About this banking scheme
To make the traditional industries more productive and competitive and facilitating their sustainable development, the Govt. of India announced in 2005-06, setting up of a fund for the regeneration of traditional industries. Pursuant to this announcement, a Central Sector Scheme titled the “SFURTI".
The “Scheme of Fund for Regeneration of Traditional Industries (SFURTI)” is an initiative of the Ministry of Micro, Small, and Medium Enterprises, Government of India, launched in 2005 to strengthen traditional industries by making them competitive, market-driven, and sustainable. The scheme focuses on organizing artisans and rural entrepreneurs into clusters to enhance productivity, income, and employment opportunities. It supports infrastructure development, technology upgradation, skill training, product design, and improved market access. The Coir Board acts as the nodal agency and implements the scheme through designated agencies for each cluster. The scheme also promotes innovation, branding, e-commerce, and sustainable practices to improve the overall value chain of traditional industries.
Benefits at a glance
| Scheme name | Scheme of Fund for Regeneration of Traditional Industries (SFURTI) |
|---|---|
| Launched by | Ministry Of Micro, Small and Medium Enterprises |
| Launch year | 2005 |
| Benefit type | Composite (cash plus goods or services) |
| Category | Banking |
| Level / State | Central · All India |
| Official portal | sfurti.msme.gov.in (link at the end of this page) |
Key facts
| Scheme type | Central Sector Scheme |
|---|---|
| Implementing agency | Coir Board, Ministry Of Micro, Small & Medium Enterprises, Government Of India |
| Scheme for | Infra |
| Application mode | Online |
| Last date | Ongoing (no last date notified) |
| DBT (direct bank transfer) | No |
Who can apply (quick check)
- 👤All genders
- 🎂Age 18 to 80 years
- 📝Online
Quick check from official data. Full conditions are in the Eligibility section.
What you receive
- 100% of Project cost excluding/except Hard Interventions.
- 90% of Hard Intervention is eligible for the North Eastern Region, UT of Jammu & Kashmir and Hill States, and 75% of Hard Intervention for Others.
| # | Project Intervention | Scheme Funding | Financial Limit | Financial Limit | Implementing Agency Share |
| A | Cluster Interventions | ||||
| A1 | Soft Interventions including skill training, capacity building, and design development | 100% | Subject to a maximum of 33% of A (Total cost of Cluster Interventions both hard and soft interventions) or Rs. 25.00 lakh, whichever is less. | Maximum Rs. 8 crores per project (A+B+C) | Nil |
| A2 | Hard Interventions including CFCs, RMBs, training Centres, etc.* | 75% | Maximum Rs. 8 crores per project (A+B+C) | 25% of Project Cost | |
| B | Cost of Technical Agency | 100% | 8% of A1+A2 (Total cost of Cluster Interventions both hard and soft interventions) | Maximum Rs. 8 crores per project (A+B+C) | Nil |
| C | **Cost of IA/SPV including CDE | 100% | Maximum Rs. 20.00 lakh per project. | Maximum Rs. 8 crores per project (A+B+C) | Nil |
* 90%:10% in the case of the North Eastern Region (NER), UT of J&K and hill states.
** This may include remuneration of Cluster Development Executive (CDE) and other expenses incidental to the entire 3-year project implementation.
Who qualifies
- Non-Government organizations (NGOs), institutions of the Central and State Governments and Semi-Government institutions, field functionaries of State and Central Govt., Panchayati Raj institutions (PRIs), Private sector by forming cluster-specific SPVs, Corporates and Corporate Responsibility (CSR) foundations with expertise to undertake cluster development.
Criteria for Selection of Clusters:
- The Selection of Clusters will be based on their geographical concentration which would be around 500 beneficiary families of artisans/micro-enterprises, suppliers of raw materials, traders, service providers, etc., located within one or two revenue subdivisions in a District (or in contiguous Districts.)
- The potential for growth in production and generation of employment opportunities will also be considered in selecting clusters under SFURTI.
- The geographical distribution of the clusters throughout the country, with at least 10% located in the North Eastern region will also be kept in view while selecting Clusters.
Who is not eligible
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Registration walkthrough
Online
Step 1: Eligible agencies/organizations may submit the proposal online. The applicant/agency/organization needs to visit on SFURTI Portal and register/sign up on the portal by entering their correct details.
Step 2: The applicant organization needs to log in through their ID on the SFURTI Portal and fill out the application form completely.
Step 3: Upload all the relevant documents and verify the details.
Step 4: Submit the application form.
- Instructions for Filling the Concept Scorecard: Click here.
Important dates
| Launch / start | 01 Apr 2005 |
|---|
Frequently asked questions
What is SFURTI?
To make the traditional industries more productive and competitive and facilitating their sustainable development, the Govt. of India announced in 2005-06, setting up of a fund for regeneration of traditional industries. Pursuant to this announcement, a Central Sector Scheme titled the “Scheme of Fund for Regeneration of Traditional Industries (SFURTI)” was launched.
Which ministry is implementing this scheme?
The Ministry of Micro, Small & Medium Enterprises is implementing the scheme with a view to organizing traditional industries and artisans into clusters to make them competitive and increase their income.
What are the objectives of SFURTI?
