Introduction
Updated for November 2025. Save this guide if you run a factory, D2C brand, or tech startup in Pune—this is your playbook to claim what you’re eligible for and avoid common filing mistakes.
TL-DR (what’s changed in 2025)
- MSME classification thresholds were raised in Union Budget 2025–26 (investment + turnover limits), expanding the pool that can officially qualify as micro/small/medium and access benefits. The budget note also doubles certain credit guarantee caps. Press Information Bureau
- PSI-2019 (Maharashtra’s flagship industrial incentive) remains in force with amendments; a May 14, 2025 GR clarifies expansion/diversification eligibility (minimum addl. investment & capacity increase, local hiring conditions). MIDC
- MAITRI 2.0 single-window went live in Feb 2025 with an incentives calculator & end‑to‑end e-filing—good news for Pune units.
- Maharashtra Startup, Entrepreneurship & Innovation Policy 2025 introduces a state “Maha‑Fund”, a 300‑acre Innovation City, and subsidised loans for 25,000 entrepreneurs; expect programmes/rollouts via MSInS & MAITRI.
1) Udyam 2025: your on‑ramp to central benefits
Why register (or migrate) to Udyam?
· Formal MSME status unlocks procurement benefits, credit support, lean/quality schemes, IPR reimbursements and more. Registration is free, paperless, and self‑declaration‑based on the official portal.
What changed this year?
· Union Budget 2025–26 raised the investment & turnover limits for MSME classification (2.5× and 2× respectively in the budget note), and enhanced credit guarantee coverage for micro & small firms and startups—wider eligibility and bigger ticket sizes.
Procurement & payment protections
· Public Procurement Policy: central ministries/CPSEs must source 25% from MSEs (within that, 4% SC/ST and 3% women‑owned). Use this in your bid strategy.
· 45‑day payment rule under MSMED Act with MSE Facilitation Councils + MSME Samadhaan for delayed payments.
Action for Pune MSMEs: Get/renew Udyam now on the official domain (avoid look‑alike sites).
2) Central schemes Pune businesses actually use (and where to apply)
PMEGP (KVIC) – credit‑linked subsidy to start/expand micro enterprises
· Project caps: up to ₹50 lakh (manufacturing) and ₹20 lakh (services). Margin subsidy varies by category. Details & process in the 2025 MSME Schemes booklet.
CGTMSE – collateral‑free loans with government guarantee
· Budget 2025–26 increases the guarantee cover ceiling, enabling larger sanctioned amounts for micro/small units; startups also see higher cover limits. Use this to negotiate better with lenders.
ZED (Zero Defect Zero Effect) – quality, sustainability, export‑readiness
· Government subsidises ZED certification fees (Bronze/Silver/Gold) and follow‑on handholding; application via zed.msme.gov.in (listed in the official schemes booklet).
MSME Innovative (Incubation–IPR–Design)
· GoI contributions include: up to ₹1 crore for IP Facilitation Centres; IPR reimbursements (e.g., up to ₹5 lakh for foreign patents); design projects supported up to ₹40 lakh (75% Micro; 60% Small/Medium). Apply on the programme portal referenced in the booklet.
MSME Competitive (Lean)
· Government contributes a significant portion of implementation costs for Intermediate/Advanced lean levels; good fit for Pune’s auto/engineering suppliers.
3) Maharashtra Package Scheme of Incentives (PSI‑2019) — still the big lever
Where it applies
· PSI classifies locations into Group A/B/C/D/D+, No‑Industry, Naxal‑affected & Aspirational areas; incentives vary by group (Pune city pockets are typically A/B; peripheral industrial belts can differ—verify your taluka group from Annexure I in the GR).
What you can get (core MSME/LSI benefits)
· Industrial Promotion Subsidy (IPS) primarily via refund of SGST paid on first sale of eligible products (MSMEs: up to 100% of Gross SGST; LSI rules differ). This is the single largest component in most claims.
· Interest subsidy on term‑loan interest actually paid (subject to caps/conditions).
· Electricity duty exemption (largely for units outside Group A/B; specific IT/BT exceptions).
· Stamp duty waiver during investment period (full/partial depending on area and unit type; IT/BT Parks have specific rates; large/mega projects get partial waiver).
