Scheme of Fund for Regeneration of Traditional Industries (SFURTI)
Objectives
In pursuance of the announcement of the Finance Minister in his Budget Speech
of July 2004 for setting up of a Fund for Regeneration of Traditional Industries
with an initial allocation of Rs. 100 crore for development of traditional industries,
the Ministry of Micro, Small and Medium Enterprises (erstwhile Ministry of Agro
and Rural Industries) in October, 2005 has launched a scheme titled Scheme of
Fund of Regeneration of Traditional Industries (SFURTI) for development of 100
clusters (25 clusters for khadi, 50 clusters for village industries and 25 clusters for
coir industry) over a period of five years. The Scheme would cover an estimated
50,000 beneficiary families.
Salient Features
(i) The main features of the scheme are:
(a) To make traditional industries more competitive with more marketdriven,
productive, profitable and sustained employment for the
participants;
(b) To strengthen the local socio-economic governance system of the
industry clusters with the active participation by the local
stakeholders that can help to continue undertake development
initiatives by themselves; and
(c) To build up innovated and traditional skills, improved technologies,
advanced processes, market intelligence and new models of publicprivate-
partnerships, so as to gradually replicate similar models of
cluster-based regenerated traditional industries.
ii) Nodal Agency: Khadi and Village Industries Commission (KVIC) and Coir
Board have been designated as Nodal Agencies for implementation of the
Scheme. The Nodal Agencies are responsible for holding and
disbursement of funds to the identified Implementing Agencies and
monitoring of the Scheme under the overall supervision of the Scheme
Steering Committee (SSC) of SFURTI.
(iii) Selection of Cluster: The selection of clusters will be based on their
geographical concentration which should be around 500 beneficiary
families of artisans/micro enterprises, suppliers of raw materials, traders,
service providers, etc. located within one or two revenue sub-divisions in a
District (or in contiguous Districts). The clusters would be from khadi, coir
and village industries including leather and pottery.
(iv) Assistance: Under this scheme assistance/support is to be provided in the
selected clusters for:
(a) Replacement of charkhas and looms in khadi sector,
(b) Setting up Common Facility Centres,
(c) Development of new products, new designs for various Khadi and
Village Industry (VI) products, new/improved packaging, etc.
(d) Market promotion activities,
(e) Capacity building activities such as exposure visits to potter clusters
and institutions, need-based training, support for establishment of
cluster level networks (industry associations) and other need-based
support, and
(f) Other activities identified by the Implementing Agency (IA) as
necessary for the development of the cluster as part of the
diagnostic study and included in the annual Action Plan for the
cluster.
Objectives
In pursuance of the announcement of the Finance Minister in his Budget Speech
of July 2004 for setting up of a Fund for Regeneration of Traditional Industries
with an initial allocation of Rs. 100 crore for development of traditional industries,
the Ministry of Micro, Small and Medium Enterprises (erstwhile Ministry of Agro
and Rural Industries) in October, 2005 has launched a scheme titled Scheme of
Fund of Regeneration of Traditional Industries (SFURTI) for development of 100
clusters (25 clusters for khadi, 50 clusters for village industries and 25 clusters for
coir industry) over a period of five years. The Scheme would cover an estimated
50,000 beneficiary families.
Salient Features
(i) The main features of the scheme are:
(a) To make traditional industries more competitive with more marketdriven,
productive, profitable and sustained employment for the
participants;
(b) To strengthen the local socio-economic governance system of the
industry clusters with the active participation by the local
stakeholders that can help to continue undertake development
initiatives by themselves; and
(c) To build up innovated and traditional skills, improved technologies,
advanced processes, market intelligence and new models of publicprivate-
partnerships, so as to gradually replicate similar models of
cluster-based regenerated traditional industries.
ii) Nodal Agency: Khadi and Village Industries Commission (KVIC) and Coir
Board have been designated as Nodal Agencies for implementation of the
Scheme. The Nodal Agencies are responsible for holding and
disbursement of funds to the identified Implementing Agencies and
monitoring of the Scheme under the overall supervision of the Scheme
Steering Committee (SSC) of SFURTI.
(iii) Selection of Cluster: The selection of clusters will be based on their
geographical concentration which should be around 500 beneficiary
families of artisans/micro enterprises, suppliers of raw materials, traders,
service providers, etc. located within one or two revenue sub-divisions in a
District (or in contiguous Districts). The clusters would be from khadi, coir
and village industries including leather and pottery.
(iv) Assistance: Under this scheme assistance/support is to be provided in the
selected clusters for:
(a) Replacement of charkhas and looms in khadi sector,
(b) Setting up Common Facility Centres,
(c) Development of new products, new designs for various Khadi and
Village Industry (VI) products, new/improved packaging, etc.
(d) Market promotion activities,
(e) Capacity building activities such as exposure visits to potter clusters
and institutions, need-based training, support for establishment of
cluster level networks (industry associations) and other need-based
support, and
(f) Other activities identified by the Implementing Agency (IA) as
necessary for the development of the cluster as part of the
diagnostic study and included in the annual Action Plan for the
cluster.
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