GROUP WORKSHED SCHEME
40–90% workshed construction subsidy · shuttleless loom clusters · India
The Group Workshed Scheme from the Ministry of Textiles helps powerloom weavers pool resources and build shared worksheds for shuttleless looms in a cluster, improving working conditions and operational scale. State governments, co-operatives, companies formed by powerloom owners, or registered powerloom associations can apply when the scheme advertises in newspapers. Construction subsidies are provided based on beneficiary category.
About This Scheme
The Group Workshed Scheme from the Ministry of Textiles helps powerloom weavers pool resources and build shared worksheds for shuttleless looms in a cluster, improving working conditions and operational scale. State governments, co-operatives, companies formed by powerloom owners, or registered powerloom associations can apply when the scheme advertises in newspapers. Construction subsidies are provided based on beneficiary category.
Full official description
The objective of the scheme is to facilitate the establishment of worksheds for shuttleless looms in an existing or new cluster, which will provide the required scale of economy for business operations. To organize powerloom units in a cluster and to provide improved working conditions in terms of more space, work environment, improve work efficiency to enhance their competitiveness in the global market. ELIGIBLE BENEFICIARIES
- State Government (or) its agency.
- A registered Co-operative society.
- A Company set-up under the Companies Act, 1956 as amended (or) a firm set-up under the Limited Liability Partnership Act, 2008 as amended, by a group of powerloom owners (minimum of four beneficiaries).
- The local powerloom association.
Benefits
- Construction subsidy on unit cost per sq. ft.:
- General category: 40% subsidy, up to ₹400/sq. ft.
- SC category: 75% subsidy, up to ₹750/sq. ft.
- ST category: 90% subsidy, up to ₹900/sq. ft.
- Eligible construction area: 400 sq. ft. per shuttleless loom
- Additional 40% of loomage area for weaving preparatory facilities
- Dormitory space eligible at 125 sq. ft. per person
💡 Why Startups Should Care
At up to 90% subsidy for ST weavers, this scheme makes shared workshed infrastructure for shuttleless looms — a significant productivity upgrade over traditional looms — nearly free to build for the most underserved weaver communities.
Who Can Apply (Eligibility)
- Eligible applicants: State Government/agency, registered co-operative society, company/LLP formed by a group of at least 4 powerloom owners, or local powerloom association
- The group must consist of at least 4 weavers/entrepreneurs with separate legal entities
- Must install at least 24 shuttleless looms (up to 230 cm width) or 16 looms of wider width (230 cm and above)
- Each individual beneficiary must have at least 4 looms
- Only TUFS (Technology Upgradation Fund Scheme) compatible machinery allowed
How to Apply
- Watch for scheme advertisements published in newspapers by the Textile Commissioner's office.
- Form or join an existing/new shuttleless loom cluster.
- Submit your application as per the advertised process.
- On approval, proceed with workshed construction per approved specifications.
- Submit documents as requested by the Textile Commissioner to monitor proper usage.
Frequently Asked Questions
What is the main objective of this scheme?
To support the establishment of worksheds for shuttleless looms in clusters to improve working conditions, efficiency, and global competitiveness.
Who can apply for the scheme?
State governments/agencies, registered co-operative societies, companies under the Companies Act, LLPs with a group of powerloom owners (minimum 4), or local powerloom associations.
How much area is allowed per shuttleless loom under the scheme?
400 sq. ft per loom for shuttleless looms.
What is the area allowed for weaving preparatory units?
40% of the total loomage area.
Is dormitory space allowed under the scheme?
Yes, up to 125 sq. ft per person.
What is the subsidy percentage for General category applicants?
40%, with a cap of ₹400 per sq. ft.
What is the maximum subsidy allowed for Scheduled Tribe (ST) applicants?
90% subsidy, up to ₹900 per sq. ft.
How many looms are required to be eligible?
A minimum of 24 shuttleless looms (up to 230 cm width) or 16 wider-width looms (230 cm and above).
Can a single entrepreneur apply under the scheme?
No, a group of at least 4 weavers/entrepreneurs with separate legal entities is required.
What is the application mode for this scheme?
Offline. The advertisement is published in newspapers for application invitation.
Ready to apply?
Visit the official government portal to apply for this scheme.
Apply on myScheme.gov.inDocuments Required
- Documents/information as requested by the Textile Commissioner to verify proper implementation