The short answer
Uttar Pradesh (UP) Government Order 873/18-4-2025 dated 3 December 2025 lets the state finance 40% of the total project cost of an export infrastructure project, up to Rs 10 crore per project proposal. Testing and certification laboratories, e-commerce logistics centres and common facility centres for research, design, labelling and packaging qualify. Government bodies, export councils, trade bodies, export units and industry associations apply to the Export Promotion Bureau UP. Land is never counted.
The rule that decides everything: you bring suitable land free of any charge, and a private developer invests its whole own share before the state money is used. Only fixed capital spending counts.
Verified as on 19 October 2026 against Government Order No. 873/18-4-2025 dated 3 December 2025 of the Government of Uttar Pradesh, Micro, Small and Medium Enterprises (MSME) and Export Promotion Department (Hindi original, all six pages read as page images) and section 8.8 of the English text of the UP Export Promotion Policy 2025-30. Written by Pratham Agarwal, Founder, Rasp International.
40%of total project cost financed by the state, Government Order 873 paragraph (4)
Rs 10 croremaximum per project proposal, Government Order 873 paragraph (4)
4 instalments40, 30, 25 and 5 percent of the state share, Government Order 873 paragraph 12(4)
2 yearslongest build time from financial approval, Government Order 873 paragraph 12(5)
| Scheme | The order’s Hindi heading translates as the Uttar Pradesh Export Oriented Specific Incentive Scheme. The policy’s English text calls it the Export-Oriented Specific Project (EOSP). |
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| Governing body | Government of Uttar Pradesh, MSME and Export Promotion Department, with the Export Promotion Bureau UP as nodal agency (paragraph (5)) |
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| Parent policy | UP Export Promotion Policy 2025-30, Government Order No. 684/18-4-2025/18-4099/31/2025 dated 3 September 2025 |
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| Legal basis | Government Order No. 873/18-4-2025 dated 3 December 2025, in force immediately (paragraph 12(10)) |
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| Who it is for | Seven kinds of implementing agency, from government bodies to export units and industry associations (paragraph (3)) |
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| What you get | 40% of total project cost, up to Rs 10 crore per proposal, land excluded, fixed capital only (paragraph (4)) |
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| Validity or deadline | No application window. Project report within 3 months of administrative approval (paragraph 10); building within 2 years of financial approval (paragraph 12(5)). |
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| Where you apply | Export Promotion Bureau UP (paragraph 6(1)). No form or portal is printed. |
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Why we wrote this guide to Government Order 873
Most UP export orders repay an exporter’s own cost after the event, such as a fair stall or a freight bill. Government Order 873 instead part funds the building and machines of an export facility, such as a testing laboratory or packaging centre, in instalments during construction. Our guide to the UP export subsidy schemes covers the seven reimbursement orders only.
Applicants need three answers before spending: who may apply, what counts and when money comes. We answer each from the order’s six Hindi pages. Rasp International is ISO 9001:2015 certified and has served 500+ exporters since 2019.
What Government Order 873 is
Government Order 873 is a state capital funding scheme that pays 40% of the fixed capital cost of an export infrastructure project in Uttar Pradesh, up to Rs 10 crore, for public and private implementing agencies, run by the Export Promotion Bureau UP under the UP Export Promotion Policy 2025-30. Section 9 of the policy places it beside the state’s Export Infrastructure Development Scheme (NAVY) and the central Trade Infrastructure for Export Scheme (TIES).
- Detailed Project Report (DPR): the full technical and financial plan of the project.
- Administrative approval: the department’s first go-ahead after the State Level Committee approves (paragraph 9).
- Financial approval: the money sanction after the DPR is appraised (paragraph 11).
- Memorandum of Understanding (MOU): the agreement signed with the state before any release (paragraph 12(1)).
- Encumbrance-free land: land with no loan charge, lien, dispute or other claim on it.
- Fixed capital investment: spending on lasting assets such as a building, plant and machinery. The order gives no list.
