Interest Subsidy for logistics facilities such as container freight stations, warehouses, cold storage, etc. in Gujarat

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Interest Subsidy for logistics facilities such as container freight stations, warehouses, cold storage, etc. in Gujarat

🚛 Interest Subsidy for New Logistics Service Units in Gujarat: A Golden Opportunity for MSMEs

Gujarat, the hub of industrial growth, continues to extend its support to the service sector, especially new MSMEs that provide essential logistics facilities such as container freight stations, warehouses, cold storage, etc. If you’re planning to launch a service unit in this space, this interest subsidy scheme could significantly reduce your cost of capital and increase your profitability.

Let’s explore the scheme in detail:

🏗️ Who is Eligible?

Only New MSMEs (as per UDYAM registration norms) under the service sector that provide logistics facilities in Gujarat.
Examples include:
- Container Freight Stations
- Warehouses
- Cold Storages
- Logistic Hubs and Parks

💰 Subsidy Details – Area-wise Interest Benefit

The scheme offers a percentage-based interest subsidy on term loans for new investments in machinery, equipment, and furniture/fixtures (Land & Building excluded). The benefit varies based on the location of your unit:

📍 Category 1 Talukas:

7% Interest Subsidy
Maximum: ₹35 lakhs per annum
Duration: 7 years

📍 Category 2 Talukas:

6% Interest Subsidy
Maximum: ₹30 lakhs per annum
Duration: 6 years

📍 Category 3 Talukas & Municipal Corporation Areas:

5% Interest Subsidy
Maximum: ₹25 lakhs per annum
Duration: 5 years

(Click here to get Category-wise classification of Taluka)

➕ Additional Subsidies You Can Avail

You can get 1% extra interest subsidy if your enterprise falls under any of the following:

✅ Recognized Start-up by DPIIT or Government of Gujarat
✅ Women Entrepreneurs (100% equity by women)
✅ Differently Abled Entrepreneurs (100% equity by the individual)
✅ Young Entrepreneurs (Below 35 years at the time of loan sanction)

📌 Maximum subsidy will never exceed the total interest paid.

📋 Mandatory Compliance for Eligibility

To avail of the subsidy, your enterprise must fulfill these conditions:

GST Registration (or exemption proof if applicable)
UDYAM MSME Registration
Service Tax Registration (if applicable)
Shop & Establishment License (if located in a Municipal Corporation area)
Employment of at least:
- 10 persons in total
- 85% local employees overall
- 60% local employees in managerial/supervisory roles

🕒 Important Timelines

Choose your date of eligibility:
- Either from the first disbursement of loan
- Or from the date of commercial operations
Apply online within 1 year from the chosen eligibility date.
Late submissions will reduce your eligible subsidy period proportionately.

❗ Key Conditions & Restrictions

Term loan must be sanctioned and disbursed by Banks or Financial Institutions as per RBI guidelines.
NBFC loans are NOT eligible.
Subsidy is applicable only after commercial operations begin.
No subsidy for:
- Penal interest
- Bank charges
The enterprise must bear at least 2% interest on its own.
If you avail any central government interest subsidy, total subsidy (state + center) must not exceed actual interest paid.

🚫 Disqualification Criteria

If the enterprise defaults (as per RBI norms – 90 days overdue), the default period will be deducted from the subsidy benefit.
Term loan sanctioned after one year from commencement of operations will make the enterprise ineligible.

📎 Documents Required

UDYAM Registration
GST Certificate
Term Loan Sanction Letter
First Disbursement Proof
Commencement Certificate
Employment details with proof of locals
Startup Recognition (if applicable)
Age Proof (for young entrepreneur category)
Other documents

✅ Why You Should Apply?

This scheme offers one of the highest interest subsidies in Gujarat for service sector MSMEs, especially in the logistics and supply chain space, which is a rapidly growing industry aligned with India’s economic vision.

Whether you are planning a cold storage in Morbi, a warehouse in Ahmedabad, or a container yard in Kutch, this scheme can make your business more viable, more profitable, and more scalable.

📞 Need Expert Help?

Book your consultation At Adroit Corporation, we help you: