The Gujarat government on Wednesday announced a rehabilitation assistance package for traders and businesses affected by the flood-like situation in Surat following heavy rainfall on 6 and 7 July.
The decision was taken at a Cabinet meeting chaired by Chief Minister Bhupendra Patel.
The package includes lump-sum financial assistance of up to Rs 1 lakh for affected businesses, interest subsidies on loans and a one-year waiver of municipal property tax for residential and commercial properties in flood-hit areas.
"The government finalised the package during the cabinet meeting to help traders and businessmen in Surat rebuild their businesses," Deputy Chief Minister Harsh Sanghavi said at a press conference in Gandhinagar.
Under the package, lump-sum cash assistance will be provided to street cart vendors, handcart operators and owners of small and large cabins to help them resume operations.
Lorry and handcart operators will receive Rs 7,500, while owners of smaller cabins of up to 40 feet will get Rs 25,000. Owners of larger cabins measuring more than 40 feet will receive Rs 50,000, according to an official release.
Shop owners operating from permanent structures and who filed GST (Goods and Services Tax) returns for the last quarter will be eligible for assistance of Rs 1 lakh.
Interest subsidy on business loansBanks and financial institutions will provide loans to affected business establishments and permanent shops whose owners filed GST returns for the last quarter.
Permanent shops with a monthly turnover of up to Rs 7.5 lakh will be eligible for a 7 per cent interest subsidy for three years on term loans of up to Rs 20 lakh, subject to a maximum subsidy of Rs 5 lakh.
Gujarat flood toll rises to 23 as Surat reels from record monsoon delugeBusinesses with monthly turnover between Rs 7.5 lakh and Rs 15 lakh will receive a 7 per cent interest subsidy for three years on loans of up to Rs 25 lakh, with a maximum subsidy of Rs 8 lakh.
Shops with a monthly turnover above Rs 15 lakh will be eligible for the same interest subsidy on term loans of up to Rs 30 lakh, subject to a maximum subsidy of Rs 10 lakh.
Eligible beneficiaries seeking lump-sum assistance will receive compensation after a damage assessment based on survey findings, photographs, videography and other supporting evidence.
Applications must be submitted in the prescribed format to the Surat Municipal Commissioner, the concerned Mamlatdar or the municipality's Chief Officer by 30 September 2026.
One-year property tax waiverThe Gujarat government has also decided to waive property tax for one year for residential and commercial properties in flood-affected areas of Surat.
Sanghavi said sanitation work had been carried out across affected areas and medical camps set up to address health concerns. The Municipal Corporation and state government had taken prompt action, he added.
So far, 19,256 families have received cash dole assistance and 39,237 people have received cash relief, with a total of Rs 13.15 crore disbursed, according to the official release.
Heavy rainfall on 6 and 7 July triggered a flood-like situation in several areas around Surat's creeks. Shops and houses in Rander, Limbayat, Varaccha and other areas surrounding the city creeks were inundated, causing widespread damage.
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