MSME Champions
MSME Champions Scheme for Competitiveness & Sustainability
A holistic umbrella scheme of the Ministry of MSME that merges multiple technology upgradation and competitiveness schemes into three components – Sustainable (ZED), Competitive (Lean) and Innovative (Incubation, IPR, Design & Digital MSME) – to make Indian MSMEs globally competitive.
Who Can Apply?
Registered MSMEs
Micro, Small and Medium Enterprises with valid Udyam registration in manufacturing or services are eligible for most components.
Operational Units & Clusters
Enterprises or clusters willing to adopt ZED, Lean or innovation interventions and implement recommended improvements.
Innovation & Design Beneficiaries
For incubation and design support, MSMEs, individual innovators and sometimes students or startups associated with approved incubators can apply.
Willingness to Co-Fund
Beneficiaries usually contribute 5–10% or a specified share of project cost, with remaining funded by the scheme.
IPR & Digital Readiness
Units seeking IPR or Digital MSME support should have or plan basic documentation, prototypes or digital adoption roadmaps.
No Double Funding
Costs already subsidised under other government schemes for the same purpose generally cannot be claimed again under MSME Champions.
Key Features
MSME-Sustainable (ZED)
Supports MSMEs in obtaining ZED certification (Bronze, Silver, Gold) with high subsidy on certification cost and handholding to improve quality, safety and environmental performance.
MSME-Competitive (Lean)
Promotes Lean Manufacturing practices with expert consultants to reduce waste, improve productivity and lower costs; the scheme subsidises most of consultancy cost for MSME clusters.
MSME-Innovative – Incubation
Funds innovative ideas and prototypes through approved incubators, helping convert ideas into commercial MSME ventures.
MSME-Innovative – Design
Provides financial assistance for engaging design experts and institutions to improve product, packaging and brand design.
MSME-Innovative – IPR
Supports costs related to patent, trademark and other IPR filings and awareness so MSMEs can protect and monetise innovations.
Digital MSME Integration
Aims to encourage digital adoption (ERP, cloud, e-commerce, etc.) and is interlinked with other components for technology-driven competitiveness.
Scheme Benefits
Application Process
Ensure Udyam Registration
Get or update Udyam registration for your enterprise; this is a basic prerequisite for most MSME Champions components.
Select Relevant Component
Decide whether your immediate need is ZED certification, Lean, incubation, design improvement, IPR support or digital adoption and identify the right sub-scheme.
Apply via Official Portals / DIs
Submit applications online through ZED / MSME Champions / component portals or approach MSME Development Institutes for guidance and proposal submission.
Screening, Sanction & Implementation
Proposals are evaluated and, if approved, MSMEs work with empanelled consultants, incubators or agencies to implement projects and claim eligible subsidy.
Documents Required
Frequently Asked Questions
What are the main components of the MSME Champions Scheme?
The scheme has three core components – MSME-Sustainable (ZED), MSME-Competitive (Lean) and MSME-Innovative, which covers Incubation, IPR, Design and Digital MSME support.
Is MSME Champions a loan scheme?
No, it is primarily a subsidy and grant-based scheme that funds certification, consultancy, incubation and design/IPR activities to improve MSME competitiveness.
Who can apply under MSME Champions?
Any registered MSME with Udyam can typically apply for ZED and Lean; MSMEs, innovators and incubator-linked startups can apply for Innovative components, subject to detailed guidelines.
How much cost does the government bear?
Depending on the component and enterprise size, government support can go up to around 60–90% of eligible project or consultancy cost, with the balance contributed by the MSME.
Where can MSMEs apply or get help?
Applications are made through official portals such as ZED and MSME Champions, and MSME Development Institutes and the Champions portal provide handholding and clarifications.
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