What Government Order 873 controls, paragraph by paragraph
Every row comes from the Hindi original of Government Order 873/18-4-2025, with paragraph numbers as printed. The order starts at paragraph (2).
| Point | What the order says | Paragraph |
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| Project type 1 | Testing and certification laboratories, recognised and approved by reputed Indian and international bodies | 2(i) |
| Project type 2 | E-commerce related logistics centre | 2(ii) |
| Project type 3 | Common facility centre for research and development, design and labelling, packaging and similar work | 2(iii) |
| Project type 4 | Any other greenfield project category the nodal agency finds suitable | 2(iv) |
| Who may implement | Seven kinds of body: central or state government; public sector undertakings; government agencies; export promotion councils or commodity boards; apex trade bodies recognised under India’s export and import (EXIM) policy; export dedicated units; private bodies or industry associations | (3) |
| Rate and cap | State finances 40% of total project cost, up to Rs 10 crore per project proposal | (4) |
| Land | Implementing unit provides suitable, encumbrance-free land; land cost is not project cost | (4) |
| What counts as cost | Only spending on fixed capital investment | (4) |
| Application | Proposing or implementing agency applies to the Export Promotion Bureau UP, the nodal agency | (5), 6(1) |
| Scoring out of 100 | Sectoral expertise 25, encumbrance-free sufficient land 25, need in the region 25, project category 15, likely export impact 10 | 6(2) |
| Evaluation Committee | Five members, chaired by the Export Commissioner, including the district Deputy Commissioner Industries | 7 |
| State Level Committee | Seven members, chaired by the Additional Chief Secretary or Principal Secretary, MSME and Export Promotion | 8 |
| DPR | Within 3 months of administrative approval, with cost benefit and feasibility analysis and state of the art machinery | 10 |
| Financial approval | After appraisal by the Project Formulation and Evaluation Division, State Planning Institute UP | 11 |
| MOU | Signed in the prescribed format with the district Deputy Commissioner Industries, for the state, before release | 12(1) |
| Government implementing unit | District Deputy Commissioner Industries named nodal officer; money released only through that officer | 12(2) |
| Private developer’s share | State money used only after the whole private contribution is invested | 12(3) |
| Instalments | 40, 30, 25 and 5 percent of the state share, as far as possible, each tied to use of the earlier ones; the last after the facility starts running | 12(4) |
| Time limit | DPR schedule, at most 2 years from financial approval; after that, 100% of any cost increase falls on the implementing unit | 12(5) |
| User fees | Users get benefit in proportion to the state money; fees need government approval | 12(6), 12(7) |
| No double funding | Components funded under another central or state project are not financed and are left out of the DPR by certificate | 11, 12(8) |
| Recovery | Breach of the agreement or misuse: whole amount returned with 10% annual interest | 12(9) |
The money in one illustrative example
An illustrative example with round numbers, applying paragraphs (4) and 12(4) of Government Order 873.
| Line | Project A (Rs crore) | Project B (Rs crore) |
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| Land you provide (not counted) | 4 | 6 |
| Fixed capital cost counted | 20 | 30 |
| 40% of project cost | 8 | 12 |
| State share after the cap | 8 | 10 |
| Your own share | 12 | 20 |
| Instalments at 40, 30, 25 and 5 percent | 3.2, 2.4, 2, 0.4 | 4, 3, 2.5, 0.5 |
In Project A, paragraph 12(4) of Government Order 873 holds the second instalment until Rs 2.4 crore of the first is used, and paragraph 12(3) of the order makes a private developer invest its Rs 12 crore first.
Government Order 873 compared with the schemes people confuse it with
Two central schemes share the words packaging, logistics and Rs 10 crore: Brand India sector branding and Facilitating Logistics, Overseas Warehousing and Fulfilment (FLOW), both under the Export Promotion Mission (EPM) of the Directorate General of Foreign Trade (DGFT).
| Point | Government Order 873 (UP) | Brand India sector branding | FLOW |
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| Instrument | Government Order 873/18-4-2025, 3 December 2025 | DGFT Trade Notice 12/2026-27, 14 July 2026 | DGFT Trade Notice 28/2025-26, 20 February 2026 |
| Pays for | Building and equipping a laboratory, e-commerce logistics centre or common facility centre in UP | Branding, promotion and packaging design activities listed in Annexure II | Overseas warehousing, fulfilment, display facilities, e-commerce export hubs (Annexure II, 2(c)) |
| Rate | 40% of total project cost | Up to 50% of eligible expenditure (Annexure II, 6(b)(ii)) | 30% of proposal cost (Annexure II, 4) |
| Cap | Rs 10 crore per proposal | Rs 10 crore per project, priority sectors | Rs 10 crore a year for warehousing and for e-commerce export hubs |
| Capital spending | Only fixed capital counts | Not addressed; support is for the listed activities | Excluded; lease, rent, common facility and running costs only (Annexure II, 3(a)) |
| Single export unit | Listed (paragraph 3(6)) | Not in the list (Annexure II, 1(a)) | Not listed by name (Annexure II, 2(b)) |
| Release | Four instalments, 40, 30, 25 and 5 percent | Two or more on milestones (Annexure II, 9(a)) | Two or more equal ones on milestones (Annexure II, 6(a)) |
| Same project funded elsewhere | Not financed (paragraph 12(8)) | Undertaking: no other central scheme (Annexure II, 10(c)) | Same undertaking (Annexure II, 7(b)) |
Packaging causes the most confusion: Trade Notice 12/2026-27 pays for packaging designs and templates, while Government Order 873 pays toward a packaging centre’s building and machines. See our Brand India Global Outreach guide, our post on what a consultancy can and cannot do under Brand India and the Export Promotion Mission overview for the DGFT side.
