Ahmedabad: The Gujarat govt on Wednesday announced the New Cottage and Rural Industries Policy 2024 to boost the handicrafts and rural industries in the state. Giving impetus to the sector, the policy for the first time offered enhanced financial support, which includes an increase in the maximum loan limit rom Rs 8 lakh to Rs 25 lakh to artisans and small industries under the Vajpayee Bankable Scheme.
With a focus on sustainability, innovation and market expansion, the policy will offer triple the subsidy from Rs 1.25 lakh to Rs 3.75 lakh, according to the state govt, and is expected to generate direct and indirect jobs for some 3.3 lakh persons here. The govt has also set an ambitious target of increasing sales of khadi, handloom and handicrafts from Rs 460 crore to Rs 1,500 crore in five years.
With a view to supporting some 5,000 artisans, the Dattopant Thengadi Artisan Interest Subsidy Scheme will now provide working capital loans of up to Rs 3 lakh, encouraging entrepreneurship among artisans. The policy also envisages providing direct and indirect employment opportunities to beneficiaries associated with the cottage and village industries sector through tool-kit assistance. The target is to benefit more than 1.25 lakh people in the next five years.
"Every year, new micro-entrepreneurs will be promoted through skill development training. The target is to benefit more than 60,000 in the next five years," the govt said. As part of the One District One Product Initiative (ODOP) – which promotes regional unique handicrafts and handloom items of all 33 districts of Gujarat – the govt aims to include 10,000 artisan beneficiaries promoting the unique aspects of each district.
Artisans and entrepreneurs will also benefit from integration with leading e-commerce platforms, with a target of 7,000 participants to drive global market access. The state is also constructing a PM Ekta Mall in Surat. "The 2.72 lakh square foot facility will be built at a cost of Rs 280 crore and feature 98 showrooms showcasing ODOP products from across Gujarat and India. The mall will also provide dormitory facilities for artisans along with other modern amenities," the state govt stated.
To encourage sustainable practices, the policy also encourages GI tag certification for Gujarat's traditional crafts to protect intellectual property and promote premium pricing. Enhanced export incentives will be provided to 2,500 artisans, along with increased branding efforts for handloom products. To further support artisans, the policy includes compensatory assistance for 5,000 small manufacturers, training programs by national award-winning artisans, and dedicated exhibitions and fairs to boost visibility.
The policy extends its focus to labour-intensive sectors and provides specialised assistance for skill development, technology upgrades, and innovation.