Industrial areas · Surat, Hazira, Sachin and Navsari
Incentives for a unit in Sachin GIDC: category, subsidies and filing
Sachin GIDC — about 700 hectares notified in 1993 south of Surat, with Surat SEZ and the Surat Apparel Park beside it — is the city’s textile estate: weaving, dyeing and printing, embroidery and garments, with dyes and chemicals, engineering and packaging around them. Chorasi taluka is Category B under the Viksit Gujarat Industrial Policy 2026: 25% capital subsidy, 7% interest and ₹1 a unit for an MSME within a 35% ceiling, and five years of electricity duty exemption on DGVCL’s bills — ten for a new unit in Surat SEZ. We file every scheme that applies, and run VGIP 2026 against the Gujarat Textile Policy 2024 before a textile unit registers under either.
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Chorasi taluka, Surat district: Category B in the taluka GR of 8 September 2026, with Surat City, Olpad, Palsana, Mangrol, Kamrej, Mandvi and Bardoli; Umarpada, Mahuva and Ambika are the district’s Category A talukas.
- Bcategory of Chorasi taluka — Sachin GIDC, Surat SEZ, the Apparel Park and Hazira
- 700 hanotified in 1993; the common effluent treatment plant serves the estate’s processing houses
- 5 / 10 yrselectricity duty exemption from the date production starts: five years in the estate, ten for a new unit in Surat SEZ
On this page
Sachin GIDC at a glance: taluka, category, DISCOM and offices
Sachin GIDC is Category B, billed by DGVCL, sanctioned through the District Industries Centre, Surat for MSME claims and the Industries Commissionerate for Large units, and served by DGFT Regional Authority Surat for EPCG, with bonded cargo clearing through the Custom House at Hazira or the air cargo complex at Surat airport. Those facts fix every figure on this page; the estate’s own details are below.
- Taluka and category
- Chorasi taluka, Surat district — Category B under GR IMD/HMR/e-file/9/2026/2211/I of 8 September 2026
- The estate
- About 700 hectares notified in 1993; textiles — weaving, processing, embroidery, garments — with dyes and chemicals, engineering and packaging; a common effluent treatment plant run by the estate’s industries; Surat SEZ (a multi-product zone) and the Surat Apparel Park adjoin it
- Access
- NH-48 and the Sachin railway station on the Mumbai–Ahmedabad line; Surat airport about 12 km; Hazira port about 25 km
- DISCOM
- DGVCL (Dakshin Gujarat Vij Company), through its Sachin division; Torrent Power’s licence covers Surat city
- DGFT (EPCG)
- Regional Authority Surat; the Development Commissioner, Surat SEZ, for units inside the zone
- Customs (MOOWR)
- The Customs Commissionerate with jurisdiction over the plant issues the licence; cargo clears at Hazira or Surat airport
- Sanctioning offices
- District Industries Centre, Surat, for MSME claims; Industries Commissionerate, Gandhinagar, for Large, Mega and Ultra Mega units; CEICED, Gandhinagar, for the electricity duty exemption
Plot allotment, transfer and building permissions are GIDC’s processes, run through its portal and regional office. This page is about the incentives a unit here can claim once it has a plot — what each pays, which office pays it and by when it must be filed.
What a unit in Sachin GIDC earns under VGIP 2026
The table reads the three VGIP 2026 GRs for Chorasi taluka, which is Category B. The MSME column is where most plots here fall; the Large columns are the general-sector and thrust-sector matrices of the GR of 8 September 2026. Electricity duty exemption and EPF reimbursement are statutory and sit outside the ceiling in every column.
Swipe sideways to see every column
| Component | MSME, Category B | Large, general sectors (B) | Large, thrust sectors (B) |
|---|---|---|---|
| Capital subsidy | 25% of EFCIover 5 years; micro units in one instalment | 10% of EFCIover 10 years | 15% of EFCIover 8 years |
| Interest subsidyon the term loan; 8% for women, first-generation and registered start-up MSMEs | 7% a year5 years, up to 10% of EFCI | 7% a year10 years, up to 10% of EFCI | 7% a year8 years, up to 15% of EFCI |
| Power tariff subsidyon units bought from the DISCOM | ₹1 a unit5 years, up to 25% of EFCI | ₹1 a unit10 years, up to 10% of EFCI | ₹1 a unit8 years, up to 15% of EFCI |
| Combined ceilingthe three above, together | 35% of EFCIover 5 years; 7% a year for small and medium units | 15% of EFCIover 10 years; 1.5% a year | 25% of EFCIover 8 years; 3.5% a year |
| Electricity duty exemption | 100% for 5 years from the date production starts10 years for a new SEZ unit; statutory under the Gujarat Electricity Duty Act 1958, outside the ceiling, the same for every size and category | ||
| EPF reimbursement | 100% for 5 yearsof the employer’s EPF on new employees, up to ₹1,800 / ₹2,500 / ₹3,000 a month; outside the ceiling | 100% for 10 yearsof the employer’s EPF on new employees, same monthly caps; outside the ceiling | 100% for 8 yearsof the employer’s EPF on new employees, same monthly caps; outside the ceiling |
The ceiling, not the rates, usually sets the number. Capital, interest and power tariff subsidy together cannot exceed 35% of EFCI over five years for an MSME in a Category B taluka (45% in Category A), and 15% over ten years for a Large unit in a general sector (25% over eight for a thrust sector). A power-hungry plant that could earn more than that from the power tariff subsidy alone is therefore placed in the components that pay earliest and most reliably — which is a filing decision, not a formula.
