Goa Local Raw Material Scheme 2008 — MSME Subsidy Up to ₹2L — Frequently Asked Questions

There were two components. The first was reimbursement of Sales Tax, capped at a maximum of 90% of the tax the unit had paid. The second was a subsidy covering 25% of the unit's annual power and water tariff expenditure, subject to a ceiling of ₹2,00,000 per annum. Both were scaled according to how much of the unit's raw material was sourced locally, and a unit consuming 60% or more local raw material could receive 100% of the available Sales Tax benefit.

Only micro, small and medium scale enterprises as defined under the MSMED Act could apply. Beyond that, a unit had to have entered production on or after 6 August 2008, had to fall under the green category or the specified orange categories, and had to hold permanent registration with the Directorate of Industries, Trade and Commerce or be cleared by the High Powered Co-ordination Committee (HPCC).

At least 50% of the unit's raw material, measured by value, had to be sourced locally. Meeting that floor made the unit eligible on a pro-rata basis, meaning the benefits grew along with the local sourcing share. Material qualified as local if it was manufactured in an approved industrial unit in Goa or mined and produced within the state, including agricultural, marine, mineral and ore-based inputs.

Applications for a given financial year had to be submitted by 30 September, and no claim was entertained after that cutoff. The scheme itself no longer accepts applications at all, since it ceased to operate after 31 March 2011, so there is no current deadline to work towards.

No. The scheme remained in force until 31 March 2011 and is now discontinued. It is best understood as a historic piece of Goan industrial policy rather than a live funding opportunity.

The process was entirely offline. An applicant first obtained the prescribed application proforma, either directly from the Directorate of Industries, Trade and Commerce or by downloading it in the set format from the Directorate's official website. The form then had to be printed, filled in completely, and accompanied by a passport-sized photograph and the supporting documents. The signed form and self-attested papers were submitted to the Director, Directorate of Industries, Trade and Commerce, whose office carried out the initial scrutiny.

The application required the completed proforma, a passport-sized photograph, proof of the unit's registration, evidence of local raw material consumption, and Sales Tax payment receipts. Any document that needed attestation had to be self-attested by the applicant.

No. This was a subsidy programme, not an investment one. The support came as Sales Tax reimbursement and a utility bill subsidy, both of which were non-dilutive — the government took no stake in the unit and the money did not have to be repaid.

The scheme's eligibility was anchored in MSME status under the MSMED Act and state-level registration with the Directorate of Industries, Trade and Commerce, or alternatively clearance by the High Powered Co-ordination Committee. Central DPIIT recognition did not form part of the stated criteria.

On the first working day after 30 September, the Directorate displayed the list of all claimants on its notice board and sent a copy to the Government. The Director then had three months from receipt to scrutinise and dispose of each application, with a Task Force Committee examining the papers and recommending the benefits due. Before disbursement, the Directorate confirmed within 60 days that the unit had no outstanding dues with other government departments. Only then were the reimbursements and subsidies released.

The objective was to keep Goa's manufacturing spend inside the state. By rewarding units that bought locally, the government sought to support the units producing raw material within Goa and to improve the economic conditions of villages and rural areas involved in supplying or producing those materials, including horticulture, food processing and cluster businesses.

Goa Local Raw Material Scheme 2008 — MSME Subsidy Up to ₹2L is offered by Directorate of Industries, Trade and Commerce, Government of Goa, 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.