Mill Gate Price Subsidy Scheme

About This Scheme

Launched in 2007, the "Mill Gate Price Subsidy Scheme", implemented by the Commissioner of Cottage and Rural Industries, Industries & Mines Department, Government of Gujarat, aims to provide quality yarn at subsidized rates to handloom weavers, ensuring affordability and improved product quality. The scheme offers freight reimbursement (1–8.5% based on yarn type and region) and a 15% subsidy on yarn purchases from NHDC-recognized depots. Eligible beneficiaries include handloom cooperatives, NGOs, and development centers. The scheme is implemented through District Industries Centers (DICs) and aims to sustain employment for economically weak weavers, especially from Scheduled Castes.

Eligibility

- The applicant must be a handloom cooperative society, NGO, or development center. - The applicant must purchase yarn from NHDC-recognized depots (e.g., Gujarat State Handloom & Handicrafts Development Corporation).

Benefits

Yarn Purchase Subsidy 15% subsidy on yarn bought from NHDC-recognized depots. Freight Reimbursement - Non-Silk/Jute Yarn: Plain Area: 1.00%, Hills/Remote: 1.75%, North-East: 3.00% - Silk Yarn: Plain Area: 1.00%, Hills/Remote: 1.25%, North-East: 1.50% - Jute/Jute Blended Yarn: Plain Area: 7.00%, Hills/Remote: 8.00%, North-East: 8.50% _*Additional 2.5% depot operating charges._ Disbursement Mode 15% subsidy credited via RTGS/e-payment. Freight reimbursement is processed separately.

How to Apply

Where This Comes From

This scheme was sourced from myScheme, the Government of India's official Central+State scheme discovery portal, and reviewed by an editor before publishing. Use the button above to read the full details and apply directly on the official source.