Education Loan Scheme (NSFDC) 2026

This scheme helps create permanent market spaces in cities for handicraft and handloom artisans, giving them a Read More... steady platform to sell their creations year-round. Read less

Details

The National Handicrafts Development Programme (NHDP) has a special component called 'Infrastructure and Technology Support: Urban Haat.' This initiative aims to build permanent marketplaces in towns and major cities across India.

What Is This Scheme?

Urban Haat is designed to give artisans and handloom weavers a dedicated place to sell their products directly to customers. Think of it as a permanent bazaar where people can buy authentic Indian handicrafts and handloom items anytime. These Haats will also feature food stalls offering popular dishes from different parts of India, rotating regularly.

Who Can Benefit From This Scheme?

The primary beneficiaries are handicraft artisans and handloom weavers who get a stable platform to sell their goods. The scheme also benefits buyers and tourists by providing a one-stop shop for genuine Indian crafts and cuisine, similar to the popular Dilli Haat.

Why This Scheme Is Important

This scheme is crucial for supporting the livelihoods of artisans and weavers by providing them with better market access. It helps preserve and promote India's rich cultural heritage by showcasing traditional crafts and culinary diversity. By creating permanent infrastructure, it ensures continuous economic opportunities for craftspeople and offers a unique cultural experience for visitors.

Objective

This scheme helps create permanent market spaces in cities for handicraft and handloom artisans, giving them a steady platform to sell their creations year-round.

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

Eligibility Criteria

Local statutory bodies, apex cooperative societies, and national-level apex societies that are registered under the Societies Act or Trusts Act.
Producer Companies that are supported by the Office of the DC Handicrafts.
Implementing agencies must have a minimum audited annual turnover of ₹1.5 Crore for the last three consecutive years. This rule does not apply to Central/State Government agencies acting as Implementing Agencies.

How To Apply

Proposals in the prescribed format, along with all necessary self-attested supporting documents, must be submitted in hard copy to the concerned Handicraft Service Center (HSC), Office of the DC (Handicrafts).

The specific link for the Proforma for Proposal is: http://handicrafts.nic.in/CmsUpload/05182022101854Scan invitation of testing laboratories_organized.pdf

Documents Required

For New Project Proposals:

Proposal submitted in the official proforma.
A recommendation letter from the Field Office/Regional Office.
A valid Registration Certificate for the organization.
Articles and Memorandum of Association.
Bye-Laws of the organization.
Audited financial statements (Balance Sheet and accounts) for the last three years.
The Annual Report for the last year.
An affidavit confirming no corrupt practices and the validity of the organization's registration.
Proof of land ownership or a lease agreement for the proposed project site, along with a Detailed Project Report (DPR).
A feasibility report for the project, certified by a scheduled commercial bank.
Construction plans and cost estimates, authenticated by an Architect or Chartered Engineer.
A third-party assessment report from a recognized Chartered Engineer or technical valuer for any equipment or machinery to be installed.
An undertaking that the implementing agency will cover the remaining project cost, including any escalation.
Any other documents specified in the Proforma or requested by the competent authority.

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

For Reimbursement Proposals:

Monthly Performance Report or Performance-cum-Achievement Report (as applicable), including photographs.
A verification report detailing the expenditure and mode of payment, from the concerned Assistant Director of the Handicrafts Service Centre/Field formation.
Utilization Certificate in GFR 12A, verified and certified by a Chartered Accountant (including their membership number) and countersigned by the Implementing Agency.
An audited statement of accounts and statement of expenditure, verified and certified by a Chartered Accountant (including their 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 Proposals:

All applicants must certify the following:

That no financial assistance has been received from any other source for the same project.
That the scheme's provisions have been fully understood and responsibility for timely project completion is accepted.
That the organization possesses all necessary infrastructure to implement the project.
That there is no overlap with existing schemes of other ministries.
That the organization is not involved in any corrupt practices and has not been blacklisted by any central or state agency.
That no Utilization Certificates (UCs) are pending for any scheme under the Office of the DC (Handicrafts).

FAQ’s

What is the main goal of the 'Urban Haat' component of the NHDP?

The 'Urban Haat' component aims to create permanent marketplaces in towns and metropolitan cities. This provides artisans and handloom weavers with direct marketing opportunities, allowing them to sell their products year-round to a wider audience.

Who is responsible for managing the Urban Haat facilities?

Implementing agencies are encouraged to form Special Purpose Vehicles (SPVs). These SPVs can involve various bodies related to tourism, culture, food, and processing industries, including tour operators and hotel operators, alongside handicraft and handloom organizations. This collaboration ensures efficient management and sustained utilization of the facilities.

What facilities will be available at an Urban Haat?

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

What is the maximum financial assistance available for setting up a new Urban Haat?

The maximum financial assistance for setting up a new Urban Haat unit is ₹8,00,00,000/-.

How is the financial assistance for an Urban Haat typically funded?

The funding is generally split with 40% each from the Office of the DC (Handicrafts) and DC (Handlooms), and the implementing agency contributes the remaining 20%. The implementing agency also needs to provide the land.

What is the funding pattern for Urban Haats in special regions like Andaman & Nicobar Islands?

In special areas like the North-Eastern Region, Jammu & Kashmir, Ladakh, Andaman & Nicobar Islands, and Lakshadweep, the Office of the DC (Handicrafts) and DC (Handlooms) each contribute 45% of the assistance, and the implementing agency contributes 10%.

Can existing Urban Haats receive financial help for improvements?

Yes, financial assistance is available for strengthening or renovating existing Urban Haats, with a maximum limit of ₹2,50,00,000/-. This support is fully funded by the Office of the DC (Handicrafts) & DC (Handlooms).

What is the purpose of the food court in an Urban Haat?

The food court aims to offer authentic Indian cuisine from various regions, which will be served on a rotational basis, adding to the cultural experience for visitors.

Are there specific requirements for the implementing agency's turnover?

Yes, implementing agencies applying for infrastructure projects need to have a minimum audited annual turnover of ₹1.5 Crore for the last three consecutive years. However, this requirement is waived for Central/State Government agencies acting as implementing bodies.

What is the typical size of the stalls at an Urban Haat?

Each stall at an Urban Haat is usually 10x8 sq. ft.

Where can I find the official guidelines for the NHDP schemes?

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

What happens if an organization has pending Utilization Certificates (UCs) from previous schemes?

If an organization has any pending Utilization Certificates (UCs) for any scheme under the Office of the DC (Handicrafts), they must ensure these are cleared. Having pending UCs might affect their eligibility for new assistance.

What does the term 'NHDP' stand for?

'NHDP' stands for the 'National Handicrafts Development Programme'.

Can I apply if I have received funding from another source for the same purpose?

No, you cannot apply if you have already received financial assistance from any other source for the same project. You must certify that no such dual funding exists.