“Subsidy for Quality Certification” under “Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries – Various incentives”

Subsidy for Quality Certification (गुणवत्ता प्रमाणन के लिए सब्सिडी)

The “Subsidy for Quality Certification” scheme, part of the “Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries – Various incentives,” is initiated by the Industries and Commerce Department of Puducherry. This scheme aims to encourage entrepreneurs by providing financial assistance for quality certifications, facilitating the growth of industries in the region.

Overview of the Scheme

Effective from April 1, 2017, the “Subsidy for Quality Certification” scheme operates throughout the Union Territory of Puducherry. Under this initiative, eligible businesses can receive assistance for up to three quality certifications, covering 50% of the certification costs, with a maximum limit of ₹2,00,000 per unit.

Key Benefits

• Financial Assistance: Up to 50% of the certification costs for a maximum of three quality certifications.
• Ceiling Limit: The assistance is capped at ₹2,00,000 per unit.
• Flexible Disbursement: Funds may be disbursed in one or multiple installments based on available finances.
• Direct Transfers: Subsidy is transferred directly to the entrepreneur for self-financed units.

Mode of Disbursement

The subsidy is primarily disbursed through financial institutions or banks if the unit has availed financing from them. This would be towards adjusting the loan taken by the entrepreneurs, creating additional fixed assets, or for working capital. For self-financed units, the subsidy will be directly credited to the entrepreneur’s account.

Eligibility Criteria

• Applicable to all Micro, Small, Medium, and Large Industries.
• The investment should have been made on or after April 1, 2017.
• At least 60% of total employment must be provided to local residents of Puducherry, as stipulated in the Affidavit.
• The certification cost includes fees from a Quality Council of India (QCI) approved agency, excluding travel, accommodation, and surveillance charges.
• Fixed assets such as plant and machinery must not be transferred or disposed of for five years from the application submission date or subsidy disbursement date, whichever is later.
• Subsidy is also applicable for additional investments made after the first claim, up to the ceiling limit.

Special Considerations

If an individual sets up multiple industrial undertakings as a sole proprietor or shares common partners or directors, each unit may qualify for separate subsidies, provided they are located differently and have obtained all necessary licenses and registrations independently.

Steps to Apply

Offline Application Process

1. The industrial unit must register their claim for the subsidy using the prescribed form available on the official website of the Directorate of Industries and Commerce, Puducherry.
2. Complete all mandatory fields in the application form and attach copies of required documents (self-attested if necessary).
3. Submit the filled and signed application form along with the documents to the designated authority.
4. Request a receipt or acknowledgment upon submission, ensuring it includes essential details such as submission date, time, and a unique identification number if applicable.

Post-Application Procedure

1. The Directorate of Industries will review applications based on merit to determine admissibility for subsidies, which will be presented to the State Level Committee.
2. The State Level Committee will analyze each case individually to decide eligibility for the subsidy and recommend the amount to be granted.

Application Deadlines

• For New Units: Applications must be submitted within one year from the date of obtaining the Entrepreneurs Memorandum Part-2, Permanent Registration, or Commencement of Production Certificate.
• For Existing Units: Applications must be submitted within one year after completion of Expansion, Diversification, or Modernization.

Official Source

For more details, please visit myScheme.gov.in.