NCLS

New Charkha-Loom Scheme

6.2/10

The scheme provides 65% financial assistance for purchasing Amber Charkhas (₹13,000/-) and looms (₹30,000/-) to registered Khadi spinners and weavers, promoting sustainable livelihoods.

State Cash

States / UT: Gujarat

Nodal department: Industries and Mines Department

Scheme for: Individual

Scheme profile

DBT (direct benefit transfer): No

Categories: Business & Entrepreneurship

Sub-categories: Setting up / start-up / entrepreneurship, Machine & skill up-Gradation, Technology upgradation, Micro finance

Target beneficiaries: Individual

Tags: Loom, Weaver, Artisan, Subsidy, Fabric

Details

The "New Charkha-Loom Scheme" implemented by the Commissioner of Cottage and Rural Industries, Industries & Mines Department, Government of Gujarat, aims to modernize Khadi production by providing financial assistance for Amber Charkhas and looms to registered Khadi spinners and weavers. The scheme offers 65% subsidy on equipment costs (₹13,000/- for Charkhas, ₹30,000/- for looms) to enhance productivity and sustain traditional artisans. Implemented through registered Khadi/Polyvastra organizations, it targets spinners and weavers certified by Khadi institutions.

Benefits

  • Subsidy for Equipment
  • Amber Charkha: 65% of ₹13,000/- (₹8,450/- subsidy)
  • Looms: 65% of ₹30,000/- (₹19,500/- subsidy). Disbursement Mode Credited to the beneficiary’s account post-verification

Subsidy for Equipment

  • Amber Charkha: 65% of ₹13,000/- (₹8,450/- subsidy).
  • Looms: 65% of ₹30,000/- (₹19,500/- subsidy).

Disbursement Mode
Credited to the beneficiary’s account post-verification.

Eligibility

  • The applicant must be a registered Khadi/Polyvastra spinner or weaver.
  • The applicant’s organization must hold a valid Khadi certification.
  • Equipment must be purchased for active Khadi production.

How useful is this scheme?

Public benefit analysis

A practical look at this scheme for citizens

AI-generated insights showing how useful, accessible, and practical this scheme may be — combining deterministic scoring rules with a public-policy LLM analyst.

6.2
/ 10
Public Benefit Score
Accessibility 6.0/10 Moderate
Rural usefulness 7.0/10 Good
Application complexity 5.0/10 Moderate
Financial impact 6.0/10 Moderate
Literacy barrier 2.0/10 Good
Women inclusivity 7.0/10 Good
Awareness 4.5/10 Moderate
Implementation reliability 8.0/10 Good
Bigger shape means a better fit for citizens
  • Accessibility6.0
  • Financial impact6.0
  • Rural utility7.0
  • Awareness4.5
  • Simplicity5.0
  • Inclusivity7.0

What problem does this scheme solve?

The New Charkha-Loom Scheme provides significant financial assistance to promote Khadi production, benefiting registered spinners and weavers.

Key challenges addressed

  • Financial support for purchasing equipment
  • Promotion of sustainable livelihoods for artisans

Most beneficial for

  • Registered Khadi spinners
  • Weavers affiliated with Khadi institutions

Likely challenges

  • Complex application process for semi-literate individuals
  • Need for Khadi certification

Practical insights for citizens

Practical for those already engaged in Khadi production but challenging for new entrants.

Rural challenges

  • Access to approved vendors may be limited
  • Need for physical visits to offices

Implementation bottlenecks

  • Verification delays
  • Dependency on local office efficiency

Awareness challenges

  • Limited outreach to potential beneficiaries

Application analysis

Application mode
Offline office
Documents burden
Moderate, requires purchase invoices and certification proof
Verification complexity
Moderate, involves verification of documents and eligibility
Office dependency
High, requires visits to local offices
DBT dependency
Low, subsidy credited directly to bank accounts
CSC support
Limited, primarily offline
Estimated citizen effort
Moderate, requires multiple steps and document preparation

Estimated beneficiary reach

  • Rural / urban reach High
  • Gender reach Moderate
  • Occupation reach Artisans, Weavers

Benefit analysis

Benefit type
Cash
Benefit frequency
One-time for equipment purchase
Benefit practicality
High, as it directly supports equipment purchase
Financial meaningfulness
High, significant subsidy amount relative to equipment costs
Long-term impact
Positive, promotes sustainable livelihoods and traditional crafts

Plain-language guidance

The New Charkha-Loom Scheme helps registered Khadi spinners and weavers by providing financial assistance to buy equipment. It aims to support traditional artisans and promote sustainable livelihoods.

Who should apply
Registered Khadi spinners and weavers with valid certification.
Who may struggle
Semi-literate individuals and those unfamiliar with the application process.
Best application route
Apply at your nearest Khadi institution or Cottage Industries Office.

This intelligence section is generated by an AI policy analyst combined with rule-based scoring. Scores and narrative are estimates derived from the publicly available scheme information shown on this page; actual experience may vary by state, district, and department. Always confirm details on the official portal before you apply.

Application Process

Offline

Step 1: The interested applicants should purchase the equipment (Amber Charkha or loom) from an approved vendor.
Step 2: Visit the Khadi institution or Cottage Industries Office, or their nearest District Industries Center (DIC), and request the prescribed format of the application form for the subsidy claim from the designated staff.
Step 3: In the form, fill in all the mandatory fields, and attach copies of all the required documents (Purchase Invoices, Certification Proof, etc).
Step 4: Submit the duly filled and signed application form along with the copies of the required documents to the designated staff and request a receipt or acknowledgement.

Clarifications

Additional points from the scheme information published on myScheme (not legal advice).

What financial assistance is provided for purchasing an Amber Charkha under this scheme?

A 65% subsidy (₹8,450/-) is given on the total cost of ₹13,000/- for an Amber Charkha.

