File No. SS-UP-BIZ-002 · Uttar Pradesh State Scheme · MSME & Export Promotion Department

ODOP Margin Money Scheme (Uttar Pradesh)

A margin-money grant of 25% (up to ₹6.25 lakh) on projects costing up to ₹25 lakh for units making their district's One District One Product item, scaling down to 10% for larger projects.

What this scheme offers

One District One Product (ODOP) is Uttar Pradesh's strategy of backing one signature product in each of its 75 districts — Varanasi silk, Agra leather, Moradabad brassware, Lucknow chikankari, Firozabad glass and so on. The margin-money scheme is its financing arm: a unit that makes the district's ODOP product and takes a bank loan gets part of the project cost as a grant, which cuts the amount the entrepreneur must put in. The grant is 25% of the project cost (maximum ₹6.25 lakh) for projects up to ₹25 lakh; ₹6.25 lakh or 20%, whichever is higher, for ₹25–50 lakh; ₹10 lakh or 10%, whichever is higher, for ₹50–150 lakh; and 10% capped at ₹20 lakh above ₹150 lakh.

Who is eligible

  • Resident of Uttar Pradesh aged at least 18; there is no educational qualification requirement.
  • The unit must make or process the ODOP product identified for your district — artisans, weavers, craftsmen, farmers, women entrepreneurs and MSME units are all covered.
  • A new or expanding project financed with a bank loan.
  • The applicant or unit must not be a defaulter of any bank, financial institution or government body.

Documents required

  • Aadhaar card
  • Proof of Uttar Pradesh residence
  • Detailed project report and quotations for machinery
  • Proof that you make the district's ODOP product (artisan certificate or unit registration, where applicable)
  • Bank account details
  • Passport-size photograph

How to apply

  1. Check which product is the ODOP item for your district on the ODOP portal (odopup.in).
  2. Prepare a project report and fix the project cost, which decides the margin-money slab.
  3. Apply online on the UP MSME or ODOP portal for the margin-money scheme and upload the documents.
  4. The District Industries Centre (DIC) verifies the application and forwards it to the bank.
  5. After the bank sanctions the loan, the margin money is released against the project as per the scheme guidelines.