Education Loan Scheme (NSFDC) 2026

The National Handicrafts Development Programme's 'Urban Haat' initiative aims to create permanent marketplaces in cities for artisans Read More... and weavers to sell their creations directly to a wider audience. Read less

Details

India is famous for its incredible handicrafts and handloom products. To help our talented artisans and weavers connect directly with customers, the government has introduced a special component under the National Handicrafts Development Programme called 'Infrastructure and Technology Support: Urban Haat'.

What Is This Scheme?

This scheme focuses on building permanent marketing spaces, known as Urban Haats, in our towns and big cities. These Haats are designed to be like vibrant bazaars where artisans can display and sell their authentic creations all year round. Think of it as a permanent exhibition space with a direct sales opportunity, making it easier for buyers to find unique Indian crafts.

Who Can Benefit From This Scheme?

The primary beneficiaries are local statutory bodies, apex cooperative societies, national level apex societies, and producer companies supported by the Office of the Development Commissioner (Handicrafts). These organizations will be responsible for setting up and managing the Urban Haats.

Why This Scheme Is Important

Urban Haats provide a crucial platform for artisans to showcase their skills and products directly to customers, cutting out middlemen. This not only helps them earn a better livelihood but also preserves traditional crafts. For buyers, it's a fantastic opportunity to purchase genuine Indian handicrafts and experience the rich culture of different regions. The inclusion of food courts offering regional cuisines adds to the overall experience, making these Haats popular spots for both domestic and international tourists, much like the successful Dilli Haat.

Objective

The National Handicrafts Development Programme's 'Urban Haat' initiative aims to create permanent marketplaces in cities for artisans and weavers to sell their creations directly to a wider audience.

Benefits

Maximum Loan Limit:

Up to ₹30,00,000/-(for studies in India) andupto ₹40,00,000/-(for studies abroad) or 90% of course fee, whichever is less.

Rate of Interest:

For studies in India:NSFDC shall charge interest @ 2% per annum from the SCAs, which in turn, shall charge 6% per annum from the beneficiaries. In case of women beneficiaries, an interest rebate of 0.5% is provided.
For studies abroad:NSFDC shall charge interest @ 3% per annum from the SCAs, which in turn, shall charge 7% per annum from the beneficiaries. In case of women beneficiaries, an interest rebate of 0.5% is provided.

Repayment Period:

The maximum repayment period under the Educational Loan Scheme is as under:-

For Loan up to ₹10,00,000/-:Within 10 years
For Loan above ₹10,00,000/-:Within 12 years

Sources and references

Official Website

Who Can Apply?

To be eligible to implement the infrastructure projects under this scheme, the implementing agencies must meet the following criteria:

They should be local statutory bodies, apex cooperative societies, or national-level apex societies registered under the Societies Act/Trust Act, etc.
Producer companies supported by the Office of the Development Commissioner (Handicrafts) are also eligible.
Implementing agencies must have a minimum audited annual turnover of ₹1.5 Crores for the last three consecutive years. However, this turnover requirement does not apply to Central/State Government agencies when they act as implementing agencies.

How To Apply

To apply for the Urban Haat scheme, the process typically involves submitting a proposal in the prescribed format. Here’s a general outline:

Prepare Proposal: Develop a detailed proposal as per the prescribed proforma.
Get Recommendation: Obtain a recommendation letter from the concerned Field Office/Regional Office.
Gather Documents: Collect all the required supporting documents as listed.
Submit Application: Address the proposals in the prescribed proforma, along with all self-attested supporting documents in hard copy, to the concerned Handicraft Service Center (HSC), Office of the Development Commissioner (Handicrafts).

Note: It is crucial to refer to the official scheme guidelines for the exact application address and any specific submission instructions.

Official Link for Guidelines:

http://handicrafts.nic.in/pdf/Scheme.pdf#page=1

Official Link for Proforma:

http://handicrafts.nic.in/CmsUpload/05182022101854Scan invitation of testing laboratories_organized.pdf

Documents Required for Application

Applicants need to submit a comprehensive set of documents, depending on whether it's a fresh proposal or a reimbursement request.

