The Scheme aims to replace the existing scheme and bring the artisans in the handicrafts sector under the ambit of a single scheme for availing financial assistance in the form of grant assistance for setting up handicraft enterprises.

The objective of the scheme is to provide extensive support to artisans in the handicrafts sector for setting up handicrafts-based micro-enterprises and give one-time support (grant) to eligible artisans of the State as back-end assistance.

Industries & Commerce Department, Government of Kerala

An artisan is a person who has been categorized as such by the office of the Development Commissioner (Handicrafts), Govt. of India or SURABHI, KSBC, KADCO, HDCK, KELPALM and has taken effective steps to set-up an enterprise in the handicrafts sector.

An industrial unit falling under Micro category under the MSMED Act 2006 and having filed EM Part -II or Udyog Aadhaar.

An enterprise in which at least 50% of the promoters are women artisans.

An artisan between the age of 15 and 45. In case of more than one artisan, then to be eligible for assistance under this Scheme, all the artisans shall be between the age of 18 and 45. At the time of filing application for assistance under ASHA. the artisan(s) should have attained 18 years of age as on the 1st April of the concerned financial yew and should not have attained 45 years of age as on the 1st April of the concerned financial year.

An artisan belonging to Scheduled Castes or Scheduled Tribes under The Constitution Amendment (Scheduled Castes) Order, 1050/ The institution Amendment (Scheduled Tribes) Order, 1950 (as amended by Scheduled Castes/scheduled Tribes Orders (Amendment) Act, 1976. In case of more than one promoter, then eligible for assistance under this Scheme, at least 50 % of the promoters shall be SC/ST.

Office of the Development Commissioner (Handicrafts), Government of India or SURABHI, KSBC, KADCO, HDCK, KELPALM for artisans registered through them. In all other cases, the recommending authority shall be the respective Manager in-charge of Handicrafts, District Industries Centres. The recommending authority shall accept applications, process the applications and place the applications before the District Level handicraft Project Appraisal Committee, The committee shall scrutinize the applications and recommend to the sanctioning authority and disburse the assistance.

All Micro Enterprises engaged in the handicraft sector and set up in the State, which had filed Entrepreneurs Memorandum Part-II with the respective General Manager, District Industries Centre, or have taken Udyog Aadhaar shall be eligible for assistance under the Scheme.

Depending upon the category of the investor, the unit can avail subsidy from 40% to 50%.

The financial assistance shall be provided for the Fixed Capital Investment, i.e. construction of Work shed/Workshop, cost of tool, equipment, machinery and accessories, electrification, Technology support/product/Design development.

For General Category artisans, assistance is 40% of the Fixed Capital Investment limited to ₹2.00 lakh.

For Young (18 to 45 years), Women, and SC/ST artisans, the assistance is 50% limited to ₹3.00 lakh.

The financial assistance to any unit which has already received any subsidy or grant earlier under any other schemes, from State or Central Government or Government Agencies shall be limited to the balance remaining eligible assistance payable under this scheme.

Application can be submitted online through the Official website of the Directorate of Industries & Commerce, Government of Kerala.