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Organisation : Office of the Development Commissioner (Handlooms)
Scheme Name : Comprehensive Handloom Cluster Development Scheme (CHCDS)
Applicable States/ UTs : All Over India
Website :
Terms & Conditions :

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Hadloom Schemes CHCDS

Follow the Guidelines Of The Comprehensive Handloom Cluster Development Scheme (CHCDS) – Mega Handloom Cluster (12Th Plan)

Related : Handloom Mark Scheme Registration :

Objectives & Strategy

a) To empower handloom weavers and build their capacity to enhance competitiveness of their products in the domestic as well as global market in a sustainable and reliant manner;

b) To facilitate collectivization of handloom weavers and service provides for procurement, production, marketing and other support activities to promote sustainable growth and diversification;

c) To give a proper thrust to design development through creation of design studio and involvement of professional designers,
d) To involve professional marketing chains and marketers to identify the items of production to meet the changing demands of the market,

e) To provide requisite support/linkages in terms of adequate core & technical infrastructure, technology, product diversification, design development, raw material banks, marketing & promotion, credit, social security and other components that are vital for sustainability of weavers engaged in the handloom sector;

f) To provide for development of handloom clusters in an inclusive and holistic manner in an environment of empowered and participative decision making;

Scope Of The Mega Handloom

The handloom weavers, due to lack of education, in-adequate working capital and lack of market facilities etc. are unable to meet the requirements of the ever-changing market demands.

Coupled with this are cost affecting factors like low level of technology, poor infrastructure facilities viz dye houses, common facility centre, quality control labs, electricity, water, roads, etc. To overcome these bottlenecks and to enable institutional development, it would be essential to federate prominent stakeholders to form a Public Private Partnership (PPP) module.

Mega Handloom Custers in various parts of the country will be taken up for their holistic development, for which comprehensive development plans would be drawn up and implemented on PPP mode. Each Mega Handloom Cluster will cover more than 15,000 handlooms with GoI contribution upto Rs.40.00 crore per cluster.

Project Components

A. Diagnostic Study and formulation of Detailed Project Report : (DPR)
Diagnostic survey of the identified handloom concentrated area is the prime requirement for ascertaining the needs of specific interventions required for making the handloom concentrated area self-sustainable.

The Detailed Project Report shall also include the requisite details under each of the activities that would be undertaken for different components of this scheme, including activity-wise financial implications, means of financing pattern of release of funds, implementation schedule and duration etc.

This activity shall be carried out by the Cluster Management & Technical Agency (CMTA) as a part of their responsibilities and therefore, this will be met out from the overall Project Management Cost to be paid to CMTA.

B. Formation of Consortium/SPV – Mobilization of weavers :
With introduction of economic reforms through liberalization, privatisation and globalisation, India has entered into a new era of economic development and therefore, formation of Consortium/SPV Empowerment programme for handloom weavers is necessary by making them active entrepreneurs-cum primary stake holders of development and bringing them to a visible platform so as to enhance their operational efficiency and competitiveness to face the new challenges and make them viable and self supporting economic entity This activity shall include mobilizing the weavers into groups in the form of SHGs, training of SHGs etc.

Implementation Methodology & Framework

A project of this nature, which is need based, multi stakeholder driven holistic and outcome oriented, would require institutional structure and processes that are capable and conducive to achieving the objectives of the programme.

The following will be the methodology and process through which the project would be implemented :
I. Undertaking a detailed diagnostic study of the cluster in order to identify the needs, gaps and also developing baseline reference data.

II. Preparation of a Detailed Project Report (DPR) covering infrastructural, technical, financial, institutional and implementation aspects based on the diagnostic study. This DPR would clearly establish the expected outcomes of each of the interventions, which are measurable.

III. Validation of the findings of the diagnostic study and the DPR by the key stakeholders of the
cluster, including representative associations/federations of the weavers, support institutions, service providers, State Government and Central Government agencies.

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