To develop clusters of traditional industries in the country over a period of five years.
To make traditional industries more competitive, market-driven, productive, and profitable.
To strengthen the cluster governance systems with the active participation of the stakeholders.
To build up innovative and traditional skills, improved technologies, advanced processes, market intelligence, and new models of public-private partnerships, so as to gradually replicate similar models of cluster-based regenerated traditional industries.
Who can apply for SFURTI?
Following is the list of organisations/institutions that can apply for SFRUTI:
Non-Government Organizations (NGOs)
Institutions of the Central and State Governments
Semi-Government institutions
Field functionaries of State and Central Government
Panchayati Raj Institutions (PRIs)
What is the duration of Project?
The time frame for implementation of Project will be 3 years.
How many types of Interventions are covered under Scheme?
The Scheme covers three types of interventions: Soft Interventions, Hard Intervention & Thematic Interventions
What the activities covered under Soft Intervention?
Soft Interventions under the project would consist of activities such as
i. General Awareness, counseling, motivation and Trust building
ii. Skill development and Capacity Building
iii. Institutional development
iv. Exposure visits
v. Market Promotion initiatives
vi. Design and Product Development
vii. Participation in seminars, workshops and training programmes on
technology up-gradations, etc.
What the facilities covered under Hard Intervention?
Hard interventions will include creation of following facilities:
i. Creation of Common Facility Centres (CFCs)
ii. Raw Material Banks (RMBs)
iii. Up-gradation of Production Infrastructure
iv. Tools and Technological up-gradation such as Charkha upgradation, tool-kits distribution, etc
v. Warehousing Facility
vi. Training Centre
vii. Value addition and processing centre
Note: The assistance for raw material bank (RMB) shall be leveraged with financial institution for enhanced credit.
Whether the cost of land is included in the project cost?
No. Land should be owned by Implementing Agency.
Who can play the role of Implementing Agencies (I.A.)?
Implementing Agencies (IAs) would be non-Governmental Organisations (NGOs), Institutions of the Central and State Governments and Semi-Government Institutions, field functionaries of State & Central Government Panchayati Raj Institutions (PRIs), etc suitable expertise to undertake cluster development. One IA may normally be assigned only one cluster (unless it is an agency with State-wide coverage). The selection of IAs, based on their regional reputation and experience of working at the grass-roots level, will be done by the Nodal Agencies (NAs), on the basis of transparent criteria. Private sector participation shall also be encouraged for the
implementation of the cluster projects. Corporate entities can also take up projects directly by forming cluster-specific SPVs. Corporates and Corporate Social Responsibility (CSR) foundations with expertise in cluster development will be encouraged to participate as IAs.
Can implementing agencies take up more than one traditional industry?
No. One Implementing Agency may normally be assigned only one cluster (unless it is an
agency with State-wide coverage).
Who can play the role of Technical Agencies (T.A.)?
Established national/ regional level institutions, with proven expertise in artisanal and small enterprise cluster development shall be empanelled as Technical Agencies by Nodal Agency (N.A.) only can play the role of Technical Agency (T.A).
What is the definition of “Traditional Industry”?
Broadly, "Traditional Industry‟ means an activity which produces marketable products, using locally available raw materials and skills and indigenous technology. Traditional Industry Cluster, in the Context of this document, refers to a geographical concentration of a sizable number of artisans or micro-enterprises, suppliers of raw materials, traders, service providers, etc. producing, processing, and servicing the same or similar types of products and facing common opportunities and threats
What is Coir?
Coir is generally referred to as “Golden Fibre”, which is a bye-product of coconut, extracted from the coconut husk.
What is the definition of “Traditional Industry”?
Broadly, “traditional industry‟ means an activity which produces marketable products, using
locally available raw material and skills and indigenous technology. Traditional Industry Cluster,
in the context of this document, refers to a geographical concentration of a sizable number of artisans or micro enterprises, suppliers of raw materials, traders, service providers, etc. producing, processing and servicing the same or similar types of products and facing common opportunities and threats.
What is a cluster?
Clusters are defined as “geographical concentrations of inter-connected enterprises and associated institutions that face common challenges and opportunities”. This definition highlights two essential features of clusters: they consist of a critical mass of enterprises located in geographical proximity to each other and enterprises within them share many common features.
What is the CFC?
Common Facility Centre (CFC) is one of the Components in Hard Intervention where which artisans/end users can utilize the machineries installed thereon and manufacture coir based value added products. CFC can also be used as a warehouse for storing and maintaining finished products.
How to apply for SFRUTI?
The above eligible agency/organization has to submit the proposal online through the SFURTI Portal (https://sfurti.msme.gov.in/SFURTI/SignUp.aspx) and the same is to be scrutinized at the State Level and Zonal Level before submitting it to the Scheme Steering Committee for approval.
Submit your application yourself on the official portal; it costs nothing. Treat anyone demanding money to "get you approved" as a scam.
- Official Website coirboard.gov.in
- Guidelines sfurti.msme.gov.in (PDF)
- Coir Board www.coirservices.gov.in
- FAQs www.kviconline.gov.in (PDF)
tsmpb.in is not affiliated with any government department. Apply only on the official portal and never pay anyone for an application.
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