Which incentives apply in Sachin GIDC
The package is the State’s, not the estate’s: what Sachin GIDC fixes is the rate (Category B), the DISCOM whose bills carry the power tariff subsidy and the electricity duty, and the offices that take each file — DGVCL’s bills as the claim documents, the District Industries Centre at Surat for MSME claims, Regional Authority Surat for EPCG and the Custom House at Hazira for bonded cargo.
Capital subsidy in Gujarat
25% of eligible fixed capital investment for an MSME in a Category B taluka (35% in Category A); 10% to 35% for Large, Mega and Ultra Mega units, paid in annual instalments within the combined ceiling.
Interest subsidy in Gujarat
7% a year on the term loan in every taluka, 8% for women, first-generation and registered start-up MSMEs; the unit bears at least 2%. Five years for MSMEs, capped at 10% of EFCI; eight to twelve years for larger units.
Power tariff subsidy in Gujarat
₹1 a unit on power bought from DGVCL in the Category B talukas (₹2 in Category A), for five years for MSMEs, capped at 25% of EFCI. Captive power does not count; an expansion claims only its additional consumption on a sub-meter.
Electricity duty exemption in Gujarat
No electricity duty — 15% of consumption charges on HT, 10% on LT — for five years from the date production starts, ten for a new SEZ unit. Applied for at CEICED within 90 days of production; statutory, outside the VGIP ceiling, and available inside GIDC estates.
MOOWR and EPCG
No customs duty upfront on imported machinery and inputs under MOOWR (duty on inputs only when goods are sold in India), or zero duty under EPCG against exports of six times the duty saved within six years, filed at Regional Authority Surat. Central schemes, so they stack on the Gujarat package.
EPF reimbursement and the connection refund
100% of the employer’s EPF on new employees, up to ₹1,800 to ₹3,000 a month each, for five years (MSMEs) to ten, outside the ceiling. And for MSMEs outside GIDC estates and approved parks, 35% of the DISCOM’s service-line charges back, up to ₹5 lakh.
What Sachin GIDC makes, and the schemes that fit
What the estate makes decides which component carries the money: power-heavy plants live on the power tariff subsidy and the duty exemption, machinery-heavy plants on the capital and interest subsidy and the customs schemes, labour-heavy plants on EPF. The estate’s sectors and the components that matter most for each:
Swipe sideways to see every column
| Sector | Where | Schemes that usually matter most |
|---|---|---|
| Weaving: water-jet, air-jet and rapier looms | Across the estate | Capital and interest subsidy on the looms and the shed; EPCG scheme on imported looms; the electricity duty exemption in Gujarat; the Gujarat Textile Policy 2024 compared first |
| Dyeing, printing and processing | Sachin, Pandesara | power tariff subsidy in Gujarat on the processing load, the electricity duty exemption for five years, capital subsidy on new plant; CETP membership |
| Embroidery, garments and made-ups | Apparel Park, Sachin | EPF reimbursement in Gujarat on new hires — the labour-heavy end of the chain; capital and interest subsidy; 8% interest subsidy for a woman entrepreneur |
| Dyes, chemicals and auxiliaries | Sachin GIDC | Power tariff subsidy, electricity duty exemption, interest subsidy on the term loan; the chemical thrust matrix for Large units with CETP access |
| Engineering, packaging and textile machinery | Sachin GIDC | Capital and interest subsidy; MOOWR scheme or EPCG on imported machine tools; GeM registration for government buyers |
Worked example: a weaving MSME in Sachin GIDC
A new weaving unit on a Sachin plot with ₹6 crore of eligible investment, a ₹3.5 crore term loan and a 400 kW connection, filed under VGIP 2026. Chorasi is Category B: 25%, 7% and ₹1 a unit, with a 35% combined ceiling.
