Frequently asked questions

Answers about MSME Sustainable (ZED) Certification. Type a word to find a question quickly.

38 questions

1 What is MSME Sustainable (ZED) Certification Scheme?

MSME Sustainable (ZED) Certification is an extensive drive to create awareness amongst MSMEs about Zero Defect Zero Effect (ZED) practices and motivate and incentivize them for ZED Certification while also encouraging them to become MSME Champions. Through the journey of ZED Certification, MSMEs can reduce wastages substantially, increase productivity, enhance environmental consciousness, save energy, optimally use natural resources, expand their markets, etc. MSMEs will also be motivated to adopt best practices in work culture, standardization of products, processes and systems etc. in order to enhance their global competitiveness and sustainability. The ZED Certification aims at enhancing the competitiveness of an MSME by assessment, modification through guidance, handholding, managerial and technological intervention – not just certification.

Please visit ZED website to know about MSME Sustainable (ZED) Certification Scheme at https://zed.msme.gov.in/ 

2 What is the objective of MSME Sustainable (ZED) Certification Scheme?

The ZED Certification envisages promotion of Zero Defect Zero Effect (ZED) practices amongst MSMEs so as to:

  • Encourage and enable MSMEs for manufacturing of quality products using latest technology, tools & to constantly upgrade their processes for achievement of high quality and high productivity with the least effect on the environment
  • Develop an Ecosystem for ZED Manufacturing in MSMEs, for enhancing competitiveness and enabling exports
  • Promote adoption of ZED practices and recognising the efforts of successful MSMEs
  • Encourage MSMEs to achieve higher ZED Certification levels through graded incentives
  • Increase public awareness on demanding Zero Defect and Zero Effect products through the MSME Sustainable (ZED) Certification
  • Identify areas to improve upon, thereby assisting the Government in policy decisions and investment prioritization


3 Is MSME Sustainable (ZED) Certification mandatory for MSMEs?

ZED Certification is not mandatory by the Government; it is a voluntary scheme which will provide the MSMEs a roadmap to global competitiveness.

4 Who can apply for ZED Certification?

All manufacturing sector MSMEs registered with the UDYAM registration portal (of the MoMSME) will be eligible to participate in MSME Sustainable (ZED) Certification and avail related benefits/incentives.

5 How to apply for ZED Certification Scheme?

Visit the ZED website (https://zed.msme.gov.in/) and click on the ZED Certification tab. You will then be directed to the Login/Registration Page where you will have to put your Udyam registration number and associated mobile number to proceed further. Once the validation is done you have to read and take the ZED Pledge. You may also refer to the detailed User Manual for ZED Certification, which is available on the website and your dashboard under "My Document" section.

6 If a Unit gets certified under MSME Sustainable (ZED) Certification Scheme, does it mean they don’t have to follow other regulations/requirements or certifications?

ZED Certification is based on processes oriented quality specific standard and does not replace any other regulation/requirement or certification.

7 From where can a Unit download the documents related to MSME Sustainable (ZED) Certification Scheme?

Please refer to ZED website (https://zed.msme.gov.in/).

8 Who is/are going to implement the Scheme?

The ZED Scheme will be implemented nationwide through Organisations and Agencies such as QCI, NPC, Industry Chambers like CII, FICCI & ASSOCHAM, MSME-Development Institutes, MSME Technology Centres, Industry Associations, BEE, and other implementing agencies.

9 What are the major activities involved in ZED Certification Scheme?

The major activities under the ZED Certification Scheme are:

  • Industry awareness programs, regional/state/national workshops, training of officials of DIs, TCs, DICs
  • Training of Master Trainers, Assessors & Consultants
  • MSME KAWACH
  • Assessment, Certification and Surveillance
  • Gap analysis & Handholding for improving processes
  • International Benchmarking
  • Financial Supports


10 Who is/are going to conduct site-assessment?

Site-assessments will be allocated to Assessment Agencies which have been accredited by Quality Council of India. The assessments will be carried out by Assessors from these accredited assessment agencies, who have undergone and passed a ZED Assessors training programme.

