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West Bengal Handloom & Khadi Yarn Subsidy — 10% Discount for Weavers — Frequently Asked Questions

FAQ

Answers to the questions founders most often ask about West Bengal Handloom & Khadi Yarn Subsidy — 10% Discount for Weavers — who qualifies, the funding amount, required documents and how the application works.

Frequently asked questions

What does this West Bengal scheme actually give a weaver?

It lowers the price you pay for raw material. Handloom societies and weavers get yarn from TANTUJA at a 10% discount, and khadi societies buying roving or high-count cotton fibre from WBKVIB get a 10% discount as well. The State Government reimburses the difference to those agencies, so the concession is applied at the point of supply rather than paid out to you later.

How much funding is offered, and is there a fixed grant amount?

There is no fixed sum. This is a subsidy on raw material, so the value you receive depends on how much yarn or fibre you buy — every eligible purchase carries a 10% concession. The state also covers an additional 5% administrative cost for the supplying agencies towards transportation, storage and handling.

Who is eligible to apply?

On the handloom side, the scheme covers entrepreneur weavers (Master Weavers), individual weavers, allied workers linked to handloom weaving, weavers in the cooperative fold, and weavers attached to handloom clusters. On the khadi side, it covers individuals and societies involved in khadi weaving, including khadi societies registered under the relevant acts.

Do I need DPIIT recognition or Udyam/MSME registration?

The notified eligibility conditions for this scheme do not list DPIIT recognition or Udyam (MSME) registration as a requirement. What matters is your position in the weaving trade — whether you fall into one of the recognised handloom categories or are a khadi weaver or khadi society.

Is there a last date to apply?

No fixed deadline has been set — the scheme runs on a rolling, always-open basis. The application format is to be officially notified by the Department of Micro, Small and Medium Enterprises and Textiles, so it is worth watching for department announcements or checking with the district helpdesk.

How and where do I submit an application?

Eligible Primary Weavers' Cooperative Societies, Khadi societies and individual weavers apply in the prescribed format, either online or offline. All applications go to the Director, Textiles. The format itself will be notified by the department, and district-wise office addresses and contact details for the helpdesk are published on the West Bengal Handloom website.

Is this a loan, and does the government take equity?

Neither. It is a subsidy, so there is nothing to repay and no equity or stake is taken in your society or enterprise. The support arrives as a reduced price on raw material you were purchasing anyway.

Which agencies supply the subsidised material?

TANTUJA handles yarn for handloom societies, while WBKVIB handles roving and high-count cotton fibre for khadi societies. Both are reimbursed by the State Government for the discount they extend, plus the additional 5% administrative cost for transport, storage and handling.

Who runs this scheme and how long will it remain in force?

It is run by the Department of Micro, Small and Medium Enterprises and Textiles, Government of West Bengal, which notified it on 7 March 2024. The sub-scheme is designed to remain in effect for a period of five years.

Can individual weavers apply, or only cooperative societies?

Both can apply. Primary Weavers' Cooperative Societies, Khadi societies and individual weavers are all covered, and the handloom side of the scheme explicitly names Master Weavers, individual weavers, allied workers, cooperative fold weavers and weavers in handloom clusters.

How do I apply for West Bengal Handloom & Khadi Yarn Subsidy — 10% Discount for Weavers?

Apply directly through the official application link on this page. Review the eligibility criteria and prepare your startup documents before you begin.

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