Rasp International handles DGFT compliance, licensing and policy advisory.
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What most people get wrong about Government Order 873
It is not a claim you file after building. Paragraph (4) of Government Order 873 says the state “will finance” 40% of total project cost, and paragraphs 9 to 12 release it through approvals, a DPR, an MOU and instalments. The policy calls it a “capital subsidy”, but the process starts before construction.
It is not only for registered MSME exporters. Paragraph (3) of the order lists seven kinds of implementing agency, with no MSME size test and no registration clause. Section 8 of the policy ties Bureau registration to its schemes generally, so an export unit should check with the Export Promotion Bureau UP in writing. Our Bureau and Council registration guide shows which UP orders do carry one.
Warehouses and training institutes are not named projects. Section 8.8 of the policy mentions warehousing and training institutions. Paragraph (2) of the order names only laboratories, e-commerce logistics centres and common facility centres, plus other greenfield (newly built) categories the nodal agency accepts.
Rs 100 crore is not a minimum project size. Section 8.8 of the policy aims for a “minimum cumulative project cost of INR 100 crore during the policy period”, a target for the whole scheme. Government Order 873 sets no minimum size for one project.
Three mismatches in the official texts:
- The name. The order’s heading translates as Export Oriented Specific Incentive Scheme. The UP Export Promotion Council (UPEPC) and Bureau websites tag it “EPOSP”. Section 8.8 of the policy uses both “Export-Oriented Specific Project” and “Export-Oriented Specific Promotion”.
- The need score. In paragraph 6(2), the Hindi need row gives marks where no similar facility exists, while the English line beside it reads “Whether there is all similar project/facility in the region”.
- Two member secretaries. Paragraph 8 prints “member secretary” against two different officers.
The order is headed 3 December 2025 (the month corrected by hand from November) and digitally signed on 2 December 2025. The official listings use 3 December 2025.
Who can use Government Order 873 and who cannot
You may be able to apply if every line below is true, subject to approval and budget.
- You are one of the seven implementing agencies in paragraph (3) of Government Order 873.
- Your project is a laboratory, an e-commerce logistics centre or a common facility centre listed in paragraph (2).
- A laboratory is or will be recognised by reputed Indian and international bodies (paragraph 2(i)).
- You hold suitable land free of any charge or dispute (paragraph (4)).
- You can fund at least 60% of the project cost (paragraph (4) limits the state to 40%) plus the land.
- You can deliver a DPR within 3 months of administrative approval (paragraph 10).
- An exporter seeking a refund of its own running costs; see orders such as the UP marketing development assistance scheme.
- The cost of land, which paragraph (4) leaves out.
- Spending that is not fixed capital investment, such as running costs (paragraph (4)).
- Any project or component already funded under another central or state scheme (paragraph 12(8)).
Edge cases the order does not settle on its own
Expanding an existing laboratory. Paragraph 2(iv) of Government Order 873 speaks of “any other category of greenfield project”, which suggests new facilities, but paragraphs 2(i) to 2(iii) do not use the word. Check with the Export Promotion Bureau UP before you plan an extension.
A new laboratory and its recognition. Paragraph 2(i) wants laboratories “recognised and approved by reputed Indian and international bodies”, which a laboratory not yet built cannot be. The order does not say when recognition is needed. Check with the Export Promotion Bureau UP.
A component with other public money. Paragraph 11 needs a certificate that components funded elsewhere are left out of the DPR, and paragraph 12(8) bars them. So a packaging line part funded under, for example, NAVY, TIES, a One District One Product (ODOP) centre or the Ministry of MSME’s Micro and Small Enterprises Cluster Development Programme (MSE-CDP) stays out of the DPR.
How a Government Order 873 project moves from idea to final instalment
- Check fit before you spend. Match the project to paragraph (2) and your organisation to paragraph (3). Sequence matters, as our post on why the order of steps decides UP subsidies shows.
- Secure the land. Land carries 25 of 100 marks under paragraph 6(2) of Government Order 873. Clear any charge on it first.
