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This scheme provides an upfront subsidy of 15% on institutional credit up to Rs. 1 crore (i.e. a subsidy cap of Rs. 15 lakh) for identified sectors/subsectors/ technologies.

Margin Money subsidy ranges from 15% to 35% of project cost for projects up to Rs. 50 Lakh in Manufacturing sector and Rs. 20 Lakh in the Service sector.

The MSME turnover limit & MSME investment limit was revised in line with the current financial situation. As per this new revision, the definition of the MICRO manufacturing & services units was revised to Rs. 1 crore investment & Rs. 5 crores turnover.

The Food Subsidy gets the maximum share in the total subsidy given by the Central Government of India.

In the most general terms, a subsidy can be. defined as any government assistance that (i) allows consumers to purchase goods. and services at prices lower than those offered by a perfectly competitive private.

Interest Subsidy @7% on Term Loan with the maximum amount of Rs. 35 Lakhs per annum for a period of 7 years. @6% on Term Loan with the maximum amount of Rs. 30 Lakhs per annum for a period of 6 years.

The Andhra Pradesh MSME Policy 2015-20 is aimed at ?establishing state-of-the-art infrastructure, advancing inclusivity, fostering innovation and creating employment opportunities across different skill sets?.

The subsidy may be a specific amount of money per unit of quantity of a good or service, or it may be calculated ad valorem as a specified percentage of the price per unit. A subsidy may also be calculated as the difference between a specified target price and the market price actually paid by a buyer.