NCLS

New Charkha-Loom Scheme

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.

Exclusions


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

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Documents Required for Government Schemes

Most government schemes require basic documents for verification. While the exact requirements vary, common documents include:

  • Aadhaar Card
  • Income Certificate
  • Caste Certificate (if applicable)
  • Residence Proof
  • Bank Account Details
  • Educational Certificates (for student schemes)

How to Apply for Government Schemes?

The application process for government schemes may be online or offline depending on the scheme. In most cases, you can follow these steps:

  1. Check eligibility criteria
  2. Collect required documents
  3. Fill the application form
  4. Submit the application online or at the relevant office
  5. Track application status