Scheme Kosh

New Charkha-Loom Scheme

Quick answer

New Charkha-Loom Scheme is a Gujarat khadi scheme that pays 65 per cent of the cost of a new Amber Charkha priced at Rs 13,000 and a new loom priced at Rs 30,000. That works out to Rs 8,450 for a charkha and Rs 19,500 for a loom. Registered khadi spinners and weavers apply through their khadi institution and the District Industries Centre.

Apply on the official portal ↗ Helpline: 079-23259591
Benefit
65 per cent assistance on a new Amber Charkha or handloom supplied to registered khadi spinners and weavers
Maximum benefit
Rs 19,500 per loom (65 per cent of Rs 30,000)
Last date to apply
No fixed deadline announced — check the portal
How to apply
Offline through the registered khadi or polyvastra institution and the District Industries Centre
Helpline
079-23259591
MinistryCommissioner of Cottage and Rural Industries, Industries and Mines Department, Government of Gujarat
Benefit65 per cent assistance on a new Amber Charkha or handloom supplied to registered khadi spinners and weavers
Maximum benefitRs 19,500 per loom (65 per cent of Rs 30,000)
Application modeOffline through the registered khadi or polyvastra institution and the District Industries Centre
Helpline079-23259591
Official websitehttps://cottage.gujarat.gov.in/

What is the New Charkha-Loom Scheme?

New Charkha-Loom Scheme is a Gujarat state equipment-subsidy scheme run by the Commissioner of Cottage and Rural Industries under the Industries and Mines Department. The scheme puts modern spinning and weaving equipment into the hands of registered khadi spinners and weavers by paying 65 per cent of the cost of a new Amber Charkha or a new loom.

The reference costings published for the scheme are Rs 13,000 for an Amber Charkha and Rs 30,000 for a loom. At 65 per cent, the state's share works out to roughly Rs 8,450 on a charkha and Rs 19,500 on a loom. The beneficiary or the khadi institution meets the remaining 35 per cent.

The Amber Charkha is the multi-spindle upgrade over the traditional single-spindle charkha, and it is the reason the scheme exists. A spinner on an Amber Charkha produces substantially more yarn per working day than one on a traditional charkha, which is what turns khadi spinning from a supplementary occupation into something closer to a full wage. The loom component does the same on the weaving side. New Charkha-Loom Scheme is therefore a productivity scheme rather than a welfare transfer. The money buys a machine, not an allowance.

New Charkha-Loom Scheme sits within the same cottage-industry stable as the state's handloom schemes (Hathshali Yojanao and Hathshali Sadhan Vikas Yojana), the Craft Business Development Centre programme, and the centrally sponsored National Handloom Development Programme and Mahatma Gandhi Bunkar Bima Yojana, all of which are administered from cottage.gujarat.gov.in.

Who is eligible for the New Charkha-Loom Scheme?

You can benefit if:

  • You are a spinner or weaver registered with a khadi or polyvastra institution operating in Gujarat.
  • You are a resident of Gujarat.
  • You need a new Amber Charkha or a new loom for khadi or polyvastra production.
  • Your institution is willing to route the proposal, since the delivery channel runs through the institution.

You are not eligible if:

  • You are an unattached individual weaver with no registration through a khadi or polyvastra institution. This is the single most common reason people find they cannot proceed.
  • You are seeking powerloom equipment. The scheme covers the Amber Charkha and handloom used in khadi and polyvastra production.
  • You are asking for repair or refurbishment of existing equipment rather than a new machine.
  • You have already received a charkha or loom under this scheme and are seeking a second unit within the same cycle.
  • You are a firm or trading business rather than a working spinner or weaver.

What does the 65 per cent actually cover?

Equipment Reference cost State share at 65 per cent Beneficiary share
Amber Charkha Rs 13,000 about Rs 8,450 about Rs 4,550
Loom Rs 30,000 about Rs 19,500 about Rs 10,500

Two points matter here. First, the percentage is applied to the notified reference cost, not to whatever a supplier quotes. If a supplier bills more than the reference cost, the excess is the beneficiary's to bear. Second, the assistance is usually settled against the equipment supply rather than paid out as free cash, so a beneficiary should expect a machine plus a bill, not a bank credit followed by an open shopping trip.

