Scheme Name: Fiscal Incentives - MSMEs

State: Haryana

Description of the Scheme: Focus on the MSMEs for creation of employment opportunities and to revitalise economic growth.

Target group :

Sector of the Scheme:

Eligibility Criteria: MSME sector

Nature & Mode of Assistance:

a. Mother-Vendor unit linkages: Vendor units will be treated at par with anchor units for availing incentives, provided vendor is located on the same earmarked land as anchor unit, and supplies 75% of its end product to anchor unit. This benefit is only for ESDM enterprises.

b. Interest subsidy: At 6% for Micro, Small & Medium Enterprises on term loan or maximum up to Rs.10 lakhs per year for 8 years across State & shall not exceed amount of net SGST paid during relevant year.

c. Access to finance:

I. Credit rating expenses exemption (fiscal): Reimbursement of the expenses incurred towards credit rating to the extent of 75% or maximum of Rs.2 lakhs for Micro and Small enterprises carried out by SIDBI/Govt. accredited credit rating agency.

II. State Government shall contribute an amount of Rs.100 crores in CGTMSE fund, which will provide window opportunities to new as well as existing Micro and Small Enterprises for availing collateral free loan to the extent of Rs.1 crore from lending institutions.

d. Property tax exemption: MSME units shall be exempted from payment of property tax for a period of 10 years.

e. Technology acquisition: 50% of cost for adopting technology from recognised National Institutes, maximum of Rs.1 crore. Benefit can be availed only once in a period of three years.

f. Testing equipment assistance: In order to ensure 'Zero Defect' in quality of products to make globally competitive, the financial support of 50% as subsidy or maximum of Rs.5 lakhs for purchase of testing equipment shall be provided to Micro and Small Enterprises.

h. Patent fee reimbursement: 50% assistance in cost of filing of patents subject to a limit of Rs.10 lackhs for domestic patents awarded and Rs.25 lakhs for international patents awarded.

Quality certification fee reimbursement: 50% reimbursement of cost of quality certification fee within the overall ceiling of Rs.6 lakhs in 5 years (with maximum of 3 industry standard quality certifications).

Assistance in participation of fair/exhibition: Assistance to industry associations for participation in International Trade Fair as Haryana Pavilion outside India at 50% of total rent and subject to a maximum limit of Rs.10 lakhs.

Awards for outstanding contribution: Outstanding Entrepreneurship State Awards shall be provided to Micro and Small Enterprises of Rs.3 lakhs each separately for growth in production and profit, for innovation & development of new products, quality products and lean manufacturing techniques in ESDM sector. The unit once selected for award shall not be considered again during next 5 years. State Government will develop rules/mechanism to assess the performance of entrepreneurs.

"Financial Information (Subsidy, low interest rate, etc.)":

"Other Assistance (Procurement of machinery, Technology /Marketing, International Cooperation, etc.)":

How to apply: Office of the Information Technology, Electronics and Communication Department, Chandigarh

Whom to Contact:

Senior Administrative Officer

Room No. 42, 9th Floor, Haryana Civil Secretariat, Chandigarh- 160001.

Tel: 0172-2748142

email: ravinder@hry.nic.in