Gujarat announces rehabilitation package for Surat flood-affected traders
The Gujarat Cabinet on Wednesday (July 15, 2026) approved a rehabilitation package for traders and businesses affected by the flood-like situation in Surat earlier this
The Gujarat Cabinet on Wednesday (July 15, 2026) approved a rehabilitation package for traders and businesses affected by the flood-like situation in Surat earlier this month, providing financial assistance of up to ₹1 lakh, interest subsidies on business loans and a one-year waiver of municipal property tax for affected residential and commercial properties. The decision was taken at a Cabinet meeting chaired by Chief Minister Bhupendra Patel. Sharing the details, Deputy Chief Minister Harsh Sanghavi, who hails from Surat, said the measures were aimed at helping traders and businessmen rebuild their businesses after the heavy rains. The package provides lump-sum financial assistance to street vendors, handcart operators and owners of small and large cabins to help resume business operations in the affected areas. According to an official release, lorry and handcart operators will receive ₹7,500. Owners of cabins measuring up to 40 sq. ft. will receive ₹25,000, while owners of cabins larger than 40 sq.
ft. will be given ₹50,000. Shop owners with permanent structures who have filed GST returns for the last quarter will be eligible for assistance of ₹1 lakh. The government will also facilitate loans through banks and financial institutions for affected business establishments and permanent shops whose owners have filed GST returns for the last quarter. Under the interest subsidy scheme, permanent shops with a monthly turnover of up to ₹7.5 lakh, based on the last quarter’s GST return, will be eligible for a 7% interest subsidy for three years on term loans of up to ₹20 lakh, subject to a maximum subsidy of ₹5 lakh. Shops with monthly turnover between ₹7.5 lakh and ₹15 lakh will be eligible for a 7% interest subsidy for three years on term loans of up to ₹25 lakh, with a maximum subsidy of ₹8 lakh. Businesses with monthly turnover exceeding ₹15 lakh will be eligible for a 7% interest subsidy for three years on term loans of up to ₹30 lakh, with a maximum subsidy of ₹10 lakh.
The release said eligible beneficiaries seeking lump-sum financial assistance would receive compensation after damage assessment based on survey findings, photographs, videography and other supporting evidence. Applications in the prescribed format must be submitted to the Surat Municipal Commissioner, the concerned Mamlatdar or the Chief Officer of the municipality by September 30, 2026. The State government has also decided to waive municipal property tax for one year for flood-affected residential and commercial properties in Surat city. Sanghavi said sanitation work had been completed in all affected areas and medical camps had been organised to address health concerns, while the Surat Municipal Corporation and the State government had taken prompt measures following the flooding. According to the official release, 19,256 families have so far received cash dole assistance, while cash relief has been provided to 39,237 individuals, taking the total disbursement to ₹13.15 crore. Heavy rainfall on July 6 and 7 had triggered a flood-like situation in several areas around Surat creek.
The BriefWire