₹6 crore weaving unit, Sachin GIDC
Forty-eight water-jet looms, a warping machine and a humidification plant; a small enterprise by plant-and-machinery value.
- Eligible fixed capital investment (plant, machinery, building; land excluded): ₹6 crore
- Term loan of ₹3.5 crore at 9.5%, 7-year tenure with a 1-year moratorium, repaid in equal annual instalments; the unit bears 2.5% after the 7% subsidy
- Contracted load 400 kW, run 6,000 hours a year — 2.4 million units bought from the DISCOM
- Small enterprise, weaving, new unit; VGIP 2026 chosen over the Gujarat Textile Policy 2024 for the same investment
- Capital subsidy, 25% of EFCI₹1.5 crore
- Interest subsidy, 7% on the balance for 5 years (₹98 lakh before the 10% cap)₹60 lakh
- Power tariff subsidy, ₹1 a unit on 2.4 million units a year for 5 years (₹1.2 crore before the 25% cap)₹1.2 crore
- The three components added₹3.3 crore
- Combined ceiling, 35% of EFCI over 5 years₹2.1 crore
₹2.1 crore under VGIP 2026, not ₹3.3 crore. The three components add up to more than the combined ceiling, so the ceiling is the answer — and the file is built so the weaving unit reaches it in five years, with the electricity duty exemption in Gujarat and EPF reimbursement claimed on top, outside the ceiling.
Figures are illustrative and rounded; eligible fixed capital investment excludes land, working capital and second-hand machinery, and the interest subsidy runs only on the term loan actually disbursed. Our capital subsidy worked example, interest subsidy worked example and power tariff subsidy worked example walk through each component year by year, and the Gujarat subsidy calculator applies the right category to any plot.
How a claim runs for a unit in Sachin GIDC
A file from Sachin GIDC passes through the District Industries Centre at Surat for MSME claims, the Industries Commissionerate in Gandhinagar for Large units and above, CEICED online for the electricity duty exemption, Regional Authority Surat for EPCG and the jurisdictional Customs Commissionerate for MOOWR. We prepare, file and follow each one.
Fix the category and the dates
We read the plot’s taluka from the land record, confirm its category in writing, and set the project’s dates: investment counted from 1 January 2026, the date of commercial production, and the first deadline that follows from it.
Before you spendRegister where the size requires it
Large, Mega and Ultra Mega units register with the Industries Commissionerate before production or by 8 December 2026, whichever is later; MSMEs need no registration step but apply for the provisional or final eligibility certificate within six months of the date of commercial production.
Before productionFile the statutory and central applications on their own clocks
The electricity duty exemption online to CEICED within 90 days of production; the MOOWR application to the jurisdictional Customs Commissionerate before the first bonded import; EPCG at Regional Authority Surat before the machinery lands.
To each scheme’s clockClaim with the sanctioning office
The District Industries Centre at Surat takes the MSME claims for capital, interest and power tariff subsidy, the quarterly EPF claims and the connection refund; the Industries Commissionerate takes the Large claims. Queries and asset verification are answered on site.
Follow every instalment
Annual instalments over five years for small and medium units, quarterly EPF, MOOWR returns, and the DISCOM’s refund of duty paid before the exemption certificate — tracked until the money is in the account.
The dates that decide a claim in Sachin GIDC
Four dates do most of the work in a VGIP 2026 claim, and the estate does not move any of them. Investment counts from 1 January 2026; Large, Mega and Ultra Mega units register before production or by 8 December 2026, whichever is later (our note on the 8 December 2026 registration deadline); the electricity duty exemption is applied for within 90 days of first production; and production must start before the operative period ends on 31 May 2031.
- 1 Jan 2026Assets bought and paid for from this date count as eligible investment
- 8 Dec 2026Registration deadline for Large, Mega and Ultra Mega units, or before production if later
- 90 daysAfter production starts: electricity duty exemption application to CEICED
- 31 May 2031The operative period ends; production must start within it
MSMEs apply for the provisional eligibility certificate within six months of the date of commercial production or of 25 September 2026, whichever is later; a late application within two years is accepted with the incentive reduced in proportion to the delay. The power connection refund is claimed within six months of paying the DISCOM’s charges; EPCG is authorised before the machinery is imported; a MOOWR licence is in place before the first bonded consignment.
Sachin GIDC: questions we get asked
Is Sachin GIDC Category A or Category B under VGIP 2026?
