Dr. Babasaheb Ambedkar Udyog Uday Yojana — ₹50L Technology Grant
A Gujarat government grant scheme that funds up to 70% of technology acquisition costs, capped at ₹50 lakh, for MSMEs owned and run by SC/ST entrepreneurs.
- Funding amount
- ₹50L (grant)
- Funding type
- Grant
- Provider
- Industries and Mines Department, Government of Gujarat (Government)
- Application deadline
- Rolling
- Eligible stage
- Any stage
- Location
- Open to startups registered in India
Overview
The Dr. Babasaheb Ambedkar Udyog Uday Yojana is an umbrella programme of the Industries and Mines Department, Government of Gujarat. It was set up to back the state's micro, small and medium enterprises by directing support towards entrepreneurs from the Scheduled Caste and Scheduled Tribe communities. The scheme operates between August 7, 2020 and August 6, 2025.
Sitting inside that umbrella is a component called Assistance for Technology Acquisition. It is meant for enterprises that want to bring in advanced or appropriate technology — either to improve what they produce or to run their operations more efficiently. The support can be used towards the cost of acquiring that technology, and it extends to royalty payments falling due in the first two years after the technology is implemented.
The state bears 70% of the technology acquisition cost, up to ₹50 lakh. Because the scheme runs on a rolling basis, applications can be filed at any point while the scheme remains in force.
Highlights
- Grant of up to ₹50 lakh for technology acquisition
- Covers 70% of the acquisition cost, including two years of royalty
- Reserved for MSMEs with 51% or more SC/ST entrepreneur contribution
- Rolling applications — no fixed deadline while the scheme is in force
- Scheme operational from August 7, 2020 to August 6, 2025
- Prior MSME Commissionerate approval required before disbursal
Who can apply
Assistance is available to micro, small and medium enterprises in which an entrepreneur belonging to the Scheduled Caste or Scheduled Tribe community holds a contribution of 51% or more.
- Both new and existing enterprises qualify, provided they are engaged in manufacturing or in process improvement.
- The technology has to be acquired from a recognised institution.
- Whatever is acquired must be directly relevant to the applicant's own product or process.
- The MoU, agreement or contract for the technology acquisition must be signed within one year of applying.
- Prior approval from the MSME Commissionerate is a mandatory prerequisite — no assistance is released without it.
Dr. Babasaheb Ambedkar Udyog Uday Yojana — ₹50L Technology Grant is open to startups at any stage. It is open to startups registered anywhere in India.
- Eligible stage
- Any stage
- Location
- Open to startups registered in India
Deadline & timing
Dr. Babasaheb Ambedkar Udyog Uday Yojana — ₹50L Technology Grant accepts applications on a rolling basis — there is no fixed cut-off date, so eligible startups can apply at any time. Because rolling programmes can pause without notice, confirm the window is still open on the official site before you start.
What the funding covers
The scheme covers 70% of the total cost of technology acquisition, subject to a maximum of ₹50 lakh.
- The coverage also takes in royalty payments for the first two years after the technology is implemented.
- The money is a grant, so the promoter's stake is not diluted and no equity is handed over in return.
- Support is aimed at product innovation and process optimisation, which in turn helps the enterprise compete more effectively beyond Gujarat.
By absorbing the larger share of the acquisition cost, the scheme lowers the capital barrier that would otherwise keep an SC/ST-led MSME from adopting newer technology.
About the provider
Dr. Babasaheb Ambedkar Udyog Uday Yojana — ₹50L Technology Grant is offered by Industries and Mines Department, Government of Gujarat, a government body. As a government-backed grant, it is publicly funded and open to eligible startups across India.
How to apply
Applications are submitted on the . Confirm the current deadline and document checklist there before you start.
Selection process
Applications are examined to confirm that every eligibility condition is satisfied. The review focuses on the promoter's SC/ST participation in the enterprise, the unit's standing as a micro, small or medium enterprise, and whether the technology proposed for acquisition is both relevant to the business and sourced from a recognised institution.
The decisive step is prior approval from the MSME Commissionerate. That approval is granted only after the application has been measured against the scheme's guidelines and objectives, and assistance is not disbursed before it is obtained.
