Scheme Kosh

Intellectual Property Right (IPR) Scheme under MSME Innovative Scheme

Quick answer

The IPR component of the MSME Innovative Scheme reimburses micro, small and medium enterprises up to Rs 5,00,000 for a foreign patent, Rs 1,00,000 for a domestic patent and smaller amounts for GI, design and trademark filings, and gives grants of up to Rs 65,00,000 to set up IP Facilitation Centres. Apply online at innovative.msme.gov.in.

Apply on the official portal ↗ Helpline: 1800-111-955
Benefit
Reimbursement of IP filing costs and grants up to Rs 65 lakh for IP Facilitation Centres
Maximum benefit
Rs 65,00,000 (IP Facilitation Centre grant)
How to apply
Online (innovative.msme.gov.in)
Helpline
1800-111-955
MinistryMinistry of Micro, Small and Medium Enterprises
BenefitReimbursement of IP filing costs and grants up to Rs 65 lakh for IP Facilitation Centres
Maximum benefitRs 65,00,000 (IP Facilitation Centre grant)
Application modeOnline (innovative.msme.gov.in)
Helpline1800-111-955
Official websitehttps://innovative.msme.gov.in/

What is the IPR Scheme under the MSME Innovative Scheme?

The Intellectual Property Right (IPR) scheme is one of three sub-components of the MSME Innovative Scheme, run by the Ministry of Micro, Small and Medium Enterprises. The MSME Innovative Scheme merges three earlier initiatives: Incubation, Design and IPR, into a single umbrella programme aimed at helping small enterprises turn ideas into protected, marketable products.

The IPR component exists because most micro and small enterprises cannot afford the legal and filing costs of protecting an invention, brand or design. According to the MSME Innovative Scheme guidelines, the IPR component does two things: it reimburses enterprises for the cost of registering intellectual property, and it funds IP Facilitation Centres (IPFCs) that provide hand-holding to MSMEs across a region.

What the scheme reimburses

Under the published guidelines, an eligible enterprise can claim reimbursement up to the following ceilings:

  • Foreign patent; up to Rs 5,00,000
  • Domestic patent: up to Rs 1,00,000
  • Geographical Indication (GI) registration; up to Rs 2,00,000
  • Design registration: up to Rs 15,000
  • Trademark, up to Rs 10,000

These are reimbursements of actual, documented costs — filing fees paid to the Controller General of Patents, Designs and Trade Marks and associated attorney/agent charges; not upfront grants.

IP Facilitation Centre grant

For institutions, the scheme provides a grant of up to Rs 65,00,000 to set up and run an IP Facilitation Centre. An IPFC is hosted by a university, industry association, technology institute or similar body, and helps MSMEs in its area understand and file for patents, trademarks, GIs and designs.

Who is eligible for the IPR scheme?

You can apply for reimbursement if:

  • Your enterprise holds a valid Udyam Registration as a micro, small or medium enterprise.
  • You have filed for, or been granted, a patent, GI, design or trademark and can produce the application number or certificate.
  • You have invoices and receipts for the fees you want reimbursed.

An institution can apply for an IPFC grant if:

  • It is a registered university, technology institute, industry association, R&D institution or similar body capable of hosting and running the centre.
  • It agrees to serve MSMEs in its region and meet the scheme's reporting norms.

You cannot apply if:

  • You are a large enterprise or a firm without Udyam Registration, you are not eligible for the individual reimbursement.
  • You are an individual inventor with no registered enterprise; the reimbursement is tied to a registered MSME, so a private individual cannot apply for a personal benefit outside that structure.
  • You are seeking upfront funding to file, the component reimburses costs already incurred, it does not advance the fee.

What documents are required for the IPR scheme?

