January 31, 2023
Pragati Pandey

SFURTI Scheme- All you need to know

The Ministry of MSME of the Indian government launched the SFURTI scheme as a project to encourage the growth of clusters in India. The system was introduced in 2005 and is still in use today.

The plan is centered on the regional working and middle class and Indian companies engaged in traditional industries. This programme offers them huge financial advantages and helps them dramatically improve their quality of life.

Now let us discover what the SFURTI scheme is, what it offers, how to apply, and who qualifies for it

Scheme of Fund for Regeneration of Traditional Industries is the full name of the organization. The Ministry of MSME of the Indian government introduced the SFURTI scheme in 2005 to encourage the growth of clusters in India.

What is the SFURTI Scheme?

Scheme of Fund for Regeneration of Traditional Industries is the full name of the organization. The Ministry of MSME of the Indian government introduced the SFURTI scheme in 2005 to encourage the growth of clusters in India.

The SFURTI scheme's primary goal is to

provide services and advantages that will allow the numerous traditional industrial groupings that are dispersed across India become more competent in their fields and generate more income and revenues.

These traditional industries employ a sizable portion of India's labor force, and the programme aims to boost their production and make them commercially feasible. By developing Common Facility Centers (CFCs) close to the businesses and creating job possibilities for the workers, the plan makes this possible.

The bamboo, honey, and khadi industries are just a few of the significant industries that the plan is targeting. This benefits local labor, small business owners, and craftspeople who follow traditional methods.

The programme seeks to accomplish several major goals, including:

1. organizing the various groups of workers and artisans in traditional industries to make certain they are competent and to make it easier for them to get support and help for their livelihood.

2. Ensuring the long-term economic viability of employment for the diverse industry workers, neighborhood entrepreneurs, and rural craftspeople.

3. Expanding and improving the marketing and economic value of the goods offered by consortiums. This is accomplished by offering economic and financial support for the worker's or artisan's new creations, interfering in the design process and fixing it, enhancing the product's packaging, and making sure the product has a strong marketing strategy.

Benefits of SFURTI Scheme

Each recipient who uses the SFURTI plan should be aware of the several significant advantages it offers.

1. The programme aids traditional and indigenous craftsmen in India's rural areas who are part of the many connected clusters in developing their manufacturing capacities and skill sets in order to find better employment opportunities and prosper economically. Numerous exposure visits and specialized training are used to accomplish this.

2. The SFURTI plan introduces concrete measures for both facilities and centers. It gives artisans and employees a better set of equipment tools to help them produce better-quality goods and services. Indirectly, the plan makes sure that the numerous resources at an artisan's disposal are used to the fullest extent possible.

3. Consumers actively participate in the framework that governs the clusters. These partners actively search for new markets in these regions, ensuring the corresponding clusters' growth in the economy in turn.

4. The plan aids in the development of cluster-based industries in a district's sub-divisional areas. The local workforce and artisans in rural areas gain practical and creative skills that aid in the development of new strategic planning, the advancement of associated technologies, the upgrading of the level of processes, and the development of market intelligence that aids in the formation of new marketing alliances.

5. The plan aids in building a commercial environment that is economically viable and provides a wide range of goods with an integrated value chain. The programme also employs a market-catering strategy to produce goods and services that guarantee the survival of the cluster-based industries.

6. The plan makes sure that the many craftspeople and workers are integrated into the clusters to create unified operations and company formations that promote the region's overall growth.

7. The programme aids artisans and workers in developing and marketing goods that cater to the needs of the actual contemporary consumer market. This aids them in bringing together their disparate product lines to form a collective product line that is united with the cluster's entire artisan force to produce goods with the highest possible value.

8. The plan acknowledges e-commerce as being one of the best business avenues for promoting local artisans' businesses and their goods to a broader audience and for company growth. The programme creates a detailed plan specifically to make sure that local artisans' goods and services gain recognition and reputation in the online realm of the E-commerce sector.

What Industries is the SFURTI Scheme Covered for?

The SFURTI programme encompasses a range of businesses, organizations, and people. Which are:

1. Artisans

2. Artisan guilds cooperatives

3. Workers

4. Raw material providers

5. Local entrepreneurs

6. PDS providers

7. Self-Help Groups (SHGs)

8. Machinery makers

Eligibility for SFURTI Scheme

A crucial step in the SFURTI agreement's qualification procedure is choosing which groups are selected. These clusters are typically selected based on their physical closeness to or concentration within a district revenue sub-divisional region. In the sub-divisional area, there should be a majority of about 500 beneficiary households or persons who are craftsmen, business owners, suppliers of raw materials, local service providers, etc.

The selected clusters include, but are not limited to, leather and ceramics as well as khadi, coir, and village industries. The initiative will closely monitor the prospects for employment and output growth inside these clusters. What’s more is that the clusters from the Northeastern regions such as Assam, Sikkim, Nagaland, etc., need to have at least a bare minimum of 10% distribution in the total consideration for the scheme while selecting proper clusters.

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