Revision In Eligibility Criteria For Industrial Entreprenuers Memorandum (IEM) Acknowledgement - FEMA - PRESS NOTE NO. 1 (2025 Series)

Government of India Ministry of Commerce and Industry Department for Promotion of Industry and Internal Trade PRESS NOTE NO. 1 (2025 Series) REVISION IN ELIGIBILITY CRITERIA FOR INDUSTRIAL ENTREPRENUERS MEMORANDUM (IEM) ACKNOWLEDGEMENT As per the Gazette Notification S.O. 1364(E) dated 21st March 2025, issued by Ministry of Micro, Small, and Medium Enterprises (MSME) the eligibility criteria for classification of MSMEs has been revised. This revision marks a significant step towards fostering industrial growth, encouraging higher investments, and strengthening India s position as a global manufacturing hub. In line with this notification, Department for Promotion of Industry and Internal Trade (DPIIT) has updated the eligibility criteria for issuance of Industrial Entrepreneur Memorandum (IEM) acknowledgment. 2. Revised Eligibility Criteria for IEM Acknowledgment As per the updated guidelines, enterprises meeting the following revised criteria shall be eligible for IEM acknowledgment: Investment in plant machinery/equipment exceeding Rs.125 crore, or/and Annual turnover exceeding Rs.500 crore The revised criteria shall be applicable w.e.f. 1st April, 2025 . 3. This is a significant increase in threshold limits in investment in plant machinery from existing Rs.50 crore to Rs.125 crore and annual turnover limit from existing Rs.250 crore to Rs.500 crore. 4. IEM acknowledgment is for: Large-scale industries operating in sectors not requiring compulsory industrial licensing under the Industries (Development Regulation) Act, 1951. Companies having investment in plant and machinery, or/and annual turnover beyond the limits set for MSMEs. 5. It is, therefore, notified for information of all stakeholders that eligible enterprises can apply for IEM acknowledgment through the G2B Portal as per the revised eligibility criteria. (Gurneet Tej) Joint Secretary to the Government of India Department for Promotion of Industry and Internal Trade (DPIIT) Ministry of Commerce Industry, Government of India DPIIT File No. P-41014/8/2021-IEM DATA New Delhi, 1 st April 2025