Artisans, weavers, potters, and those involved in the Khadi and coir industries in India’s villages and small towns are the backbone of the country’s cultural identity. To strengthen and modernise these traditional industries, the central government has launched the SFURTI scheme. This scheme not only provides financial assistance to artisans but also connects them with new designs, modern machinery, better marketing, and branding.
SFURTI adopts a cluster-based development model, enabling hundreds of artisans in the same region to progress collectively. The government provides heavy subsidies on training, technical assistance, and infrastructure development under this scheme. Its objective is to create sustainable rural employment and give traditional skills a local-to-global recognition. The SFURTI scheme is a crucial step towards realising the dream of a self-reliant India at the grassroots level.
What is the SFURTI scheme?
SFURTI, which stands for Scheme for Fund for Regeneration of Traditional Industries, is a flagship scheme of the Government of India, launched in 2005 by the Ministry of MSME. Its objective is to organise the country’s traditional industries, connect them with modern technology, and make them competitive in the market. This scheme is specifically designed for artisans and small entrepreneurs working in rural and semi-urban areas.
Why was the scheme needed?
For a long time, traditional industries remained unorganised, resulting in limited income and uncertain employment for artisans. Due to a lack of access to modern markets, branding, and technology, these industries lagged. The SFURTI scheme addresses this problem by strengthening traditional skills commercially and providing artisans with opportunities for sustainable livelihoods.
How is the SFURTI scheme implemented?
The responsibility for implementing this scheme on the ground lies with the Coir Board, which is the nodal agency. The Coir Board selects clusters in various regions, and these are developed through implementing agencies. A cluster typically comprises around 500 artisans or small entrepreneurs from the same region who collectively engage in production and marketing.
Funding Pattern and Financial Assistance
Under the SFURTI scheme, a cluster project receives financial assistance of up to ₹8 crore. The government covers the entire cost of activities such as training, design development, marketing, and branding. For physical infrastructure such as machinery, common facility centres, and other infrastructure, the government provides 75 percent assistance in general states and up to 90 percent in the North-Eastern states, Jammu and Kashmir, and hilly states.
Which Entities Can Benefit?
Non-governmental organisations, government and semi-government institutions, Panchayats, private companies, CSR foundations, and cluster-based Special Purpose Vehicles (SPVs) can apply for this scheme. The condition is that the concerned entity must have experience in cluster development.
What is the Application Process?
The application process for the SFURTI scheme is entirely online. Interested organisations register on the official SFURTI portal, upload the necessary documents, and submit their detailed project proposal. Funding is sanctioned after the proposal is reviewed.
Real Benefits for Artisans
Under this scheme, artisans are organised into groups, which increases their bargaining power. They are introduced to new designs, improved packaging, and modern marketing techniques. They also receive facilities such as skill training, technical training, exposure visits, and access to common facility centres.
Self-Reliant India and the Local to Global Vision
The SFURTI scheme is an important part of the Atmanirbhar Bharat (Self-Reliant India) campaign. Its objective is to connect traditional crafts with modern markets and digital platforms, enabling artisans to establish their presence not only in the domestic market but also internationally.