11 Who is/are going to conduct Gap analysis and handholding activity?

The Gap analysis and handholding activity in the scheme will be allocated to Consulting Organizations which have been empanelled by Quality Council of India. The handholding will be carried out by Consultants from these empanelled Organisations, who have undergone and passed a ZED Consultant training Programme.

12 How can I access detailed guideline of MSME Sustainable (ZED) Certification Scheme?

Please click on https://zed.msme.gov.in/uploads/Guideline_Book.pdf  

13 What is the web address from where information about the MSME Sustainable (ZED) Certification Scheme can be obtained?

https://zed.msme.gov.in/

14 Does the MSME Sustainable (ZED) Certification Scheme cover all MSME sectors?

Yes. This MSME Sustainable (ZED) Certification Scheme covers all the MSME sectors belonging to manufacturing

15 Do ISO etc. certified companies need to go for ZED Certification?

All MSMEs which are registered with Ministry of MSME can avail scheme benefits irrespective of the certifications they may have. 

16 If an MSME has no ISO or similar certification, will it be eligible to apply for ZED Certification?

Yes. All MSMEs which are registered with Ministry of MSME can avail scheme benefits irrespective of the certifications they may have.

17 Whether ZED certified units still need to get other certifications like ISO to establish their credence?

ZED certification is independent of Certifications like ISO etc. MSMEs are free to obtain any other certifications simultaneously.

18 Will CPSUs, OEMs, Large buyers give any recognition/ preference to ZED certified MSMEs?

The office of DC-MSME is actively pursuing this and discussions are in process to establish recognition/preference to ZED certified units among CPSUs, OEMs, Large buyers etc.

19 There are already many certification systems. Will the ZED scheme be another burden on MSMEs?

ZED certification system addresses and provides roadmap for enhancing business and greatly cutting down the cost. Though this is a voluntary scheme, the implementation of ZED will not be a burden but a boon to the MSMEs.

20 Can MSMEs have the choice to select consultants/assessors?

No, the allocation will be done by the implementing agency through a pre-defined process.

21 Is this scheme applicable for MSMEs belonging to Service Sector?

At present this scheme is designed for the manufacturing MSMEs of India, however work is in progress to create a model for the MSMEs in the service sector.

22 Are the unregistered MSMEs also eligible to participate in this Scheme?

No. Only the Udyam registered MSMEs can participate in this scheme.

23 Which States/UTs can participate in this Scheme?

The scheme is applicable for all states/UTs of India.

24 What is the fee structure? Is there any subsidy in ZED Scheme?

1. A limited-purpose joining reward of Rs. 10,000/- will be offered to each MSME once they take the ZED Pledge which needs to be utilized within a defined time period for the purpose defined.

2. The Ministry of MSME will provide a subsidy of 80% to Micro enterprises, 60% to Small enterprises & 50% to Medium enterprises. There will be an additional subsidy of 10% for the MSMEs owned by Women/SC/ST Entrepreneurs OR MSMEs in NER/Himalayan/LWE/Island territories /aspirational districts.

Cost of Certification

a. Certification Level 1: BRONZE: Rs. 10,000/-

b. Certification Level 2:SILVER: Rs. 40,000/-

c. Certification Level 3: GOLD: Rs. 90,000/-


For more detail about the scheme you can download the guidelines of the scheme by following this scheme:https://zed.msme.gov.in/uploads/Guideline_Book.pdf

25 Are consultancy charges reimbursed if any MSME client seeks help of a consultant for achieving Bronze level? If yes what is maximum limit?

MSME Unit needs to be at least ZED Bronze certified to seek handholding support. Please see page number 17, Section 3.5 of ZED Scheme Guidelines.

26 If organization achieves ISO 9001 and/or ISO 45001 in its journey to Bronze level, are certification charges reimbursed? If yes, what is maximum amount? Same for ISO 14001 and ISO 50001 certification while on journey of silver level?

MSMEs are eligible to apply for reimbursement on ISO or other Certifications only after achieving a ZED Certification Level. Date of such Certificate (for which reimbursement is being sought) needs to be after the date of relevant ZED Certificate against which the financial support is sought. Please see page number 12, Section financial assistance in testing/system/product certification

27 Rs.10000 reward on taking pledge has to be used only for fees for achieving Bronze /Silver level or can be used for any other quality enhancement purpose?

