Launched in 2005 by the Ministry of Micro, Small and Medium Enterprises, the SFURTI scheme is aimed at rejuvenating and making traditional industries more competitive and market-driven. This comprehensive programme supports traditional industry artisans and rural entrepreneurs by providing financial assistance for infrastructure creation, technology upgradation, training, product development, innovation, and market promotion. The scheme is implemented through a cluster-based approach with the Coir Board acting as the Nodal Agency, while various Implementing Agencies manage specific clusters.
Objectives
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Enhance Competitiveness:
Organize traditional industries and artisans into collectives to promote sustainability and economies of scale. -
Employment Generation:
Provide sustained employment opportunities for traditional artisans and producers. -
Marketability Improvement:
Support product development, design intervention, improved packaging, and marketing infrastructure. -
Skill and Capacity Building:
Equip artisans with enhanced skills through training and exposure visits. -
Infrastructure and Technology Upgradation:
Invest in common facilities, upgradation of production tools, and adoption of advanced technologies. -
Cluster Formation:
Establish multi-product clusters with an integrated value chain, strong governance, and market-driven approaches to ensure long-term sustainability. -
Focus on Endangered Arts and Crafts:
Prioritize disadvantaged communities such as SCs, STs, and women and target uncovered and aspirational districts.
Project Interventions
The scheme covers three types of interventions:
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Soft Interventions:
- Awareness and counseling
- Skill development and capacity building
- Institutional development and exposure visits
- Design and product development
- Participation in training programmes and seminars
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Hard Interventions:
- Creation or upgradation of production facilities and common facility centres (CFCs)
- Establishment of raw material banks (RMBs)
- Infrastructure enhancements such as warehousing, training centres, and value addition units
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Thematic Interventions:
- Brand-building and promotion campaigns
- E-commerce and new media marketing initiatives
- Innovation and cross-cutting activities to boost both domestic and international market presence
Institutional Arrangement & Implementation
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Steering Committee:
Oversees the overall implementation. -
Nodal Agencies (NAs):
Responsible for coordination at the central and state levels. -
Technical Agencies (TAs):
Provide technical support and verify project reports. -
Implementing Agencies (IAs):
Execute the project interventions in clusters identified across various regions. -
Implementation Methodology:
Utilizes a web-based Project Management System (PMS) for cluster identification, engagement of TAs, approval by the Scheme Steering Committee, and fund disbursement.
Funding Details
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Soft Interventions:
Up to 100% funding is available, subject to a maximum of 33% of the total cluster cost or ₹25 lakh, whichever is lower, with an overall project limit of ₹8 crores. -
Hard Interventions:
- For most regions: 75% funding is eligible, with the balance financed by the project.
- For the North Eastern Region, UT of Jammu & Kashmir, and Hill States: 90% funding is available.
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Technical Agency Costs:
Covered at 100% of 8% of the total cost of cluster interventions (both hard and soft). -
Implementing Agency Costs:
Capped at a maximum of ₹20 lakh per project.
Application Process
Online
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Registration:
Eligible agencies or organizations must visit the SFURTI Portal and register by signing up with accurate details. -
Form Submission:
After registration, log in and complete the application form, uploading all relevant documents (e.g., organization registration certificate, audited statements, MoUs, and team details). -
Concept Scorecard:
Fill in the required information on the Concept Scorecard, ensuring clarity in project objectives and anticipated outcomes. -
Final Submission:
Submit the application form online for evaluation by the Scheme Steering Committee.
Documents Required
- Certificate of Registration of the organization
- Endorsement from the Promoting Organisation (if applicable)
- Establishment date & summary of the registered organization
- List of Governing Body/Board of Directors
- Details of Areas of Activity
- List of formal MoUs or linkages with other organizations
- Annual audited statement & IT returns for the last 3 years
- Details of recognitions and awards
- Details of the team/staff with cluster experience
- Bank account details
- Any other document as required by the guidelines
Frequently Asked Questions
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What is SFURTI?
SFURTI stands for the Scheme of Fund for Regeneration of Traditional Industries. It is a programme aimed at making traditional industries competitive and sustainable. -
Which ministry is implementing this scheme?
The scheme is implemented by the Ministry of Micro, Small and Medium Enterprises. -
What are the objectives of SFURTI?
Objectives include improving infrastructure, enhancing skills, promoting collectives, boosting marketability, and ensuring sustainable employment for traditional artisans. -
Who can apply for SFURTI?
Applications can be submitted by NGOs, government institutions, Panchayati Raj institutions, private sector organizations, corporates, and CSR foundations with the expertise to undertake cluster development. -
What is the duration of the project?
Projects are typically implemented over a 3-year period. -
How many types of interventions are covered under the scheme?
The scheme covers three types: Soft Interventions, Hard Interventions, and Thematic Interventions. -
What activities are covered under Soft Intervention?
These include skill training, capacity building, design development, institutional development, and market promotion initiatives. -
What facilities are covered under Hard Intervention?
Facilities include Common Facility Centres (CFCs), Raw Material Banks (RMBs), upgraded production infrastructure, warehousing, and training centres. -
Is the cost of land included in the project cost?
No, the cost of land is generally not included in the project cost. -
Who can play the role of Implementing Agencies (I.A.)?
IAs can be NGOs, corporates, government agencies, or any organization with the capacity to implement cluster-based interventions. -
Can implementing agencies take up more than one traditional industry?
Yes, if they have the expertise and capacity to manage multiple clusters. -
Who can play the role of Technical Agencies (T.A.)?
TAs are typically organizations or experts with technical know-how in traditional industries and cluster development. -
What is the definition of “Traditional Industry”?
It refers to industries that have been historically rooted in local craftsmanship and cultural practices, often characterized by manual production methods and indigenous technologies. -
What is a cluster?
A cluster is a geographically concentrated group of traditional industry units along with ancillary support services, suppliers, and markets. -
What is the CFC?
CFC stands for Common Facility Centre, a shared infrastructure resource for clusters. -
How do I apply for SFURTI?
Eligible organizations can apply online via the SFURTI Portal by registering, completing the application form, uploading required documents, and submitting the proposal.