· Power tariff subsidy for eligible MSMEs (geography‑linked per policy).
2025 amendment you should know (Expansion/Diversification)
· A May 14, 2025 corrigendum tightens and clarifies expansion eligibility across all groups (A to D+):
· Additional FCI must exceed 25% of existing gross block, min. ₹25 lakh for MSMEs (higher thresholds for non‑MSME/LSI).
· Installed capacity must increase ≥25% (for expansion/expansion‑cum‑diversification).
· Employment must rise ≥10%, with 80% local hiring for the incremental headcount.
· Other PSI‑2019 terms continue unchanged.
Critical compliance gotchas (we see these often):
· Inter‑state supplies don’t earn SGST refunds; IPS counts only on first sale within Maharashtra. Plan your channel mix accordingly.
· Separate GST registration may be required for expansion claims (see PSI clause on separate registration).
· Employment criteria (for employment‑based categories) must be maintained through the claim year or IPS for that year can be denied.
4) Filing PSI online from Pune (MAITRI/ERIMS)
Your filing stack:
1. MAITRI 2.0 account (state single‑window; launched Feb 4, 2025); has an Incentive Calculator to estimate eligibility.
2. ERIMS (Entrepreneurs Registration & Incentives Management System)—the DoI incentives workflow: create unit profile → select PSI service → upload docs → track status.
3. PSI services also visible on the Directorate of Industries portal (Apply: EC, Stamp Duty Certificate, Sanction of Incentives).
4. MAITRI/ MIDC single‑window pages for allied approvals, plot services & login.
PSI timing rule that trips many applicants:
· File a valid EC application on or before the date of commercial production; late applications curtail your eligibility period/amount. (Don’t wait for your first large sale.)
Who can help locally?
· District Industries Centre (DIC), Pune and the Joint Director of Industries, Pune Region support PSI & CMEGP beneficiaries; MAITRI lists DIC contacts by district.
5) Maharashtra Startup Policy 2025: what Pune founders should track
· The Maharashtra Startup, Entrepreneurship & Innovation Policy 2025 targets 50,000 startups and ~1.25–1.3 lakh entrepreneurs in five years, including a ₹500‑crore “Maha‑Fund”, subsidised ₹5–10 lakh loans for 25,000 early‑stage entrepreneurs, Innovation City (300 acres), micro‑incubators in ITIs, and 0.5% departmental budgets earmarked for innovation. Expect programmes to be administered via MSInS and routed through MAITRI.
6) Sector policies that stack with PSI (useful for Pune)
Pune’s strengths in auto/engineering, EVs, logistics, IT/BT and deep‑tech let you stack general PSI with sector‑specific frameworks:
· Maharashtra Logistics Policy 2024 – incentives & facilitation for logistics parks/warehousing, multi‑modal connectivity, MSME support—relevant for Chakan–Talegaon–Ranjangaon corridors.
· Thrust Sector GR (Feb 22, 2024) – special status/incentives for hi‑tech & thrust sectors on top of PSI/sectoral policies (useful for deep‑tech manufacturing).
· State policy list (MAITRI) – quick way to confirm latest IT/ITeS, EV, Textiles, Export & Green Hydrogen policies.
7) Pune startup & MSME ecosystem: where to plug in
- Venture Center (CSIR‑NCL) – one of India’s leading science & deep‑tech incubators (biotech/materials/chem).
- COEP’s Bhau Institute – incubation, programmes & local/global networks.
- AIC‑SEED (IISER Pune) – deep‑science incubation (virtual & physical programmes).
- MCCIA Innovation & Incubation – chamber‑led connections & initiatives (including a women‑focused incubator).
8) Worked scenario (for planning your numbers)
A Pune engineering MSME starting production in 2026 in a PSI‑eligible area:
· Register on Udyam (immediately) → unlock central schemes and procurement benefits.
· Run the MAITRI incentive calculator to estimate IPS window & caps.
· File PSI EC before first commercial production; ensure separate GST registration if it’s an expansion unit.
· Structure sales to maximise SGST‑linked IPS (domestic within Maharashtra), and claim interest subsidy/stamp duty/electricity duty as eligible.
· Layer ZED/Lean for quality and cost competitiveness; use CGTMSE to negotiate collateral‑free working capital.
