Dattopant Thengadi Artisan Interest Subsidy Scheme
State: Gujarat
Ministry: null
Department: Industries and Mines Department
Category: Business & Entrepreneurship
Beneficiary Type: Individual

The scheme aims to provide financial assistance and low-interest capital to Handloom & Handicraft artisans for business development. It offers loans up to ₹1,00,000/-, along with Margin Money Subsidy (20-25%) and a 7% Interest Subsidy, benefiting registered artisans of Cottage industries in Gujarat.

Benefits:
**Financial Assistance**

- A maximum credit limit of ₹1,00,000/- is available for machinery or working capital (raw materials) or both.
- Intended Use: This financial assistance is provided to purchase raw materials, equipment, tools, and machinery for the development of existing or new businesses.

**Margin Money Subsidy**

- 20% of the loan amount for General Category (Male) beneficiaries.
- 25% of the loan amount for Reserved Category (Scheduled Castes/Scheduled Tribes), Women, and blind or handicapped beneficiaries with 40% or more disability.
- Disbursement: The subsidy is available after the disbursement of the loan and is credited to the beneficiary&#39;s Bank Account.
- Validity: The Margin Money Subsidy is available on a maximum loan of up to ₹1,00,000/- during a period of three years.

**Interest Subsidy**

- An interest subsidy is available at the rate of 7%.
- Disbursement: The subsidy is credited to the beneficiary&#39;s account on a half-yearly basis.
- Conditions for Disbursement: The subsidy is credited after the receipt of the subsidy claim from the bank. Penal interest or other charges must not be included in the claim.
- Validity: The subsidy is available for a maximum period of three years.

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**Conditions for Continuation:** Further benefit under this scheme can be extended for a maximum of three times with the same conditions, upon the recommendation of the Bank, to beneficiaries who regularly pay the instalments as fixed by the Bank.
**Mode of Disbursement for all Subsidies**

- All subsidy disbursements will be made through RTGS/e-Payment only.
- Beneficiaries must provide details such as their Account Number, IFSC Code, TAN No., and Aadhaar Number for this purpose.

**Conditions for Availment/Continuation of Loan and Benefits**

- The beneficiary is bound to repay the loan, along with its interest, regularly within a period of a minimum of one year (12 monthly instalments) and a maximum of three years (36 monthly instalments), as fixed by the Bank.
- The artisan must regularly pay the instalments and interest to the bank and must not be a defaulter of the bank.
- The loan sanctioned must be used only for the purpose for which it was approved. If used for any other purpose, the beneficiary is bound to immediately repay the loan, interest, and government assistance, and agrees that it can be recovered as land revenue arrears.
- The implementing agency will ensure through on-site visits that the machinery, equipment, or raw materials are purchased for the intended purpose after the disbursement of the loan.

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Eligibility:
**General Eligibility**

- The applicant must be more than 18 years of age.
- The applicant must have an Identity card issued by the Development Commissioner Handloom/Handicraft/Indext-C.
- The applicant must have skills in Handloom or Handicraft art.
- The applicant must be registered as an artisan in urban as well as rural areas of the State with the Indext-C of the Cottage and Rural Industries Department.

**Relaxation/Inclusions**

- The applicant may be a Physically Handicapped or Blind Artisan, who can also avail the benefits of this scheme.
- The applicant may hold a Provisional Certificate as an artisan issued by the General Manager, District Industries Centre, if they do not possess an Identity Card from the Development Commissioner.

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Application Process:
[Offline]
Step 1: The applicant must take print of the prescribed application form from the official website of the Commissioner of Cottage & Rural Industries.
Step 2: The applicant must fill in all required details completely and accurately in two copies of the application form. This includes, but is not limited to, personal details, business details, and financial requirements.
Step 3: The applicant must affix two passport size photographs on both copies of the application form. The applicant must arrange all required documents and enclose their certified copies with the application.
Step 4: The applicant must submit the completed application form, along with all certified supporting documents (in two copies), to the District Industries Centre of the concerned district.
Post Application Processes
Step 1: Upon successful application, financial institutions, including Nationalized Banks, Regional Rural Banks, Co-operative Banks, Public Sector Banks, and Private Banks, will sanction the loan as per their norms and disburse the total amount.
Loan instalments will become effective after disbursement, as fixed by the Bank.
Step 2: The Bank will submit subsidy claims (Margin Money Subsidy and Interest Subsidy) to the Commissioner, Cottage and Rural Industries, or District Industries Centre.
Step 3: Upon receipt of the subsidy claim from the Bank, the Margin Money Subsidy (one-time after loan disbursement) and Interest Subsidy (half-yearly) will be credited directly to the beneficiary’s bank account.
*The bank will certify that the artisan pays regular instalments and is not a defaulter for the subsidy to be disbursed.
*The bank will also certify that the loan amount has been used for the intended purpose, such as purchasing machinery/raw materials, after verifying the site.

Documents Required:
For Application Submission
Two Passport Size Photographs (to be affixed on both copies of the application form).
Certified Copy of Election Card / Aadhaar Card.
Certified Copy of Artisan Identity Card (issued by Development Commissioner Handloom/Handicraft/Indext-C) / Provisional Certificate (issued by General Manager, District Industries Centre).
Birth Certificate / School Leaving Certificate.
Quotation With TIN/VAT Number Of The Equipment’s-Tools To Be Purchased.
Proof Of Location Of The Proposed Business (Rent Slip/Rent Agreement, House Tax Receipt, etc.).
Proof / Authority Letter If Electricity Is To Be Used (if electricity is to be used).
Certified Copy of Ration Card.
 
For Subsidy Claim and Disbursement
Artisan Loan Account Number.
Branch's IFSC Code.
Branch's TAN Number.
Bank Account Number.
Aadhaar Number.
Certification from Financial Institution (Annexure - A).
Subsidy Claim Form (Annexure - B).
Margin Money Subsidy Claim Form.