On April 02, 2025, the Department for Promotion of Industry and Internal Trade (“DPIIT”), under the Ministry of Commerce and Industry, revised the eligibility criteria for the issuance of Industrial Entrepreneur Memorandum (“IEM”) acknowledgment. This move follows the recent Gazette Notification No. S.O. 1364(E), dated March 21, 2025, by the Ministry of Micro, Small, and Medium Enterprises, which updated the classification thresholds for Micro, Small, and Medium Enterprises (“MSME”). The provisions laid hereunder shall be effective from April 01, 2025.[1]
The enterprises shall be eligible for IEM acknowledgment if they have:
- Investment in plant & machinery/ equipment exceeding INR 125 crores (Indian Rupees One Hundred and Twenty-Five Crores Only), or
- Annual turnover exceeding INR 500 crores (Indian Rupees Five Hundred Crores Only)
This marks a significant increase from the earlier thresholds of INR 50 crores (Indian Rupees Fifty Crores Only) in investment and INR 250 crores (Indian Rupees Two Hundred and Fifty Crores Only) in turnover and is aimed at fostering large-scale industrial growth and aligning with the revised MSME definitions. The IEM shall be applicable to large-scale units in sectors not requiring compulsory industrial licensing under the Industries (Development & Regulation) Act, 1951.
The eligible enterprises may submit their applications through the G2B Portal under the new criteria.
[1] https://dpiit.gov.in/sites/default/files/pressNote_Series2025_02April2025.pdf