This scheme aims to empower artisans and handicrafts businesses by developing clusters with better infrastructure, skills, and Read More... market access, supported by financial assistance. Read less
Details
The Ministry of Textiles, through the Development Commissioner (Handicrafts), has rolled out the Comprehensive Handicrafts Cluster Development Scheme (CHCDS). This initiative is designed to give a major boost to the handicrafts sector across India.
CHCDS is all about transforming handicraft clusters into thriving hubs. It focuses on creating top-notch infrastructure, improving how things are made, and making it easier for artisans to sell their creations. The goal is to build a stronger ecosystem for handicrafts nationwide.
The primary beneficiaries are artisans and craftsmen working in handicraft clusters. The scheme also supports cluster-based enterprises and implementing agencies looking to enhance the sector.
This scheme is crucial for increasing the competitiveness of Indian handicrafts, both at home and abroad. It aims to bring together scattered artisans, build robust local businesses, and generate more jobs and income for them. By providing essential support in areas like infrastructure, technology, design, marketing, and raw materials, it helps artisans and SMEs scale up their operations and reach wider markets.
Objective
Benefits
Sources and references
To be eligible for this scheme, applicants should meet the following criteria:
The application process generally involves the following steps:
For detailed application procedures and submission points, please refer to the official scheme guidelines available on the Ministry of Textiles website.
Applicants will typically need to submit the following documents:
Can artisans directly apply for this scheme?
The scheme is primarily implemented by recognized agencies like corporations, cooperatives, or SPVs. Artisans are beneficiaries, and their clusters are supported through these implementing agencies.
What happens after the 3-year project duration?
The project duration is 3 years, but it can be extended by another year with the necessary approvals. The infrastructure developed is monitored for up to 10 years post-completion.
What is the financial limit for preparing the DPR?
You can get financial support of up to ₹5,00,000 or 2% of the total project cost, whichever amount is smaller, for conducting the baseline survey and preparing the DPR.
Are there any provisions for designers under the scheme?
Yes, the scheme supports the engagement of designers. They can be hired for up to 3 years with a monthly remuneration of ₹55,000, which includes travel allowances. Graduates from NID and NIFT are preferred.
How does the scheme help in increasing income for artisans?
By improving infrastructure, skills, access to raw materials, and market linkages, the scheme aims to boost productivity and sales, directly contributing to higher incomes for artisans.
What specific types of infrastructure will be developed?
The scheme facilitates the creation of essential infrastructure such as Common Facility Centres, Raw Material Banks, Design Centres, and Trade Facilitation Centres to support the handicraft clusters.
How are the funds released to the implementing agencies?
Funds are disbursed in installments. The first installment is 50% of the approved cost. The second is 40% after 70% of the first installment is used, and the final 10% is released upon project completion. All transactions are cashless and electronic, managed through AEPS.
What is the minimum number of artisans required for a cluster?
A cluster should ideally cover more than 10,000 artisans, or essentially all artisans available within that specific cluster area.
Does the scheme support the promotion of Indian handicrafts internationally?
Absolutely. The scheme actively promotes product diversification, branding, and export promotion to help Indian handicrafts gain access to international markets and increase foreign exchange earnings.
What is the main objective of the CHCDS?
The primary goal is to enhance the competitiveness of handicraft clusters, integrate artisans into strong enterprises, generate livelihoods, and provide comprehensive support for infrastructure, technology, design, and marketing.
What documents are needed to prove the agency's identity?
You will need to provide the Registration Certificate of the Agency and its Memorandum and Articles of Association (MOA/AOA) to establish the identity and legal standing of the implementing body.