Document Mandatory Notes
Udyam Registration certificate Yes Proves micro/small/medium status
Proof of IP filing or grant Yes Application number or certificate
Invoices and payment receipts Yes Fees for which reimbursement is claimed
Bank account details Yes For DBT reimbursement
Institutional registration documents No Only for IPFC applicants

How to apply for the IPR scheme

  1. Go to the MSME Innovative portal at innovative.msme.gov.in.
  2. Register or log in with your enterprise's Udyam Registration details.
  3. Select the IPR component from the MSME Innovative Scheme menu.
  4. Enter your intellectual property details, the type (patent, GI, design or trademark), the application or registration number, and the office where it was filed.
  5. Upload the supporting documents; invoices, fee receipts and proof of filing or grant.
  6. Submit the claim and note the application reference number for tracking.
  7. Institutions seeking an IP Facilitation Centre grant apply through the same portal under the IPFC route, attaching their registration and a proposal.

After submission, the claim is examined by the ministry's implementing agency, and the approved reimbursement is paid to the enterprise's bank account.

How much benefit does the IPR scheme provide?

The IPR component reimburses documented IP filing costs up to the ceilings listed above: Rs 5,00,000 for a foreign patent down to Rs 10,000 for a trademark, and provides institutional grants of up to Rs 65,00,000 for an IP Facilitation Centre. Because reimbursement is capped and tied to actual costs, the benefit for a single enterprise is usually modest; the larger strategic value lies in the IPFC network that reduces the cost and complexity of protecting IP for many MSMEs at once.

Help and where to verify

  • MSME CHAMPIONS helpline: 1800-111-955
  • Portal: innovative.msme.gov.in

Because scheme ceilings and eligibility can be revised, confirm the current reimbursement limits and the IPFC grant amount on innovative.msme.gov.in before you file. No agent or middleman can guarantee approval of an IP reimbursement claim, and no fee is charged for registering on the portal.

Documents required

Udyam Registration certificate
The applicant enterprise must be a registered micro, small or medium enterprise.
Proof of IP filing or grant
Patent/GI/design/trademark application number or certificate from the Controller General of Patents, Designs and Trade Marks.
Invoices and payment receipts
Fees paid to the patent office, attorney or agent, for which reimbursement is claimed.
Bank account details
For the reimbursement to be paid by Direct Benefit Transfer.
Institutional registration documentsoptional
Required only for institutions applying to set up an IP Facilitation Centre (IPFC), not for individual enterprises.

Frequently asked questions

How much does the IPR scheme reimburse for a patent?

Under the MSME Innovative Scheme guidelines, an enterprise can claim up to Rs 5,00,000 for a foreign patent and up to Rs 1,00,000 for a domestic patent. Geographical Indication (GI) registration is supported up to Rs 2,00,000, design registration up to Rs 15,000 and trademark up to Rs 10,000. Amounts are reimbursements of actual costs, not upfront grants.

Who can apply for the IPR component?

Any enterprise with a valid Udyam Registration as a micro, small or medium enterprise can apply for reimbursement of its IP filing costs. Separately, eligible institutions, universities and industry bodies can apply for a grant to establish an IP Facilitation Centre (IPFC) that helps MSMEs file IP.

What is an IP Facilitation Centre?

An IP Facilitation Centre (IPFC) is a support centre, set up by an approved host institution, that guides MSMEs through patent, trademark, GI and design filing. The MSME Innovative Scheme provides a grant of up to Rs 65,00,000 to establish an IPFC, covering manpower, awareness and facilitation costs.

Is Udyam Registration compulsory for the IPR scheme?

Yes. Only enterprises holding a valid Udyam Registration number as a micro, small or medium enterprise are eligible to claim IP reimbursement. Large enterprises and unregistered firms cannot apply for the individual reimbursement benefit.

How do I apply for IPR reimbursement?

Applications are filed online on the MSME Innovative portal at innovative.msme.gov.in. You register the enterprise, select the IPR component, enter your IP application or grant details and upload invoices and receipts for the fees you want reimbursed.

Does the scheme pay the patent fee upfront?

No. The IPR component works on a reimbursement basis. The enterprise first pays the patent, GI, design or trademark fees itself, then claims the eligible amount back through the portal against invoices and proof of filing.

Which ministry runs the IPR scheme?

The Ministry of Micro, Small and Medium Enterprises runs the IPR component as one of three sub-components of the MSME Innovative Scheme, alongside Incubation and Design. It is administered through innovative.msme.gov.in.

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Written by Aapt Dubey, Author

Fact-checked by Rishu Dubey

Last fact-checked: 1 August 2026