Odisha MSME ZED P&M Reimbursement
By MSME Department, Government of Odisha
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Quick Answer
One-time reimbursement of 50% of expenses incurred on acquisition of Plant & Machinery/testing equipment, up to INR 5 lakhs, for MSMEs achieving ZED certification levels.
About this subsidy
The Reimbursement for Plant & Machinery/Testing Equipment for ZED Certification is an incentive offered under the Odisha MSME Development Policy 2022. This program aims to support Micro, Small, and Medium Enterprises (MSMEs) in Odisha by encouraging them to adopt quality manufacturing practices and improve their overall competitiveness through ZED (Zero Defect Zero Effect) certification. By offsetting a significant portion of the costs associated with acquiring essential plant & machinery and testing equipment, the policy empowers MSMEs to upgrade their technology, enhance product quality, and achieve higher standards of operational efficiency. This initiative is crucial for fostering a robust and globally competitive MSME sector within the state, aligning with national goals of promoting quality and environmental sustainability.
Eligibility
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Full eligibility criteria — entity type, stage, sector, founder profile and registration requirements — plus your fit for this program. Sign up to view.
Subsidy providers
Benefits & Funding
- Amount
- ₹2 Lakhs – ₹5 Lakhs
What You Get
This incentive provides a one-time reimbursement of 50% of the expenses incurred by eligible MSMEs on the acquisition of Plant & Machinery and testing equipment. The maximum reimbursement amount is tiered based on the level of ZED certification achieved:
- A reimbursement of up to INR 2 lakhs is provided to MSMEs that achieve 'ZED Bronze' certification, upgrading from a 'No Rating' status.
- MSMEs progressing to 'ZED Silver' certification from 'ZED Bronze or lower rating' are eligible for a reimbursement of up to INR 3 lakhs.
- For those striving for the highest standard, 'ZED Gold' certification, achieved from 'ZED Silver or lower rating', the program offers a substantial reimbursement of up to INR 5 lakhs. The financial support is designed to directly reduce the capital expenditure burden on MSMEs, facilitating their investment in crucial infrastructure that leads to improved product quality, reduced defects, and environmentally responsible manufacturing processes. This non-repayable benefit significantly de-risks the investment for MSMEs aiming for quality and sustainability benchmarks.
- Disbursement
- Reimbursement
- Bootstrap friendly
- Yes
Timelines & Process
Applications
Rolling basis
Selection Process
The selection process for this reimbursement is an administrative verification rather than a competitive evaluation. Applications are thoroughly reviewed by a dedicated committee or officers within the Odisha MSME Department. The primary objective of this review is to verify that the applicant is an eligible MSME, has successfully achieved the claimed ZED certification level (Bronze, Silver, or Gold), and has genuinely incurred expenses for the acquisition of relevant Plant & Machinery or testing equipment. Documents submitted for expense proof, such as invoices and payment receipts, are scrutinized for authenticity and adherence to policy guidelines. Once all criteria are met and documents are validated, the application is approved for disbursement of the eligible reimbursement amount.
Application Process
- 1
Submit Application
Applicants submit the completed application form with all required documents to the designated authority.
You - 2
- 3
How to apply
Four steps from draft to disbursement — one action each.
- 1
Submit on the official portal
Use the official application link and verify all details before final submission.
- 2
Follow up
Reach out 5–7 days after submitting to confirm receipt and ask about the review timeline.
Program templates & documents
Files the program publishes for applicants — download these and apply in the prescribed format.
Frequently Asked Questions
Who is eligible for this reimbursement?
New and existing Micro, Small, and Medium Enterprises (MSMEs) operating in Odisha are eligible to claim this incentive.
What type of expenses are covered under this scheme?
The reimbursement covers expenses directly incurred on the acquisition of Plant & Machinery and testing equipment, specifically purchased to achieve or upgrade a ZED certification level.
What are the different reimbursement amounts available?
The reimbursement is tiered: up to INR 2 lakhs for ZED Bronze, up to INR 3 lakhs for ZED Silver, and up to INR 5 lakhs for ZED Gold certification.
Is there a specific deadline to apply for this reimbursement?
This is an ongoing incentive under the Odisha MSME Development Policy 2022, so applications are accepted on a rolling basis without a fixed deadline, subject to the policy remaining active.
What is the ZED certification, and why is it important?
ZED (Zero Defect Zero Effect) certification is an initiative by the Government of India to encourage MSMEs to manufacture high-quality products with zero defects, while also ensuring a minimal negative impact on the environment. It enhances competitiveness and market access.
Do I need to pay for the equipment upfront?
Yes, MSMEs are required to incur the expenses for acquiring Plant & Machinery/testing equipment first. The program then provides a 50% reimbursement of these eligible expenses, up to the specified caps for each ZED level.
Sources
Data on this page is compiled from official program and provider references.








