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Mill Gate Price Subsidy Scheme

The scheme provides 15% subsidy on yarn purchases from NHDC depots to handloom weavers, cooperatives, and NGOs, along with freight reimbursement (1–8.5%). Intended beneficiaries include weavers below the poverty line.

Ministry / Department
Industries and Mines Department
Level
State
Benefit type
cash
Last verified: Recently

What is Mill Gate Price Subsidy Scheme?

The scheme provides 15% subsidy on yarn purchases from NHDC depots to handloom weavers, cooperatives, and NGOs, along with freight reimbursement (1–8.5%). Intended beneficiaries include weavers below the poverty line.

Benefit
**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.
Level
State — Gujarat
Ministry / Dept.
Industries and Mines Department
Benefit type
cash
Key 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).
Last verified
Recently

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.

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).Area: GujaratBenefit: cash

Documents Required

    How to Apply

    1. Step 1: Offline application — step 1

      Step 1: The interested applicant should first purchase the yarn from NHDC-recognized depots (e.g., 12 depots in Surendranagar, 1 in Ahmedabad).

    2. Step 2: Offline application — step 2

      Step 2: Visit the District Industries Centre (DIC) of his district, and request the hard copy of the prescribed format of the application form from the designated staff.

    3. Step 3: Offline application — step 3

      Step 3: In the application form, fill in all the mandatory fields, and attach copies of all the mandatory documents (self-attest, if required).

    4. Step 4: Offline application — step 4

      Step 3: Submit the duly filled and signed application form along with the documents, within the prescribed period (if any), to the designated staff at the DIC.

    5. Step 5: Offline application — step 5

      Step 4: Request a receipt or acknowledgement from the concerned staff to whom the application has been submitted.

    Sources & References

    Ready to apply?

    Applications are accepted only on the official government portal.

    Open Official Website