- Apply to the Export Promotion Bureau UP. Write the proposal around the five scoring heads and ask the Bureau for its format (paragraph 6(1)).
- Committees. The Evaluation Committee screens the proposal (paragraph 7) and the State Level Committee decides (paragraph 8), with no time limit set.
- Administrative approval and the DPR. The department issues administrative approval (paragraph 9), and the DPR is due within 3 months of it (paragraph 10).
- Financial approval and MOU. The State Planning Institute appraises the DPR, the department issues financial approval (paragraph 11) and the MOU is signed (paragraph 12(1)).
- Invest, then draw instalments. A private developer invests its share first (paragraph 12(3)), then instalments follow the 75% use tests (paragraph 12(4)).
The lapse rule. Government Order 873 has no application deadline. Its hard dates are 3 months for the DPR and 2 years for completion, after which paragraph 12(5) puts 100% of any cost increase on you. Fast track: none exists in the order.
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Five groups Government Order 873 affects
- Testing and certification laboratories. Named first, in paragraph 2(i) of Government Order 873.
- Industry associations and clusters. Admitted by paragraph 3(7); a shared design, labelling or packaging centre under paragraph 2(iii) is the natural fit.
- E-commerce logistics operators. Named in paragraph 2(ii).
- Export councils, commodity boards and apex trade bodies. Admitted by paragraphs 3(4) and 3(5).
- Government bodies and public sector undertakings. Admitted by paragraphs 3(1) to 3(3), with money routed through the district Deputy Commissioner Industries (paragraph 12(2)).
Cautionary tale, illustrative composite: an association wins approval for a Rs 15 crore packaging centre, so the state share under Government Order 873 is Rs 6 crore. Its DPR promises 18 months, but the centre opens in month 30 and machinery prices rise by Rs 1.5 crore. Under paragraph 12(5) of the order, all of that Rs 1.5 crore falls on the association. The point of no return was the schedule it signed in the DPR.
How Rasp International helps with Government Order 873
Rasp International prepares Government Order 873 proposals for clients. We sign an NDA (non-disclosure agreement) and an SLA (service level agreement) with every client. When engaged, we file on the client’s behalf in the client’s own name, and we give an authority letter only when a client asks. The client and our team both hold the portal logins, kept safe and confidential. In Rasp International’s experience, the Export Promotion Bureau UP has been helpful and responsive.
Honest limits of Government Order 873
- It does not pay for land, and it pays nothing before administrative approval, financial approval and the MOU.
- It fixes no decision time for the Bureau or the committees and prints no budget, so funding stays subject to approval and budget.
- It does not let you set your own user fees. Paragraphs 12(6) and 12(7) require government approval.
What Is Not Yet Notified, Checked on 19 October 2026
- No application form, format or online route is printed. Check with the Export Promotion Bureau UP.
- The MOU “prescribed format” in paragraph 12(1) is not attached. Check with the Export Promotion Bureau UP or the district industries centre.
- No minimum score out of 100 is set. Check with the Export Promotion Bureau UP.
- A Special Purpose Vehicle (SPV, a company a cluster forms for one project) is not named in paragraph (3). Check with the Export Promotion Bureau UP.
- Whether spending before approval counts is not stated. Check with the Export Promotion Bureau UP.
- No annual budget or limit on proposals per applicant is printed. Check with the Export Promotion Bureau UP.
- Who receives the money for a private project is not stated; paragraph 12(2) covers government units only. Check with the Export Promotion Bureau UP.
Frequently asked questions
What is Government Order 873 in UP?
Government Order 873/18-4-2025 dated 3 December 2025 is an Uttar Pradesh scheme that finances 40% of the total project cost of an export infrastructure project, up to Rs 10 crore per proposal. It covers testing laboratories, e-commerce logistics centres and common facility centres.
How much does the UP export infrastructure subsidy pay?
Paragraph (4) of Government Order 873 says the state finances 40% of total project cost, up to Rs 10 crore per project proposal. Only fixed capital spending counts. Illustrative example under the order: a Rs 20 crore project may get Rs 8 crore, subject to approval and budget.
Is land cost included in the project cost under Government Order 873?
No. Paragraph (4) of Government Order 873 says the implementing unit provides suitable, encumbrance-free land and land cost is not project cost. Land still matters at selection, because paragraph 6(2) gives 25 of 100 marks for sufficient land free of any charge.
Who can apply under Government Order 873?
Paragraph (3) of Government Order 873 lists central or state government, public sector undertakings, government agencies, export promotion councils or commodity boards, recognised apex trade bodies, export dedicated individual units and private bodies or industry associations. The order sets no MSME size test.
