The Government’s Scheme of Fund for Regeneration of Traditional Industries has benefited more than three lakh artisans across the country through the development of cluster based support systems aimed at strengthening traditional industries and improving rural livelihoods.
Minister of State for Micro Small and Medium Enterprises Shobha Karandlaje informed the Rajya Sabha in a written reply that a total of 513 clusters across various traditional sectors have been approved under the SFURTI scheme since the financial year 2015–16.
These clusters are proposed to benefit about 3.03 lakh traditional artisans across different regions of the country, providing them with improved infrastructure, skill development opportunities and better access to markets.
The SFURTI scheme focuses on revitalizing traditional industries by organizing artisans and rural producers into clusters where they can access common facilities, modern equipment and professional support services. The objective is to enhance productivity, improve product quality and ensure sustainable income for artisans engaged in traditional crafts and industries.
Under the scheme, several interventions are undertaken to support cluster development. One of the key components is the Hard Intervention framework, which includes the construction of Common Facility Centres, procurement and installation of plant and machinery and the establishment of Raw Material Banks.
Common Facility Centres serve as shared infrastructure hubs where artisans can access modern equipment and production facilities that would otherwise be difficult for individual artisans to acquire. These centres help improve production efficiency, enable value addition and reduce operational costs for artisan groups.
The provision of Raw Material Banks ensures timely availability of raw materials for artisans at reasonable prices, helping reduce production delays and enabling better planning of manufacturing activities.
In addition to infrastructure development, the scheme also implements Soft Interventions aimed at building the capacity of artisans and strengthening their entrepreneurial skills.
These activities include training programmes, exposure visits, buyer seller meets and various capacity building initiatives designed to improve production techniques, business management and market awareness among artisans.
Training programmes conducted under the scheme focus on improving technical skills, product design and quality standards. Exposure visits provide artisans with opportunities to learn from successful clusters and innovative practices in other regions.
Buyer seller meets are organised to connect artisan groups with traders, exporters and institutional buyers, enabling them to expand their market reach.
The scheme also places strong emphasis on marketing support. Empanelled Technical Agencies play an important role in assisting clusters in developing and implementing marketing strategies.
These agencies help artisan groups explore new marketing channels, particularly through e commerce platforms and digital marketplaces. They also assist in planning business development strategies, adopting new media marketing approaches and promoting products through advertising and publicity initiatives.
The support provided by Technical Agencies enables artisan clusters to strengthen their brand presence, improve product positioning and access both domestic and international markets.
According to a review of functional SFURTI clusters conducted by the Ministry of Micro Small and Medium Enterprises, the scheme has resulted in a measurable improvement in the economic conditions of artisans.
The review indicates that income levels of artisans have generally increased by 15 to 18 percent due to factors such as value addition, diversification of products and improved access to domestic and export oriented markets.
The scheme has also contributed to employment generation in rural areas. Regular wage based work created through Common Facility Centres has helped provide more stable livelihoods to artisans who previously depended on irregular or seasonal employment.
By strengthening production systems and expanding marketing opportunities, the SFURTI scheme aims to preserve traditional crafts while making them economically viable for future generations.
Officials said the cluster based approach has helped create integrated ecosystems for traditional industries where artisans can access infrastructure, technology, training and markets under a single framework.
The initiative is part of the broader effort by the Government to promote rural entrepreneurship, preserve traditional skills and support the growth of micro and small enterprises across the country.