For Fresh Proposals:

Proposal in the prescribed proforma.
Recommendation letter from the Field office/Regional Office.
Valid Registration Certificate of the organization.
Article and Memorandum of Association.
Bye-Laws of the organization.
Audited statements of accounts and Balance Sheets for the last three years.
Annual Report of the last year.
An affidavit confirming no corrupt practices and the validity of the registration.
Land ownership document or Lease agreement for the project site, or a Detailed Project Report.
Feasibility report certified by a scheduled commercial bank.
Construction plan and cost estimate, authenticated by an Architect/Chartered Engineer.
Third-party assessment report from a recognized Chartered Engineer/technical valuer for any equipment/machines to be installed.
An undertaking that the implementing agency will bear the balance of the total cost, including any escalated costs.
Any other documents specified in the Proforma or requested by the competent authority.

For Reimbursement Proposals:

Monthly Performance Report/ Performance cum Achievement Report with photographs, as applicable.
Verification report (including a gist of expenditure and mode of payment) from the concerned Assistant Director, Handicrafts Service Centre/Field formation.
Utilization Certificate in GFR 12A, verified and certified by a Chartered Accountant (with membership number) and countersigned by the Implementing Agency.
Audited statement of accounts and statement of expenditure, verified and certified by a Chartered Accountant (with membership number) and countersigned by the Implementing Agency.
An inspection report from the concerned Assistant Director of the field office.
Any other documents requested by the competent authority.

Certifications Required for All Applicants:

All applicants must certify the following:

No financial assistance has been received from any other source for the same purpose.
The scheme provisions are fully understood, and responsibility for project completion within the stipulated time is accepted.
The organization possesses all necessary infrastructure to implement the project.
There is no duplication of efforts with existing schemes of other ministries.
The organization is not involved in corrupt practices and has not been black-listed by any central/state agency.
No Utilization Certificates (UCs) are pending for any scheme under the Office of the Development Commissioner (Handicrafts).

Note: All submitted documents should be attested by the Implementing Agency.

FAQ’s

What is the main goal of the Urban Haat initiative?

The Urban Haat initiative aims to create permanent marketplaces in towns and metropolitan cities. This helps artisans and handloom weavers sell their products directly to customers throughout the year.

What kind of facilities are included in an Urban Haat?

An Urban Haat will typically have 50-80 stalls (10x8 sq. ft. each), separate toilets for men and women, a dormitory for craftspersons (for at least 100 people), a food court, a stage for cultural programs, a store room, a meeting/conference room, and a souvenir shop.

How much financial support can be received for building a new Urban Haat?

For a new Urban Haat, the financial assistance can be up to ₹8,00,00,000/- per unit.

What is the funding structure for setting up an Urban Haat?

Typically, the Office of the Development Commissioner (Handicrafts) and the Office of the Development Commissioner (Handlooms) each contribute 40% of the cost. The implementing agency is responsible for the remaining 20% contribution, plus providing the land.

Are there special funding arrangements for certain regions?

Yes, for special areas like the Northeast, Jammu & Kashmir, Ladakh, Andaman & Nicobar Islands, and Lakshadweep, the funding is 45% from DC(HC), 45% from DC(HL), and 10% from the implementing agency.

What is the maximum financial assistance available for renovating an existing Urban Haat?

For strengthening or renovating existing Urban Haats, assistance can be provided up to a maximum of ₹2,50,00,000/-. This support is 100% funded by the Office of the DC (Handicrafts) & DC (Handlooms).

How are stalls allocated to artisans in an Urban Haat?

Stalls in the Haat are generally allotted to artisans on a rotational basis for a nominal rent.

Who can implement the Urban Haat projects?

Eligible implementing agencies include local statutory bodies, apex cooperative societies, national-level apex societies, and producer companies supported by the Office of the Development Commissioner (Handicrafts). Central/State Government agencies are also eligible.

Is there a minimum turnover requirement for implementing agencies?

Yes, implementing agencies must have a minimum audited annual turnover of ₹1.5 Crores for the last three consecutive years, unless they are Central/State Government agencies.

What are the benefits for buyers and tourists visiting an Urban Haat?

Urban Haats offer a unique experience for domestic and international tourists, providing leisure and recreational facilities. They can enjoy shopping for authentic Indian crafts and tasting regional cuisines, similar to the experience at Dilli Haat.

Where can I find the official guidelines for this scheme?

You can find the official scheme guidelines at this link: http://handicrafts.nic.in/pdf/Scheme.pdf#page=1

Where can I find the application form (proforma)?

The Proforma for the proposal can be found at this link: http://handicrafts.nic.in/CmsUpload/05182022101854Scan invitation of testing laboratories_organized.pdf

What does 'NHDP' stand for?

'NHDP' stands for the National Handicrafts Development Programme.