Industries and Mines Department, Government of Gujarat
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Dr.Babasaheb Ambedkar Udyog Uday Yojana — ₹50L Capital Subsidy — Frequently Asked Questions

FAQ

Answers to the questions founders most often ask about Dr.Babasaheb Ambedkar Udyog Uday Yojana — ₹50L Capital Subsidy — who qualifies, the funding amount, required documents and how the application works.

Frequently asked questions

How much subsidy can an enterprise actually receive under this scheme?

It depends on where your unit is located and how much you invest. Category 1 talukas pay 30% of the term loan up to ₹40 lakh, Category 2 talukas pay 25% up to ₹35 lakh, and Category 3 talukas along with Municipal Corporation areas pay 15% up to ₹15 lakh. Units whose Eligible Fixed Capital Investment crosses ₹10 crore get an additional ₹10 lakh, ₹7.5 lakh or ₹5 lakh respectively, which pushes the overall ceiling to ₹50 lakh.

Who is eligible to apply for this Gujarat subsidy?

The enterprise must be one in which SC/ST entrepreneurs contribute 51% or more, and it must be a manufacturing unit. It should have begun commercial production, and the term loan must have been sanctioned before production started.

What is the last date to submit the application?

The scheme stops operating on August 6, 2025, so your application has to be in before that date. Separately, you must file online within one year of whichever of three dates comes last — the first disbursement of your term loan, the start of commercial production, or the issue date of the relevant GR.

Is this a grant, a loan, or does the government take equity?

It is a capital investment subsidy, so the amount paid is non-repayable and no stake in your business is taken. The term loan that the subsidy is calculated against is a separate borrowing that you repay to your bank.

Do I need to be in commercial production before applying?

Yes. Commercial production must have commenced for the enterprise to claim the subsidy, and your term loan needs to have been sanctioned before commercial production began.

Can I claim a Central Government subsidy as well?

Yes, you can. The only condition is that the State and Central Government subsidies put together must not add up to more than the total term loan that was disbursed to your enterprise.

What does an SC/ST enterprise mean for this scheme?

An SC/ST enterprise is one in which the contribution of SC/ST entrepreneurs is 51% or more. That level of contribution is what makes the applicant firm eligible.

Can a small or medium unit apply, or is the scheme only for micro-enterprises?

The eligibility criteria are written for Micro, Small and Medium enterprises run by SC/ST entrepreneurs, while this capital investment subsidy component is described as assistance to micro-enterprises in manufacturing. If your unit falls in the small or medium bracket, it is worth confirming your position with the Industries and Mines Department before you file.

How and where do I apply for the capital investment subsidy?

Applications are made online through Gujarat's Investor Facilitation Portal. Go to https://ifp.gujarat.gov.in/DIGIGOV/ and use the New Investor Registration option, submit the form, then verify your email through the link sent to your registered address. Log back in with your email address and password, open your account, fill in the required details and upload the mandatory business documents to complete the subsidy application. The registration page is at https://ifp.gujarat.gov.in/IC/digigov.htm?actionFlag=loadCitizenRegPage.

Is DPIIT recognition required for Dr.Babasaheb Ambedkar Udyog Uday Yojana — ₹50L Capital Subsidy?

No. DPIIT (Startup India) recognition is not listed as a mandatory requirement for Dr.Babasaheb Ambedkar Udyog Uday Yojana — ₹50L Capital Subsidy, though having it can strengthen your application and unlock other benefits.

Who offers Dr.Babasaheb Ambedkar Udyog Uday Yojana — ₹50L Capital Subsidy?

Dr.Babasaheb Ambedkar Udyog Uday Yojana — ₹50L Capital Subsidy is offered by Industries and Mines Department, Government of Gujarat, a government body. It is provided as non-dilutive funding.

How do I apply for Dr.Babasaheb Ambedkar Udyog Uday Yojana — ₹50L Capital Subsidy?

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

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