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Scheme For Assistance To Labour Intensive Industries In Gujarat

Labour Intensive Industries play a crucial role in controlling expenses during market downturns by controlling the size of the employee base. In this way they help in the development of country and state economy and generate employment. Gujarat Govt. has introduced a scheme for providing assistance to labour intensive industries.

Operative Period:

The scheme will come into force from 1st January 2015 and will remain in operation for 5 years i.e. up to 31st December 2019.


A new or one time expanded enterprise of the following industries/sector which provides the employment to minimum number of persons as mentioned against its name of sector will be eligible.

  •  Garment and Apparels  Industry – 300 persons
  • Agro & Food Processing – 100 persons
  • Assembling Enterprises with partial manufacturing facilities – 100 persons
  • Any other labour intensive industry/sector, with minimum persons required to be employed by it, as decided by the State Level Empowered Committee time to time.
  • Payroll incentive will be eligible only for new/additional Domiciled employees.


  • Payroll assistance will be provided as Rs.1200 per person & additional Rs.300 per women employment. In case of expansion this payroll assistance will be provided only for additional domicile employees.
  • Interest Subsidy of 7% per annum for period of 5 years maximum up to Rs. 1 Crore will be provided to eligible unit.
  • VAT related incentives: 70% of eligible fixed capital investment by eligible unit will be considered for reimbursement. The eligible unit shall be entitled for reimbursement up to 1/5th of eligible limit in a particular year.

How to Apply:

The enterprise has to apply at IC office with application form and detailed project report for approval and eligibility registration. Enterprise can download application from links given below:

Application Form for Registration: Click Here

Application Form for Assistance: Click Here

Contact Person:

For Details: Click Here

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