Category B. The estate lies in Chorasi taluka of Surat district, which the taluka GR of 8 September 2026 lists as Category B with Surat City, Olpad, Palsana, Mangrol, Kamrej, Mandvi and Bardoli; the district’s Category A talukas are Umarpada, Mahuva and the new Ambika taluka. An MSME in the estate earns 25% capital subsidy, 7% interest subsidy and ₹1 a unit, within a 35% ceiling. We confirm the category in writing before you file.
Textile unit at Sachin: Gujarat Textile Policy 2024 or VGIP 2026?
One or the other for the same investment, because the MSME GR bars a unit that has taken any State incentive on the same fixed capital investment from claiming again under VGIP 2026. The textile policy pays its own capital and power support on its own conditions; VGIP 2026 pays 25% capital subsidy, 7% interest and ₹1 a unit in Category B within a 35% ceiling. We run both on the project’s figures before registration — the choice is made once.
Does a unit in Surat SEZ get the electricity duty exemption for ten years?
Yes: a new industrial unit in a special economic zone is exempt for ten years from the date production starts, against five years in Sachin GIDC or the Apparel Park. The application still goes to CEICED within 90 days of production, and DGVCL stops charging the duty once the certificate reaches it.
Which DISCOM bills Sachin GIDC — Torrent Power or DGVCL?
DGVCL, through its Sachin division; Torrent Power’s licence covers Surat city. It does not change the subsidy — ₹1 a unit is paid on power bought from any distribution licensee in a Category B taluka — and both charge electricity duty until CEICED’s exemption certificate reaches them.
We do job-work processing for other mills. Are we eligible?
The MSME GR defines an enterprise as one engaged in the manufacturing, production, processing or job work of articles, so a job-work processing house is an enterprise under the scheme; eligibility then turns on the usual tests — a new unit or a qualifying expansion, production within the operative period, no earlier State incentive on the same investment, and Udyam registration or an IEM.
Does a unit inside Sachin GIDC or the Apparel Park get the power connection refund?
No. The 35% refund of DGVCL’s service-line charges, up to ₹5 lakh, is for MSMEs outside GIDC estates and approved industrial parks; a unit on private land around Palsana, Kadodara or Kim qualifies, a plot inside the estate or the park does not. Every other component applies inside both.
Does a woman-owned weaving or garment unit get more?
One percentage point more interest subsidy — 8% a year instead of 7%, within the same 10% of EFCI cap over five years — for a woman entrepreneur, a first-generation entrepreneur or a registered manufacturing start-up. The capital subsidy, power tariff subsidy and ceiling are unchanged.
Where is EPCG filed for a Sachin unit?
At the DGFT Regional Authority in Surat, whose jurisdiction under Appendix 1A covers Surat, Navsari, Valsad, Tapi and Dang. Imported looms and processing machinery enter at zero duty against an export obligation of six times the duty saved within six years; the authorisation must be issued before import. A unit inside Surat SEZ imports duty-free under the SEZ Act instead.
Legal basis and official sources
Every rate on this page is the published term of the scheme it links to, read from the GRs and the Act; the taluka categories come from the taluka GR’s annexure.
Classification of talukas: Category A and B
Annexure-A lists all 268 talukas, district by district, as Category A or Category B — the source for every category on this page.
Download the GRScheme for assistance to MSMEs
Capital, interest and power tariff subsidy, EPF reimbursement and the power connection refund: rates, periods, ceilings and sanctioning authorities.
Download the GRScheme for assistance to Large, Mega and Ultra Mega industries
The general, thrust and selected-thrust matrices, the registration rule, PEC and FEC timelines and the sanctioning committees.
Download the GRNotes. Taluka categories are read from the annexure to the taluka GR; DISCOM areas from the distribution licences in force; DGFT jurisdictions from Appendix 1A of the Handbook of Procedures; Customs jurisdictions from CBIC Notification 21/2022-Customs (N.T.) of 31 March 2022; estate area and notification year from GIDC’s estate list; sector descriptions are ours. Estate boundaries, approved-park status and the DISCOM for a specific plot are confirmed with the GIDC, the DISCOM and the District Industries Centre before filing. Scheme notices are published by the Industries Commissionerate, Gujarat.
We work with textile and processing units across Sachin, Pandesara and Palsana from our office in Ahmedabad: the eligibility check is free and names every scheme, figure and deadline for your plot.
- Taluka category confirmed in writing before you commit to the plot
- Registration and eligibility certificates timed to the date of commercial production
- Electricity duty exemption filed with CEICED within 90 days; MOOWR and EPCG before the first import
- Claims filed and followed at the District Industries Centre at Surat
Setting up or expanding in Sachin GIDC?
One free eligibility check: the category confirmed in writing, every scheme that applies to the plot, the figures and the first deadline.