How to apply for the New Charkha-Loom Scheme

  1. Confirm your registration with the khadi or polyvastra institution you spin or weave for. Ask them for written confirmation of your registration, as this is the document that unlocks the scheme.
  2. Ask the institution to raise the proposal. Institutions consolidate requirements for their spinners and weavers rather than sending individual letters, so the practical first step is to get your name onto that list.
  3. Collect your document set — Aadhaar, Gujarat residence proof, bank passbook, and the supplier quotation for the charkha or loom.
  4. Submit through the District Industries Centre for your district. The DIC is the office that verifies the proposal and processes the state's share.
  5. Check e-Kutir at e-kutir.gujarat.gov.in. Gujarat is progressively moving cottage industry schemes onto this portal, where you register, update your profile, apply and submit online. If the scheme is live there for the current cycle, apply through the portal and keep the acknowledgement.
  6. Take delivery and sign the receipt. Keep a copy of the invoice and the delivery acknowledgement; these are what you will need if a warranty or follow-up question arises later.

How do I check the status of my request?

New Charkha-Loom Scheme has no dedicated public status tracker. Track it in two places instead. First, with the khadi or polyvastra institution that raised the proposal, since they hold the consolidated list and know where their batch has reached. Second, with the District Industries Centre, quoting the date and reference of the institution's submission. Where the scheme has been enabled on e-Kutir, the portal login shows the stage of an application directly.

Why requests get rejected, and how to fix them

  • No institutional registration. Register with a khadi or polyvastra institution first; there is no direct individual route.
  • Equipment outside scope. Powerloom or non-khadi machinery does not qualify. Handloom and khadi-related programmes are separate line items on cottage.gujarat.gov.in.
  • Quotation far above the reference cost. Get a quotation aligned to the notified cost, or be prepared to pay the entire excess yourself.
  • Incomplete identity or residence proof. Aadhaar and a Gujarat residence document are basic and are the most frequent cause of a file being returned unprocessed.
  • Duplicate benefit. A spinner who already holds a subsidised charkha from this scheme will normally not be issued a second one in the same cycle.

Where do I get help?

  • Commissioner of Cottage and Rural Industries: 079-23259591
  • Email: compcr@gujarat.gov.in
  • Helpdesk numbers published on cottage.gujarat.gov.in: 9909926180 and 9909926280
  • District Industries Centre for your district
  • e-Kutir portal: e-kutir.gujarat.gov.in, which also publishes a citizen help manual as a downloadable PDF and offers a mobile application

A note on verification. The Commissioner of Cottage and Rural Industries publishes the Government Resolution and application form for each of its schemes on cottage.gujarat.gov.in. Because equipment reference costs and assistance percentages are revised from time to time through fresh GRs, confirm the current Rs 13,000 and Rs 30,000 costings and the 65 per cent rate against the latest GR on that site before committing your own 35 per cent share. No agent can charge a fee to place your name on an institution's list.

Documents required

Aadhaar card
Identity proof for the spinner or weaver receiving the equipment.
Proof of registration with a khadi or polyvastra institution
The scheme routes through registered institutions, so an unattached individual weaver has no entry point.
Bank account passbook
Needed where the 65 per cent assistance is reimbursed rather than adjusted against the supplier's bill.
Quotation or invoice for the charkha or loom
Establishes the equipment cost against which the 65 per cent share is computed.
Residence proof in Gujarat
Ration card, electricity bill or panchayat certificate.

Frequently asked questions

How much assistance does the New Charkha-Loom Scheme give?

New Charkha-Loom Scheme gives 65 per cent of the equipment cost — about Rs 8,450 on an Amber Charkha costed at Rs 13,000, and about Rs 19,500 on a loom costed at Rs 30,000. The remaining 35 per cent is the beneficiary's or the institution's own contribution.

Who can get a charkha or loom under this scheme?

Registered khadi spinners and weavers attached to a khadi or polyvastra institution in Gujarat. The scheme is delivered through institutions rather than as a direct open public application.

Can an individual weaver apply directly without an institution?

No. An individual with no attachment to a registered khadi or polyvastra institution is not eligible, because the scheme's delivery channel is the institution and the District Industries Centre, not a public online form.

Which department runs the New Charkha-Loom Scheme?

The Commissioner of Cottage and Rural Industries, under the Industries and Mines Department of the Government of Gujarat, runs the scheme. The same office runs the state's other handloom and khadi programmes.

Is the New Charkha-Loom Scheme available online?

Not as a standalone public online form at present. Gujarat's cottage industry schemes are being migrated to the e-Kutir portal at e-kutir.gujarat.gov.in, so check there and with your District Industries Centre for the current cycle.

Does the scheme replace an old charkha or only fund a new one?

The scheme is framed around new equipment — a new Amber Charkha or a new loom. Repair or refurbishment of existing equipment is handled under the state's other handloom programmes rather than under this scheme.

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Written by Aapt Dubey, Author

Fact-checked by Rishu Dubey

Last fact-checked: 2 August 2026