How to apply for SFURTI Scheme

What precisely is the SFURTI Scheme?

SFURTI stands for Scheme of Fund for Regeneration of Traditional Industries. The SFURTI initiative was introduced in 2005 by the Ministry of MSME of the Indian government to stimulate the development of clusters in India.

The major goal of the SFURTI project is to provide facilities and advantages to the numerous historic clusters of industries dispersed across India, allowing them to become more competitive in the business and acquire higher income profits.

These traditional sectors employ a major proportion of India’s workforce, and the initiative aims to help them boost productivity and become economically viable. The programme enables this by locating CFCs, or Common Facility Centers, near the industry and creating job possibilities.

The initiative is aimed at various vital industries, including the bamboo, honey, and khadi industries. This benefits traditional craftspeople, local employees, and local entrepreneurs by significantly boosting their businesses.

The project intends to achieve a number of key objectives, including –

  • Organizing distinct clusters of traditional industry workers and craftsmen in order to ensure their competitiveness and to provide support and aid for their livelihood.
  • Providing long-term economic stability for the industry’s different workers, local business owners, and rural craftspeople.
  • Advancing and improving the market value and advertising value of local cluster-provided items. This is accomplished by giving economic and financial support for the worker’s or artisan’s new items, intervening in and correcting the design process, enhancing product packaging, and assuring a solid marketing plan for the product.

Application Procedure for the SFURTI Scheme

If you want to apply for the SFURTI programme and acquire a loan for your business, service, or products, you must first complete and submit a proposal to your region’s State Office and KVIC. The plan and request are then extensively reviewed and vetted for integrity by the State and Zonal level agencies.

If the document passes its authenticity check, it is subsequently forwarded to the Scheme Steering Committee for final approval. The loan is issued to the user once it has been approved.

SFURTI Scheme Eligibility

Choosing which clusters to select is an important aspect of the SFURTI scheme’s eligibility procedure. These clusters are selected mostly based on their geographical concentration inside or near a revenue sub-divisional region in the district. In the sub-divisional region, the concentration should be roughly 500 benefit families or persons who are craftsmen, entrepreneurs, raw material suppliers, local service providers, and so on.

The selected clusters are from diverse industries such as khadi, coir, and village, including but not limited to leather and pottery. The initiative will closely monitor production growth and job possibilities inside these clusters.

Furthermore, clusters from Northeastern areas such as Assam, Sikkim, Nagaland, and others must have at least a bare minimum of 10% distribution in the entire consideration for the plan while picking appropriate clusters.

The subsidy provided by the SFURTI Scheme

The SFURTI system provides subsidies based on the amount of funding obtained by your cluster. A maximum budget of Rs. 8 crores is allocated to the densest clusters in a district, which is gradually reduced as the clusters become thinner and sparser.

Let’s figure out how much money you can make from the strategy —

  • The densest clusters, also known as historical clusters, have a budget ceiling of Rs. 8 crores and may house up to 1000 to 2500 individual employees, entrepreneurs, and craftsmen.
  • The very packed clusters, also known as substantial clusters, with 500-1000 individual employees, craftsmen, and entrepreneurs have a budget cap of Rs. 3 crores.
  • The smallest clusters, also known as tiny clusters, with up to 500 individual employees, entrepreneurs, and rural artisans have a budget ceiling of Rs. 1.5 crore.
  • If the cluster’s territory is NER/Jammu, Ladakh, Kashmir, and the various Hill States, the number of craftsmen per cluster will be reduced by around half.


The SFURTI plan is one of the most essential schemes for India’s local working class, who do not have enough economic benefits and advantages to flourish as a business in their area of work. We hope this tutorial was helpful in understanding the many elements of the programme, and if it did, please consider following our website for frequent updates as it would much assist us.

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