New cottage and rural industries policy to create 1.2 mn jobs in Gujarat

The Gujarat government announced on Wednesday its new cottage and rural industries policy, offering higher loans and subsidies to artisans and entrepreneurs to set up units in the state.

Minister of Cottage Industries Balwantsinh Rajput, who unveiled the policy in Gandhinagar, said it will facilitate the creation of nearly 12 lakh jobs over five years.

The new policy was introduced after the five-year validity of the previous scheme ended, an official release said.

The New Cottage Policy 2024, which will remain in force for five years, aims to develop a self-sustaining cottage industry sector and open the doors of local and international markets for artisans, the minister said.

 

Under the policy, the state will work towards the availability of credit and market support to artisans and focus on infrastructure, skill, technology upgrades and innovation, Rajput said.

To encourage new industries and businesses, the state government has increased the maximum loan amount under this scheme from the current Rs 8 lakh to Rs 25 lakh, said the release.

The subsidy under the scheme has been increased from Rs 1.25 lakh to Rs 3.75 lakh, it said, adding that the policy will generate about 3.3 lakh direct and indirect employment opportunities through this component in the next five years.

Under the 'Dattopant Thengadi Artisan Interest Subsidy Scheme', the maximum loan amount for handloom and handicraft artisans has been increased from Rs 1 lakh to Rs 3 lakh.

Over the next five years, nearly 60,000 microentrepreneurs will be trained to enhance their skills, the release said.

Artisans associated with various Gujarat government boards and corporations now sell handicrafts and handloom items worth Rs 460 crore. With the help of this policy, the state government aims to take it to Rs 1,500 crore in the next five years, said the release.

Under the One District, One Product' scheme, the state has set a target to include 10,000 beneficiaries, the release said.

To help artisans sell their products, the government is building PM Ekta Mall' in Surat at Rs 280 crore, said the release, adding that the mall will have facilities like dormitories.

The state government will also register nearly 5,000 artisans and entrepreneurs on leading e-commerce platforms to help them sell their products across India and the world.

About 5,000 small manufacturers from these industries will be provided with compensatory assistance on sales to help them survive in a competitive environment. The state will provide incentives to nearly 2,500 artisans to boost the export of handloom and handicraft products, said the release.

An artisan census will be conducted to identify and uplift potential beneficiaries of this sector. The artisans will also be facilitated to obtain Geographical Indication (GI) tags to protect the intellectual property rights of their products, it added.