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Group Workshed Scheme

The Group Workshed Scheme is a centrally sponsored initiative aimed at empowering weavers and handloom artisans by providing shared workshed infrastructure, capital subsidy, and modern amenities. It supports weaving communities to improve productivity, reduce production costs, and enhance the sustainability of handloom enterprises.

Last updated on: January 19, 2026

What is the Group Workshed Scheme?

The Group Workshed Scheme is designed to establish common worksheds where weavers work collectively using shuttleless looms and related equipment. It enables artisans to access workspace, technology, and basic infrastructure under a subsidised programme, fostering cooperation and boosting productivity and higher production quality for handloom clusters.

Features & Benefits of the Group Workshed Scheme

Before diving into eligibility or application steps, here are the key features and advantages of the Group Workshed Scheme:

  • Promotes shared workshed space for handloom weavers to work collaboratively

  • Maximum admissible area of 400 sq. ft. for shuttleless looms and 125 sq. ft. for dormitories

  • Capital subsidy support for acquiring shuttleless looms and preparatory equipment

  • Encourages use of modern weaving technology and improved productivity

  • Reduces initial capital burden on individual weavers or small artisan groups

  • Enhances market competitiveness of handloom products

  • Strengthens community-level weaving clusters and promotes self-employment

  • Facilitates better quality control and standardised production processes

Subsidy Chart

Below is a structure of subsidy support under the Group Workshed Scheme:

Component Eligible Subsidy Max. Subsidy per sq.ft.

General

40%

₹400

Scheduled Caste

75%

₹750

Scheduled Tribe

90%

₹900

Eligibility Criteria

To apply for support under the Group Workshed Scheme, applicants must meet the following conditions:

  • Must belong to a recognised weaver community or handloom artisan group

  • Group workshed must be proposed for collective usage by 4 or more weavers or entrepreneurs

  • Supports installation of a minimum of 24 shuttleless looms (up to 230 cm width) or 16 wider shuttleless looms (230 cm and above) within a workshed

  • Ensures each beneficiary operates at least four looms, encouraging meaningful income generation

  • Mandates the use of TUFS-compatible machinery, promoting modern, efficient, and compliant weaving infrastructure

Documents Required

Before applying for the Group Workshed Scheme, prepare the following documents:

  • Identity proof of all group members (e.g., Aadhaar card)

  • Weaver community or artisan group registration certificates
     

In addition to these basic documentation, the applicants might be required to produce any documents or information as per the requirement prescribed by the Textile Commissioner for verification and inspection of units.

How to Apply for the Group Workshed Scheme?

The advertisement for applications for the Group Workshed Scheme is published in the newspapers and applicants are requested to follow the same for any notification.

Conclusion

The Group Workshed Scheme provides a valuable platform for handloom artisans to collaborate, modernise operations, and enhance production quality. By reducing capital costs and enabling shared infrastructure, it helps strengthen weaving clusters and boost incomes. If you are looking to expand further, remember you can also explore an online business loan to support working capital and growth beyond the scheme’s scope.

Frequently Asked Questions

How much area is allowed per shuttleless loom under the scheme?

The Group Workshed Scheme specifies area norms per shuttleless loom to ensure adequate space for safe, efficient operations. At present, it is 400 sq. ft. per loom.

What is the area allowed for weaving preparatory units?

Preparatory unit area is defined in the scheme norms and is linked to the number of looms and workflow requirements. As per the current guidelines, it must be 40% of the loomage area.

Is dormitory space allowed under the scheme?

Yes, provision for dormitory or shared resting space may be included if it supports the weaving operation and group welfare. At present, it is 125 sq. ft. per person.

What is the subsidy percentage for General category applicants?

Subsidy rates vary by equipment category and applicant group. General category subsidy is 40% at present.

What is the maximum subsidy allowed for Scheduled Tribe (ST) applicants?

Higher subsidy rates are often offered to Scheduled Tribe applicants subject to scheme norms and eligibility criteria. Currently, the rate is 90% for ST applicants.

How many looms are required to be eligible for the scheme?

Minimum loom count requirements are outlined in scheme guidelines and depend on whether the workshed is for shuttleless or preparatory operations. In general, each beneficiary should have a minimum of 4 looms.

Can a single entrepreneur apply under the scheme?

The scheme typically encourages group or community applications. A single artisan should form a registered group of at least 4 weavers to qualify.

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