74 host institutes in Andhra Pradesh approved under MSME Innovative Scheme.
Host institutes provide incubation, mentoring, labs and support for innovative ideas.
Applicants must join accredited institutes to access funding and commercialisation support.
The Ministry of Micro, Small & Medium Enterprises (MSMEs) has approved 74 ‘host institutes’ in Andhra Pradesh under the MSME Innovative Scheme, of which 36 have received direct support and 129 innovative ideas from the State approved, reported The Hindu.
What Is the MSME Innovative Scheme in Andhra Pradesh?
MSME Innovative Scheme under MSME Champions Scheme was launched in March 2022 by the Ministry of Micro, Small and Medium Enterprises for developing and nurturing innovative ideas. Initially, about 632 Host Institutes (HIs) had been recognised under Incubation component in 2022 to act as Business Incubators since launch of the scheme.
3 February 2026
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What Are Host Institutes Under MSME Innovative Scheme?
Institutions such as technical colleges, universities, other professional colleges/institutes, R&D institutes, NGOs involved in incubation activities, MSME-DIs/ technology centres or any institute/organisation of central/state government may apply for registration as an HI and act as a Business Incubator (BI) for nurturing of ideas from the initial stage of conceptualisation to the commercialisation stage through HIs/ BIs. The institutions may apply for registration as HI through the MIS portal of the DC MSME website (innovative.msme.gov.in) . All earlier approved Host Institutes (HIs) will be continued as HI for scheme implementation.
Up to maximum of ₹15 lakh per idea shall be provided to HI for developing and nurturing the ideas, according to the Ministry of Micro Small and Medium Enterprises.
What Is the Role of Host Institutes in MSME Innovation?
A Host Institute (HI) is an institute which sets up Business Incubator and provides the infrastructural and technical facilities for nurturing of new innovative ideas is called Host Institutes (HI). Whereas, Business Incubator (BI) is a specific place/workshop located in HI having facilities for nurturing of idea of Incubatee is called Business Incubator.
Host Institutes will set up Business Incubator (BI) and provides the space, equipments, lab and all the auxiliary support to the incubatee for nurture of his ideas for the business activities.
Who Can Benefit from the MSME Innovative Scheme in Andhra Pradesh?
Any person as individual or MSME, having the innovative ideas are eligible to avail the benefits of this scheme. The person should have innovative sort of idea which can be converted into prototype and further in business activity. The person is being called Incubatee.
There is no qualification bar to become incubatee. However, MSME should have valid Udyam Registration (UM) and individual should have Aadhar card number.
How to Apply for MSME Innovative Scheme in Andhra Pradesh?
The person (incubatee) should get attached with any Host Institute (HI) for nurturing of their idea in Business incubator (BI) being set up by HI.
Based on their needs for innovation, applicants must first select the appropriate component—IPR support, design or incubation. Applications may be submitted by DPIIT-recognised start-ups, eligible MSMEs with a current Udyam registration, or individual innovators (through a Host Institute). In order to participate in the Incubation component, candidates must be affiliated with an accredited Host Institute and submit their proposal during the Ministry-announced MSME Idea Hackathon rounds. Before final approval and the gradual release of funds, applications are submitted online via the MSME portals, validated by the Host Institute and assessed by the ministry.
What Facilities Do MSME Host Institutes Provide?
Incubatee can get support from BI on all issues related to technology, innovation, mentor, plant and machinery required for nurturing of idea. If any facilities of plant & machinery which are essential for nurturing of idea and same are not available in HI/BI, then incubate can utilise the facilities of machines available in other places. Incubatee can utilise these facilities on pay as usage basis through HI/BI only.
Expenditure can be incurred on items essential for nurturing of idea like Technology related expenditure like machine usage charges, electricity charges, procurement of raw materials, testing/calibration charges and any other technology related expenditure essential for development of idea charges towards mentoring etc. However, all such components should be mentioned in the proposals which needs approval of competent authority.
