Gujarat disburses Rs 7,864 crore to MSMEs in five years, tops in ZED certification

Gandhinagar, May 16 Gujarat has provided financial assistance of over Rs 7,864 crore to more than 1.3 lakh MSMEs between 2020–21 and 2024–25 under various state schemes. The support includes capital investment subsidies, interest subsidies, and credit guarantee support, as per official data.

The state has the highest number of Zero Effect Zero Defect (ZED) certified MSMEs in India.

As of now, over 89,000 MSMEs in Gujarat are registered under the ZED scheme, and more than 59,000 are certified. From April 1, 2024, to January 8, 2025, under the 2015 industrial policy, over 4,400 claims received Rs 137 crore. Under the 2020 policy, over 8,700 claims received Rs 345 crore.

The 2022 Aatmanirbhar Gujarat scheme disbursed Rs 245 crore to over 2,400 claims. The “Gunvatta Yatra” quality campaign was conducted in all districts from April 5 to May 29, 2025. So far, 18 districts have completed the program.

The state has registered 23.79 lakh MSMEs under the Udyam registration system since 2020. To handle delayed payment disputes, six regional MSE Facilitation Councils (MSEFCs) are functional in Ahmedabad, Surat, Rajkot, Bhavnagar, Vadodara, and Kutch.

In 2024, these councils resolved 1,081 cases. Under the market development assistance schemes, 852 applications were approved from April to December 2024.

Rs 5 crore was disbursed for participation in exhibitions at the state, national, and international levels. Organisers were also given electricity bill subsidies.

In October 2023, the state organized the “Vibrant Gujarat-Vibrant District” (VGVD) festival in all districts.

Under the One District One Product (ODOP) initiative, 26 products were identified for promotion. Six regional MSEFCs are now functional to address payment delays, replacing the earlier single council. Gujarat’s MSME sector is highly diversified, with strong clusters in textiles, garments, engineering, chemicals, ceramics, gems & jewellery, plastics, and agro & food processing.

Notable MSME hubs include Surat (textiles and diamonds), Rajkot (engineering and auto components), Morbi (ceramics), and Ahmedabad (garments and machinery). These enterprises range from micro units operating with a handful of workers to medium-scale industries supplying nationally and globally.

According to state data, MSMEs in Gujarat contribute significantly to the state’s economy, with an estimated annual turnover exceeding Rs 3 lakh crore.

They also play a key role in employment, engaging over 1.5 crore people directly and indirectly. With 23.79 lakh units registered under Udyam since 2020, Gujarat’s MSME ecosystem is one of the most industrially productive in India, contributing substantially to both domestic markets and exports.

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