₹50 Cr for Sub-Large and Large Units — Frequently Asked Questions

The amount depends on how your enterprise is classified. A Large Enterprise receives 25% of eligible Fixed Capital Investment, capped at ₹50 crore. A Sub-Large Enterprise receives 20% of eligible Fixed Capital Investment, capped at ₹20 crore. In both cases the subsidy is released over several years rather than as a single payment.

The scheme is open to Sub-Large and Large Enterprises running General Industries in Andhra Pradesh. Your project must be a new industrial unit, an expansion of an existing facility, or a diversification into a new product line. Smaller enterprise categories do not qualify under this particular incentive.

No. The incentive sits inside the Andhra Pradesh Textile and Apparel Growth (AP TAG) Policy 4.0, but the specific provision is explicitly written for General Industries. That means manufacturers outside the textile sector can apply, as long as they meet the enterprise-size and project conditions.

There is no fixed last date. The scheme runs on a rolling basis, so claims can be filed throughout the policy period in line with the applicable guidelines. Registration of the project with the Department of Industries & Commerce happens after commercial operations begin, or when an expansion or diversification project is initiated.

No. This is a subsidy paid as a direct cash benefit calculated on your eligible Fixed Capital Investment. It is non-dilutive, which means no shares or ownership stake change hands as a result of receiving it.

Start by registering your project with the Department of Industries & Commerce, Government of Andhra Pradesh. After that, submit the detailed application along with the supporting documents through the state's incentives portal at https://www.apindustries.gov.in/Incentives/Index.aspx, following the procedure laid down under AP TAG 4.0.

Enterprises are expected to submit a detailed application form together with project reports, financial statements, proof of investment in Fixed Capital, and the relevant statutory clearances. These are the materials the authorities scrutinise to confirm eligibility and to work out how much Fixed Capital Investment qualifies.

The scheme details available do not list DPIIT recognition or MSME/Udyam registration as a condition. Eligibility here turns on the enterprise being classified as Sub-Large or Large, running a General Industry project in Andhra Pradesh, and falling into one of the three supported project types.

No. The support is a percentage of your eligible Fixed Capital Investment, so the enterprise makes the primary investment and the state reimburses a defined share of it — a maximum of 25% for Large Enterprises and 20% for Sub-Large Enterprises, within the respective ceilings.

Applications are first screened for completeness and basic eligibility. A technical and financial appraisal follows, carried out by a committee of Department of Industries & Commerce officials and relevant experts, who examine the project's viability, the quantum of eligible Fixed Capital Investment and its fit with the state's industrial development goals. The committee's recommendations then go to the sanctioning authority for final approval.

AP Investment Subsidy: Up to ₹50 Cr for Sub-Large and Large Units is open to startups at any stage. It is open to startups registered anywhere in India.

AP Investment Subsidy: Up to ₹50 Cr for Sub-Large and Large Units is offered by Department of Handlooms and Textiles, Government of Andhra Pradesh, a government body. It is provided as non-dilutive funding.

Apply directly through the official application link on this page. Review the eligibility criteria and prepare your startup documents before you begin.