Who is eligible to apply for the loom subsidy under this scheme?

Registered Khadi/Polyvastra weavers affiliated with certified Khadi institutions are eligible.

How is the subsidy amount disbursed to beneficiaries?

The subsidy is directly credited to the beneficiary’s bank account after verification.

What is the total cost of a loom covered under this scheme?

The scheme subsidizes looms priced at ₹30,000/-, with a 65% (₹19,500/-) subsidy.

Can individual spinners apply, or is membership in an organization mandatory?

Applicants must be registered with a Khadi/Polyvastra-certified institution or organization.

What documents are required to claim the subsidy for an Amber Charkha?

Purchase invoices, Khadi certification, proof of registration, and bank details are needed.

Is there a subsidy for both Charkhas and looms, or only one per applicant?

The scheme covers both, with separate subsidies (₹8,450/- for Charkhas, ₹19,500/- for looms).

Where should applicants submit their subsidy application forms?

Forms must be submitted at the nearest Khadi institution or Cottage Industries Office.

Are non-Khadi weavers eligible for this subsidy?

No, only registered Khadi/Polyvastra spinners/weavers with valid certification qualify.

How much must a beneficiary contribute toward the purchase of a loom?

The beneficiary pays 35% (₹10,500/-) of the ₹30,000/- loom cost.

What proof is required to confirm active Khadi production?

The applicant’s Khadi institution certification serves as proof of active production.

Can applicants buy equipment from any vendor, or are there approved sellers?

Equipment must be purchased from approved vendors (implied by invoice submission).

Does the scheme cover repairs or upgrades to existing Charkhas/looms?

No, only new purchases of Amber Charkhas and looms are subsidized.

References

Guidelines [INCENTIVES FOR COTTAGE AND RURAL INDUSTRIES]
https://ifp.gujarat.gov.in/DIGIGOV/StaticAttachment?AttachmentFileName=/pdf/IncentiveDetails/11_Incentives_for_Cottage_and_Rural_Industries.pdf
Guidelines [COTTAGE & RURAL INDUSTRIES POLICY] [Page No.: 29]
https://indextb.com/files/2024/3/c734ed12-abef-46b9-9387-03911250a5ff_pdf_Policies_6a.pdf

Apply

Apply now

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Frequently asked questions

What is the purpose of New Charkha-Loom Scheme?
New Charkha-Loom Scheme is a government welfare initiative designed to support Individual, Individual through benefits related to Business & Entrepreneurship, financial assistance, subsidies, social welfare, healthcare, education, or livelihood support.
Who can apply for New Charkha-Loom Scheme?
Eligibility for New Charkha-Loom Scheme may depend on factors such as income category, age, gender, occupation, state of residence, social category, and government-defined beneficiary criteria.
What benefits are offered under New Charkha-Loom Scheme?
Benefits under New Charkha-Loom Scheme may include financial assistance, subsidies, scholarships, insurance support, healthcare benefits, pension support, training assistance, or welfare services depending on the scheme guidelines.
Which department manages New Charkha-Loom Scheme?
New Charkha-Loom Scheme is managed by Industries and Mines Department and may be implemented through district offices, online portals, CSC centres, banks, or authorised government agencies.
Can users apply online for New Charkha-Loom Scheme?
Yes, eligible applicants may be able to apply online for New Charkha-Loom Scheme through official government portals, authorised service centres, or digital application systems depending on the implementation process.
Is Aadhaar mandatory for New Charkha-Loom Scheme?
Many government schemes may require Aadhaar verification, identity proof, or linked bank account details for beneficiary validation and direct benefit transfer processing.
Where can users apply for New Charkha-Loom Scheme?
Applications for New Charkha-Loom Scheme may be submitted through government departments, official scheme portals, CSC centres, district offices, welfare departments, or authorised service centres.
What documents may be required for New Charkha-Loom Scheme?
Applicants may need Aadhaar card, income certificate, residence proof, bank account details, caste certificate, photographs, educational records, or occupation-related documents depending on scheme eligibility requirements.
Is New Charkha-Loom Scheme available in all states?
No, New Charkha-Loom Scheme is primarily available for eligible residents of Gujarat and may be implemented through state government departments and local administrative offices.
Can residents outside Gujarat apply for New Charkha-Loom Scheme?
Eligibility for New Charkha-Loom Scheme is generally limited to residents of Gujarat unless otherwise specified in the official scheme guidelines.
Does New Charkha-Loom Scheme provide business loan or startup assistance?
New Charkha-Loom Scheme may support entrepreneurs, startups, self-employed individuals, MSMEs, or small businesses through financial assistance, subsidies, credit support, or training initiatives.
Is collateral required under New Charkha-Loom Scheme?
Collateral requirements may vary depending on the loan amount, implementing agency, financial institution, and government subsidy structure.
Can CSC centres help users apply for New Charkha-Loom Scheme?
Many government schemes may be accessible through nearby CSC centres, authorised digital service centres, or welfare facilitation offices.
How can users check the latest updates for New Charkha-Loom Scheme?
Users should verify official notifications, department announcements, application deadlines, and eligibility updates through authorised government portals or implementing agencies.
Can beneficiaries track application status for New Charkha-Loom Scheme?
Certain schemes may provide online application tracking, beneficiary verification systems, or status-check facilities through official portals.
Where can users get help for New Charkha-Loom Scheme in Gujarat?
Users in Gujarat may seek assistance through CSC centres, district welfare offices, government departments, agriculture offices, social welfare departments, or authorised facilitation centres.
Which nearby public services may help with New Charkha-Loom Scheme applications?
Depending on the scheme, users may require support from Aadhaar centres, CSC centres, banks, hospitals, post offices, or government welfare offices for document verification and application assistance.