IPS Subsidy — Up to ₹50L for Medical, Diagnostics & AYUSH Units in DNH & DD — Frequently Asked Questions

There are two separate benefits. The Capital Investment Subsidy reimburses 20% of your Gross Fixed Capital Investment, up to a maximum of ₹50 lakh per unit. The Credit Linked Interest Subsidy pays 60% per annum of the interest on your credit, up to ₹50 lakh per annum, for as long as five years or for the loan repayment period, whichever is shorter. Both are subsidy payments — nothing is repaid to the department.

You need to be an MSME-sector unit in manufacturing or services. Either you are a new unit setting up, or an existing unit going in for expansion or diversification. The unit must be located in the U.T. of Dadra and Nagar Haveli and Daman and Diu, and commercial production must have started between 20 May 2022 and 19 May 2027.

It is limited to healthcare manufacturing. Specifically, units making medical equipment and accessories, units working in medical diagnostics, and units manufacturing AYUSH products.

The scheme itself runs from 20 May 2022 to 19 May 2027, so that is the outer boundary. Within that period, the application has to be filed online within one year from the date of the first disbursement of your loan, or on or before the date your commercial production starts. Your own project milestones, not a single fixed date, decide the filing deadline that applies to you.

The eligibility conditions are written around MSME-sector manufacturing and service units, so MSME status is the relevant frame. The published criteria for this sub-scheme do not list a separate DPIIT recognition condition, so nothing in the scheme documents makes DPIIT approval a prerequisite.

No. This is a subsidy scheme — a capital investment reimbursement and a credit-linked interest subsidy. No shares are issued, no ownership is transferred, and there is no dilution of the founders' stake. The support is entirely non-dilutive.

Yes, provided it is undertaking expansion or diversification and satisfies the other conditions, including the requirement that commercial production falls between 20 May 2022 and 19 May 2027. The scheme is not restricted to brand-new units.

Between 20 May 2022 and 19 May 2027. A unit whose production start date falls outside that window does not fit the eligibility conditions of this sub-scheme.

Applications are online only, through the UT's single window portal. First register at swp.dddgov.in/registration, fill in the required details and click Register. Verify your email through the link sent to you, then enter 111111 as the OTP to verify your mobile number — your mobile number and PIN are then emailed to you. Next, log in at swp.dddgov.in/login using your registered mobile number and the PIN, open the Departments & Services tab on the left menu, scroll to District Industries Centre DD & DNH and click through to apply for Investment Promotion Scheme: 2022 to 2027 (20 May 2022 to 19 May 2027). The Common Application Form opens; fill every required field, upload the mandatory documents, re-check the details and submit.

The online Common Application Form requires you to upload the mandatory documents it lists before the submission goes through. The scheme's published details do not set out a separate document checklist, so the form itself is the authority on what has to be attached.

IPS Subsidy — Up to ₹50L for Medical, Diagnostics & AYUSH Units in DNH & DD is offered by Department of Industries, UT Administration of Dadra and Nagar Haveli and Daman and Diu, a government body. It is provided as non-dilutive funding.