Can a single export unit get the 40% subsidy for its own lab?
Paragraph 3(6) of Government Order 873 admits export dedicated individual units. The project must still be a listed type, and paragraphs 12(6) and 12(7) expect outside users paying an approved fee. For an owner-only facility, check with the Export Promotion Bureau UP.
Which projects qualify for the UP export infrastructure subsidy?
Paragraph (2) of Government Order 873 names recognised testing and certification laboratories, e-commerce related logistics centres and common facility centres for research, design, labelling and packaging. It also allows any other greenfield project category that the Export Promotion Bureau UP, as nodal agency, finds suitable.
Does a warehouse qualify under Government Order 873?
Paragraph (2) of Government Order 873 does not name warehouses, although the order’s opening and section 8.8 of the policy mention warehousing. A warehouse could fit only as an e-commerce logistics centre or another accepted greenfield category. Check with the Export Promotion Bureau UP first.
Do I need Bureau and UPEPC registration for Government Order 873?
Government Order 873 has no clause requiring registration with the Export Promotion Bureau UP or the UP Export Promotion Council. Section 8 of the policy links Bureau registration to its export schemes generally. If you apply as an export unit, check with the Bureau in writing.
How is the money released under Government Order 873?
Paragraph 12(4) of Government Order 873 releases the state share in four instalments of 40, 30, 25 and 5 percent, as far as possible. The second needs 75% use of the first, the third 75% use of both and the last follows start of operation.
How long do I have to finish a Government Order 873 project?
Paragraph 12(5) of Government Order 873 allows the DPR schedule, at most 2 years from financial approval. Beyond 2 years, the implementing unit bears 100% of any resulting cost increase. The DPR itself is due within 3 months of administrative approval under paragraph 10.
What happens if the funds are misused under Government Order 873?
Paragraph 12(9) of Government Order 873 says that on breach of the agreement terms or misuse of instalments, the whole amount given under the scheme goes back to the nodal agency with 10% annual interest. Utilisation certificates also depend on that agreement.
Can I combine Government Order 873 with another scheme?
Not for the same project or component of it. Paragraph 12(8) of Government Order 873 bars financing anything already funded under another central or state government project, and paragraph 11 needs a certificate that such components are left out of the DPR.
Who approves a Government Order 873 project?
Under paragraphs 7 and 8 of Government Order 873, the Export Promotion Bureau UP examines the application, an Evaluation Committee chaired by the Export Commissioner screens it and a State Level Committee chaired by the Additional Chief Secretary or Principal Secretary, MSME and Export Promotion, approves it.
Where do I apply and is there a last date for Government Order 873?
Paragraph 6(1) of Government Order 873 sends the application to the Export Promotion Bureau UP. The order prints no form, online route or last date. Section 5 of the UP Export Promotion Policy 2025-30 keeps the policy in force until financial year 2029-30.
Do I need a consultant for a Government Order 873 application?
No law requires one. Government Order 873 asks for a scored proposal, a DPR within 3 months of administrative approval and an MOU. A consultant can help assemble them. The order prints no appeal route, so a weak proposal is hard to repair.
Your checklist for this week
- Read paragraphs (2) to (4) of Government Order 873 against your project.
- Confirm in writing that your land carries no loan charge or dispute.
- List every component and mark any with central or state money.
- Write to the Export Promotion Bureau UP for its current application and MOU formats.
Sources
- Tier 1. Government of Uttar Pradesh, Government Order No. 873/18-4-2025 dated 3 December 2025 (Hindi, 6 pages), listed on the UP Export Promotion Council orders page and the Export Promotion Bureau UP orders page.
- Tier 1. UP Export Promotion Policy 2025-30, Government Order No. 684/18-4-2025/18-4099/31/2025 dated 3 September 2025, English text, sections 5, 8, 8.8 and 9 (the Hindi version prevails): invest.up.gov.in.
- Tier 1. DGFT Trade Notice No. 12/2026-27 dated 14 July 2026, Global Outreach for Branding, Labelling and Export Packaging, Annexure II: content.dgft.gov.in.
- Tier 1. DGFT Trade Notice No. 28/2025-26 dated 20 February 2026, FLOW, Annexure II: content.dgft.gov.in.
- Tier 1. Ministry of MSME, Schemes for MSMEs booklet 2025-26, MSE-CDP entry: dcmsme.gov.in.
This is general guidance. Rules change. Check the current notification or order, or speak to us, before you act.
Related: UP export subsidy schemes and caps | Bureau and Council registration for UP orders | Brand India scheme: who can apply
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