Documents you’ll need
Before you apply to Dr. Babasaheb Ambedkar Udyog Uday Yojana — ₹50L Technology Grant, keep the following documents ready:
- A pitch deck or short business plan describing the problem, product and traction
- Company registration documents and PAN
- Founder identification (PAN / Aadhaar) and brief profiles
- Recent financial statements or projections
- Product details — a demo, prototype or working link if available
Exact requirements are confirmed on the official application portal — treat this as a preparation checklist.
Who this is best for
Dr. Babasaheb Ambedkar Udyog Uday Yojana — ₹50L Technology Grant is best suited for startups in India seeking non-dilutive funding of ₹50L. If that describes your startup, review the eligibility criteria above before applying.
Frequently asked questions
What exactly is the Dr. Babasaheb Ambedkar Udyog Uday Yojana?
It is an umbrella scheme run by the Industries and Mines Department of the Government of Gujarat. Its broad purpose is to strengthen the state's MSME sector by supporting entrepreneurs from the Scheduled Caste and Scheduled Tribe communities. Technology acquisition is one of the components delivered under this umbrella, and the scheme has been active from August 7, 2020 to August 6, 2025.
How much money does the Assistance for Technology Acquisition component provide?
The scheme funds 70% of what you spend on acquiring technology, and the total assistance is capped at ₹50 lakh. Royalty payments for the first two years after the technology is implemented are counted within this support, which reduces the upfront burden on the enterprise considerably.
Who is eligible for this assistance?
Micro, small and medium enterprises can apply if an SC or ST entrepreneur holds 51% or more of the contribution in the business. Both newly formed and already running enterprises are eligible, as long as they are in manufacturing or are working on process improvement and they satisfy the other conditions of the scheme.
How is an SC/ST enterprise defined for this scheme?
An enterprise counts as an SC/ST enterprise when the equity or ownership contribution held by a promoter from the Scheduled Caste or Scheduled Tribe category is 51% or more. That ownership threshold is central to the eligibility review, so the applicant's shareholding is one of the first things assessed.
Does the technology have to come from a particular kind of source?
Yes. The technology must be acquired from a recognised institution, and it must be directly relevant to the applicant's own product or process. Both the source of the technology and its fit with the business are examined during the review, so a purchase that has no clear link to what the enterprise makes or how it operates will not qualify.
Is there a deadline to apply?
Applications run on a rolling basis, meaning there is no fixed closing date for submissions. What matters is the scheme's own validity window — it operates until August 6, 2025 — so applications need to be filed while the scheme is still in force.
Does the scheme take equity in my company?
No. This is a grant, so the funding is non-dilutive: you do not give up any equity or ownership in exchange for the assistance. The promoter's 51% or more contribution stays intact, and the support simply offsets a large part of the technology acquisition cost.
Is prior approval from the MSME Commissionerate necessary?
Yes, it is a mandatory prerequisite. No assistance is disbursed until the MSME Commissionerate grants prior approval, and that approval follows an assessment of the application against the scheme's guidelines and objectives.
How do I apply for this component?
Applications are handled online through Gujarat's Investor Facilitation Portal. Start by choosing New Investor Registration, complete the registration form, and verify your email address through the link sent to you. Once verification is done, log in to the portal with the same email and password, enter the details of your business, and upload the mandatory documents to complete the application. The portal can be reached at https://ifp.gujarat.gov.in/DIGIGOV/. Be ready with the MoU, agreement or contract covering the technology acquisition, which must be signed within one year of applying, along with the business details the form asks for.
Is DPIIT recognition required for Dr. Babasaheb Ambedkar Udyog Uday Yojana — ₹50L Technology Grant?
No. DPIIT (Startup India) recognition is not listed as a mandatory requirement for Dr. Babasaheb Ambedkar Udyog Uday Yojana — ₹50L Technology Grant, though having it can strengthen your application and unlock other benefits.
Who offers Dr. Babasaheb Ambedkar Udyog Uday Yojana — ₹50L Technology Grant?
Dr. Babasaheb Ambedkar Udyog Uday Yojana — ₹50L Technology Grant is offered by Industries and Mines Department, Government of Gujarat, a government body. It is provided as non-dilutive funding.
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