Joining reward can only be used against assessment fee. Please see page number 10, Section 3.4.5 c of ZED Scheme Guidelines.

28 If Bronze level MSME client applies for achieving silver level and seeks consultancy support. Full amount of Rs.2,00,000 is utilized; after achieving Silver? Further, if MSME client decides to achieve Gold level and again seeks consultancy support then Will consultant be again entitled for another R?

Rs. 2,00,000/- is the upper limit and is inclusive of applicable taxes. MSME has to pay its contribution while applying for the same. Handholding support is provided once in ZED Cycle.

29 Bronze level is allocated only based on desktop review of evidences? Surveillance audit after 18 months is applicable? If yes is it also desktop review or remote assessment?

There is no surveillance in Bronze. After expiry of validity the MSME needs to upgrade to Silver or Gold or renew Bronze. Please see page number 17, Surveillance and Section 3.4.8 of ZED Scheme Guidelines.

30 Silver level allocation decision is based on remote assessment? Surveillance assessment after 18 months is remotely done or by auditors visit?

Surveillance in Silver Certification shall be done remotely. Please see page number 17, Surveillance of ZED Scheme Guidelines.

31 If any assessor / consultant / master trainer is qualified as per earlier model, is same qualification still valid or needs refresher training? Will validity of existing certificates extended?

Since the Scheme and Standard have undergone changes, assessors/consultants/master-trainers will have to undergo fresh training and examination.

32 Can private consultancy organizations conduct industry awareness programs / workshops? What is pre-requisite for private organizations to enable the same?

Industry Awareness programmes shall be conducted by Industry Associations, Implementing Agencies, MSME-DIs, District Industries Centres (DICs), Large Enterprises/OEMs, BEE. Please see page number 4, Section 2.2 of ZED Scheme Guidelines.

33 Do individual consultants/ organisations need to be registered with ZED scheme? Any guidelines for same?

Consulting under the ZED Scheme shall be conducted by empanelled Consulting Organizations. Guidelines for empanelment of Consulting Organizations shall be uploaded soon on the ZED Website.

34 Do ZED assessment bodies / individual auditors need to be registered under scheme? Any guidelines?

Assessments under the ZED Scheme will be conducted by only those Agencies which are accredited by NABCB. Please see page number 9, Section 3.4.1. of ZED Scheme Guidelines.

35 Is WASH certification mandatory after taking pledge and before undergoing Bronze level assessment? Can MSME client avail consultancy support for same? What would be maximum amount reimbursement in such case?

WASH Certification is optional. There is no consultancy for WASH.

36 What are other incentives under MSME KAWACH apart from free of cost assessment for WASH standard?

Apart from Assessment & Certificate under MSME KAWACH, MSMEs can get a detailed understanding of the SOPs/ Guidelines/Key-elements to be followed on COVID-19. This will help the MSMEs to carry out a quick self-assessment to identify gaps, if any, and make improvements. They shall also be provided Capacity building on the SOPs/guidelines issued, through virtual trainings/ webinars and through e-learning modules. Please see page number 23, Annexure 4 of ZED Scheme Guidelines.

37 Subsidy for management system certification (75% of certification charges with ceiling of max. Rs. 50,000) is available only if certification body is NABCB accredited or also available for certification bodies having accreditation from other IAF approved accreditation bodies?

The Management System Certification must be through a Certification Body that is accredited by the National Accreditation Board for Certification Bodies (NABCB). Please see page number 12, 14 and 16, “Financial assistance in testing/system/product certification” of ZED Scheme Guidelines.

38 If client achieves more than one international standard management system certifications will subsidy of Rs 50,000/- be applicable for each certification or only for 1 certification? Can MSME client include both certification charges and consultancy charges in subsidy to be applied?

The subsidy will be applicable on only one Testing OR one Management System OR one Product Certification after achieving a ZED Certification Level. Subsidy is only on cost of Certification. Please see page number 12, 14 and 16, “Financial assistance in testing/system/product certification” point 5 of ZED Scheme Guidelines.