Infrastructure and Technology Support (IATS) under NHDP

What is Infrastructure and Technology Support (IATS)?

Infrastructure and Technology Support (IATS) is a sub-scheme of the National Handicrafts Development Programme (NHDP), administered by the Office of the Development Commissioner (Handicrafts) under the Ministry of Textiles. According to the scheme guidelines, IATS aims to develop world-class infrastructure to support handicraft production, enhance product quality and reduce costs, so that Indian handicrafts can compete in the global market.

Rather than paying money to individuals, IATS builds shared physical infrastructure that benefits handicraft artisans and weavers collectively. Components supported under the sub-scheme include Urban Haats, emporia, marketing and sourcing hubs, handicraft museums, craft-based resource centres, common facility centres, raw material depots and crafts villages. A flagship component is the Urban Haat, a permanent marketing venue set up in towns and metropolitan cities to give artisans and weavers direct access to urban buyers, cutting out middlemen.

Because IATS creates common infrastructure, it is an institutional scheme with no individual application route. Individual artisans benefit by using the facilities created, but they do not apply for or receive a personal grant.

How much benefit does IATS provide?

Financial assistance is in the form of grants to implementing agencies, with the funding pattern set per component. For the flagship Urban Haat component:

• The financial ceiling for an Urban Haat is a maximum of Rs 800 lakh per unit for 80 stalls.
• 40% of the admissible amount is borne by the Office of the DC (Handicrafts) and 40% by the Office of the DC (Handlooms), with the remaining 20% contributed by the state implementing agency.
• Land is provided by the state government over and above its 20% contribution.
• For the North Eastern Region, Jammu & Kashmir and Ladakh, the DC offices bear 45% each and the implementing agency only 10%.
• Strengthening or renovation of an existing Urban Haat is supported up to a maximum of Rs 250 lakh, with 90% borne by the DC offices and 10% by the state.

The assistance is proportionate to the number of stalls, land area and other deliverables, and is cleared by a Project Approval and Monitoring Committee comprising the DC (Handicrafts), Additional DCs, a representative of Integrated Finance Wing and a representative of the state implementing agency.

Who is eligible for IATS?

Eligible implementing agencies are:

• Local statutory bodies, apex cooperative societies and national-level apex societies registered under the Society Act, Trust Act or equivalent.
• Producer companies supported by the Office of the DC (Handicrafts).

Non-government implementing agencies must have a minimum audited annual turnover of Rs 1.5 crore in the last three consecutive years. This turnover condition does not apply where a Central or State government agency is the implementing agency.

Who cannot apply: Individual handicraft artisans, weavers, self-help groups or the general public cannot apply for a personal benefit under IATS, it is purely an infrastructure sub-scheme. Bodies that are not registered under the Society/Trust Act (or equivalent), are not supported by the DC (Handicrafts), or cannot meet the Rs 1.5 crore turnover requirement (where applicable), are not eligible to implement a project.

What documents are required for IATS?

An affidavit on non-corrupt practice and the validity of registration, the last year's annual report, and a feasibility study are also part of the required enclosures.

How to apply for an IATS project

There is no citizen application. Eligible implementing agencies submit proposals to the Office of the DC (Handicrafts). The steps below reflect the official process.

1. Confirm eligibility as an implementing agency — a statutory body, apex cooperative or national apex society, or a DC-supported producer company, and, where applicable, the Rs 1.5 crore turnover condition.
2. Prepare the proposal in the prescribed proforma with the Detailed Project Report, land documents, registration papers, three years of audited accounts and the field/regional office recommendation.
3. Submit the proposal online through the official DC (Handicrafts) portal at indian.handicrafts.gov.in, within the timeline of the specific invitation.
4. The Project Approval and Monitoring Committee appraises the proposal and, if sanctioned, releases the DC (Handicrafts) and DC (Handlooms) shares against the state agency's contribution and deliverables.

Proposals sent without any invitation, received after the last date, or submitted without the mandatory enclosures and a clear recommendation, will not be entertained.

Who benefits and where to look

While artisans and weavers cannot apply directly, they are the intended beneficiaries: the Urban Haats, emporia, common facility centres and resource centres created under IATS give them marketing outlets and shared production facilities. Individual artisans looking for personal support should instead look at direct artisan schemes of the DC (Handicrafts). Scheme guidelines and invitations are published on the DC (Handicrafts) websites, handicrafts.nic.in and indian.handicrafts.gov.in.