ZED Certification Scheme

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The MSME Sustainable ZED Certification Scheme is a key initiative by the Government of India to help your MSME become a world-class, quality-driven, and sustainable business. The scheme promotes Zero Defect Zero Effect, meaning you’ll produce high-quality products with minimal environmental impact. This supports the national goals of ‘Make in India’ and sustainable growth, helping your business stay competitive and eco-friendly.

What is the ZED Certification Scheme?

The ZED Certification Scheme is a complete initiative to help your MSME adopt the best manufacturing practices, reduce waste, and improve energy efficiency. The scheme offers three levels of certification: Bronze, Silver, and Gold, based on how mature your business is in terms of quality and sustainability. You’ll also receive financial support to help upgrade your processes, making it easier for your business to become globally competitive.

The scheme is ongoing, with continuous support for MSMEs to upgrade their operations and achieve higher certification levels.

Objectives of the ZED Certification Scheme

  • The scheme promotes Zero Defect Zero Effect (ZED) practices, helping you produce high-quality products with minimal environmental impact.
  • It enables you to use advanced technology to manufacture better products and stay competitive.
  • The scheme creates an ecosystem for ZED manufacturing, boosting competitiveness and making it easier to export your products.
  • Recognition and incentives are provided for MSMEs that successfully adopt ZED practices.
  • The scheme encourages continuous improvement through graded incentives, helping your business grow steadily.
  • It raises public awareness about the quality and sustainability of ZED products.
  • By identifying areas for improvement, it also helps with government policy-making to support businesses like yours.

Key Features of the MSME ZED Certification Scheme

  • You can earn Bronze, Silver, or Gold certifications based on your business’s quality and sustainability maturity.
  • The scheme offers subsidies for certification, consultancy, and technology upgrades to help improve your business.
  • Your manufacturing processes, quality controls, and environmental management will be evaluated to make sure you're meeting the standards.
  • Higher certification levels unlock greater incentives and recognition, helping your business stand out.
  • The scheme helps you meet global standards, making it easier for you to access international markets and grow your reach.

ZED Certification Levels

Certification

Level

Fees

Description

Bronze

1

₹ 10,000/-

Basic compliance with ZED parameters

Silver

2

₹ 40,000/-

Advanced practices in quality and sustainability

Gold

3

₹ 90,000/-

World-class standards in quality and sustainability

Subsidy Offered on ZEN Certification

  • Joining Reward of Rs. 10,000/- (Bronze will become free if availed)
  • Micro Enterprises: 80%
  • Small Enterprises: 60%
  • Medium Enterprises: 50%

Additional Subsidy

  • 10% extra for MSMEs owned by SC/ST/Women or located in the North Eastern Region, Himalayan, Left Wing Extremism, island territories, or aspirational districts.
  • 5% extra for MSMEs under SFURTI or Micro & Small Enterprises-Cluster Development Programme.

Financial Assistance under the MSME ZED Certification Scheme

Benefit Area

Description

Financial Assistance in Testing/Quality/Product Certification

Up to 75% of total cost, maximum subsidy ₹50,000/-

Handholding Support

Up to ₹2,00,000/- for consultancy for all ZED-certified MSMEs

Support in Technology Upgradation for Zero Effect Solutions

Up to ₹3,00,000/- for all ZED-certified MSMEs

MSME KAWACH Certification

Support for COVID-19 risk mitigation after WASH Standard Certification

Graded Incentives

Incentives linked to ZED Certification Level (Bronze, Silver, Gold); state incentives integrated

Eligibility Criteria for MSME ZED Registration

Eligibility

  • If your business is a Micro, Small, or Medium Enterprise (MSME) and registered on the Udyam portal, you can apply.
  • Both manufacturing and service-based MSMEs are eligible for registration.

Non-Eligibility

  • Large enterprises (non-MSMEs) cannot apply.
  • Unregistered businesses or those without a valid Udyam certificate are not eligible.
  • Enterprises involved in hazardous or polluting activities cannot register.

Documents Required for ZED Certification Scheme

  • Udyam Registration Certificate
  • PAN Card & GST Registration
  • Business Bank Account details
  • ISO/BIS Certification (if available)
  • Energy & Waste Management records
  • Financial statements & compliance reports

How to Apply for the ZED Certification Scheme?

Step 1: Visit the official ZED portal.

Step 2: Click “Register Now” under the ZED Certification window.

Step 3: Enter your Udyam Registration Number and associated mobile number for validation.

Step 4: Select your plant location and activity.

Step 5: Confirm your email ID and take the ZED Pledge.

Step 6: You’ll receive your ZED ID, password, and pledge certificate via email.

Step 7: Log in with your credentials to access the dashboard.

Step 8: Proceed with your application and collect your joining rewards.

Benefits of the MSME ZED Certification Scheme

  • Better Product Quality

With ZED certification, you can achieve higher standards of product quality, making your business more competitive both in domestic and international markets.

  • Improved Environmental Sustainability

By adopting ZED practices, you’ll reduce waste and energy consumption, helping your business become more eco-friendly and sustainable.

  • Financial Incentives

You’ll receive subsidies and financial support, making the cost of certification, consultancy, and technology upgrades much lower.

  • Increased Market Access

ZED-certified MSMEs like yours are given recognition and preference in public procurement, exports, and supply chains, opening up new opportunities.

  • Structured Support and Guidance

You’ll have access to expert consultancy and hands-on support to help you implement the best practices efficiently.

  • Risk Mitigation

Special provisions, like the MSME KAWACH (Knowledge Acquisition through WASH for an Accelerated COVID-19 Handling) certification, help you prepare for and handle risks, such as COVID-19, making your business more resilient.

Real-World Examples of the ZED Certification Scheme

  • MSME in Electronics Sector Achieving Gold ZED Certification
  • Textile MSME Leveraging ZED for Export Growth
  • Women-led MSME Benefiting from Additional Subsidy
  • MSME from North-East India Attaining Bronze Certification

Scheme

How It Links with the ZED Certification Scheme

Credit Linked Capital Subsidy Scheme (CLCSS)

You can use CLCSS to get a subsidy for upgrading your machinery and technology, which helps you meet ZED quality and sustainability standards.

SFURTI Scheme

If you are part of a traditional industry cluster, you get extra subsidies for ZED certification, and SFURTI helps you upgrade your cluster’s quality and branding.

Micro & Small Enterprises Cluster Development Programme (MSE-CDP)

If you are in a cluster, you can get an additional subsidy for ZED certification, and MSE-CDP helps your cluster with shared facilities and infrastructure.

Final Word

The MSME Sustainable ZED Certification Scheme is a game-changer for your business. It provides a clear path to improving quality, adopting sustainable practices, and becoming globally competitive. With financial support, expert guidance, and recognition, you can position your MSME as a leader in the new era of responsible manufacturing.

Frequently Asked Questions

1. Is ZED certification mandatory for MSMEs?

It is a voluntary scheme offered by the government to help MSMEs improve their competitiveness and adopt sustainable practices.


2. What types of subsidies are available?

Subsidies cover certification, consultancy, and technology upgradation, with additional benefits for special categories.


3. How does ZED certification help my business?

It helps to improve quality, reduces waste, enhances reputation, global competitiveness, and sustainability while also opening doors to new business opportunities and financial incentives.


4. Where can I get more information or help?

Visit the official ZED portal or contact your local MSME Development Institute.

ZED Scheme for MSME Growth & Quality Boost - Bullit