Lok Sabha Question No. 828 (UNSTARRED), answered on 2020-02-06
Subject: SFURTI Yojana
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: Naranbhai Bhikhabhai Kachhadiya, Parbatbhai Savabhai Patel

## GOVERNMENT OF INDIA MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES

## LOK SABHA UNSTARRED QUESTION NO. 828 TO BE ANSWERED ON 06.02.2020

## SFURTI  YOJANA

## 828.   SHRI NARANBHAI KACHHADIYA: SHRI PARBATBHAI SAVABHAI PATEL:

Will the Minister of MICRO, SMALL AND MEDIUM ENTERPRISES be pleased to state:

- (a) the  details  of  new  provisions  of  the  Government  for  Scheme  of  Fund  for Regeneration of Traditional Industries (SFURTI) Yojana;
- (b) the manner in which it is beneficial for Khadi, honey and bamboo industries;
- (c) whether  the  Government  intends  to  include  more  commodities  under  it  by expanding its base and if so, the details thereof; and
- (d) the number of rural people estimated to be benefited by it including the details of funds provisions made in this regard?

## ANSWER

## MINISTER OF MICRO, SMALL AND MEDIUM ENTERPRISES (SHRI NITIN GADKARI)

- (a): The  details  of  new  provisions  of  the  Government  for  Scheme  of  Fund  for Regeneration of Traditional Industries (SFURTI) Yojana is placed at Annexure-I.
- (b): A  statement  showing  the  benefits  to  khadi,  honey  and  bamboo  industries  is placed at Annexure-II.
- (c): At present, no such proposal is under consideration of the Government.
- (d): On an average 500 artisans/workers are expected to be benefitted in one cluster set up under SFURTI Scheme.  A provision of Rs.125 crore was made under SFURTI for the year 2019-20 (BE) and which has been increased to Rs.185 crore at RE stage.

* * *

## Annexure-I referred to in reply to part (a) of the Lok Sabha Unstarred Question No. 828 for answer on 06.02.2020

## The details of new provisions in the SFURTI Guidelines are as under:

The financial assistance provided for any specific project shall be subject to maximum of Rs.5.00 Crores and now only two types of clusters are introduced in place of three clusters (Heritage, Major & Mini clusters). The new clusters are as under:

| Type of clusters                       | Per cluster Budget Limit   |
|----------------------------------------|----------------------------|
| Regular Cluster (upto 500 Artisans)    | Rs.2.50 Crores             |
| Major Cluster (more than 500 Artisans) | Rs.5.00 Crores             |

The funding pattern under the Scheme is as under:

|    | Project Intervention                                                                | Scheme Funding        | Financial Limit                                                 |                                            | IA Share                                             |
|----|-------------------------------------------------------------------------------------|-----------------------|-----------------------------------------------------------------|--------------------------------------------|------------------------------------------------------|
| A  | Cluster Interventions                                                               | Cluster Interventions | Cluster Interventions                                           |                                            |                                                      |
| A1 | Soft Interventions including Skill Trainings, Capacity Building, Design Development | 100%                  | 10% of Hard Intervention (H.I) or Rs.25 lakhs whichever is less | Maximum Rs.5.00 Crores per Project (A+B+C) | Nil                                                  |
| A2 | Hard Interventions(HI) including CFCs, RMBs, Training Centers etc. *                | 90%                   | -                                                               | Maximum Rs.5.00 Crores per Project (A+B+C) | 10% of Hard Intervention as own contribution in cash |
| B  | Cost of T.A                                                                         | 100%                  | 8% of Hard Intervention or Rs.30 lakhs whichever is less        | Maximum Rs.5.00 Crores per Project (A+B+C) | Nil                                                  |
| C  | Cost# of IA/SPV Including CDE                                                       | 100%                  | 8% of Hard Intervention or Rs.20 lakhs whichever is less        | Maximum Rs.5.00 Crores per Project (A+B+C) | Nil                                                  |

## Annexure-II referred to in reply to part (b) of the Lok Sabha Unstarred Question No. 828 for answer on 06.02.2020

## Benefits of SFURTI Yojana for the clusters of Khadi, Honey and Bamboo industries

The scheme is helping and supporting the Artisans and Implementing Agencies by way of -

-  Replacement of Charkhas and looms, creation of ready warp units, dying & printing facilities,  readymade  garment  manufacturing  units  resulted  new  strength  to  the artisans working in the Khadi Sector.
-  Design interventions in weaving printing dyeing and garment making carried
-  Capacity building for Khadi artisans.
-  Distribution  of  toolkits  to  the  artisans  of  V.I.  clusters  and  imparting  skill  upgradation training to VI artisans
-  Interventions carried under SFURTI resulted in enhancing Khadi spinner's average earnings by 60% and weavers by 61%.
-  Revival of many of the traditional industries taken up in Khadi, Cane & Bamboo, Beekeeping, Pottery, Siddha & Ayurvedic, traditional arts (Madhubani Paintings and Kalamkari Paintings, Wood Carving, Desi Juthi, Kolhapur Leather products, Food Processing etc. in remote rural areas.
-  Up  gradation  of  livelihood  -  sanitation,  insurance,  health  camps  etc.  Coverage  of artisans  under  medical  insurance  scheme.  Providing  arrangements  for  domestic lightings,  sanitation,  potable  water,  road  connectivity  etc.  Increased  the  coverage under Janashree Bima Yojana, Artisan work shed scheme are some of the innovative measures taken for upliftment of the artisans working in the clusters.
-  Involving  State  Govt.  and  State  Govt.  Agencies  in  Cluster  Development  Program and extracting the benefit. Land for CFC is allotted to the SFURTI clusters by the concerned State Governments.
-  Creating confidence among the artisans towards their inherent skill and sustainability to their traditional skill.
-  KVIC  has  been  asked  to  develop  Honey  based  clusters  on  SFURTI  scheme guidelines.
-  More than 20 Bamboo based clusters have been approved under the scheme.