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Meghalaya Sericulture & Weaving Scheme

The scheme aims to promote entrepreneurship in sericulture and weaving by providing financial support. It also focuses on strengthening Eri and Muga silk production and promoting Meghalaya’s yarn and fabric in national and global markets.

Authority

State/ UT

Region

Meghalaya

Status

Verified 2026

Updated

March 2026

What you get

- 75% of project cost supported by Government of Meghalaya as upfront margin money (5% by entrepreneur, 20% as bank loan) | - Credit linkage through partnered banks – State Bank of India (SBI) and Indian Bank | - Guidance in application process through implementing agencies | - Support in project realization and facilitation for unit setup under CM-ELEVATE framework | - Training and capacity building for entrepreneurs to successfully operate grainage, spinning, reeling, dyeing, and weaving units | - Financial assistance applicable for multiple unit types, including Eri Spinning, Muga Reeling, Weaving, and Grainage (with or without infrastructure support) | - One-time infrastructure support (500 sq ft/1000 sq ft shed) for eligible applicants, as per selected option | - Equipment cost coverage for spinning, reeling, weaving, dyeing, and grainage operations as per model | estimates

Who can apply

The collective must be based in the village where the program is being implemented.; The registered entity must have at least 10 members.; The collective must have prior experience in spinning and weaving, with a bonafide certificate from the District Sericulture Officer/District Handloom Officer stating that at least 5 members are spinners, reelers, or weavers, or valid Handloom ID cards for at least 5 weavers issued by the Government of Meghalaya.; The collective should employ a minimum of 5 spinners or weavers, supported by an undertaking.; The collective applying for Grainage must have staff with a minimum educational qualification of 10th pass and a bonafide certificate from the District Sericulture Office confirming at least 2 years of experience in the production of layings.; The collective must have an active bank account and submit bank statements for the last 6 months.; The collective must have been operating for at least two years.; The collective must possess land, either self-owned or leased, verified by the competent authority.; The individual must be a permanent resident of Meghalaya.; The individual must have completed training in spinning or weaving, supported by a certificate from a registered training provider, a bonafide certificate from the District Sericulture Officer/District Handloom Officer, or a valid Handloom ID issued by the Government of Meghalaya.; The individual applying for Grainage must have a minimum educational qualification of 10th pass and at least 2 years of experience in the production of layings, certified by the District Sericulture Office.; The individual must be between 18 and 58 years of age.; The individual must not be a credit defaulter from any bank.

Required Paperwork

  • Aadhaar Card
  • PAN Card
  • Income Certificate
  • Residence Proof (Domicile)

Common Questions

What is the objective of the scheme?

The objective is to promote entrepreneurship in the sericulture and weaving sector and strengthen the production of Eri and Muga silk so that Meghalaya’s yarn and fabric can gain recognition in national and international markets.

How much financial assistance is provided under the scheme?

The Government of Meghalaya provides financial assistance of up to 75% of the total project cost as upfront margin money.

What is the beneficiary contribution required under the scheme?

Under the scheme structure, 75% of the project cost is supported by the government, 20% is provided as a bank loan, and the remaining 5% must be contributed by the entrepreneur.

Which banks provide loans under the scheme?

The scheme is linked with partnered banks such as State Bank of India (SBI) and Indian Bank for providing the required bank loan component.

Who can apply for the scheme?

Both individual entrepreneurs and collectives, including registered and unregistered entities involved in sericulture or weaving activities, are eligible to apply for the scheme.

What types of units can be set up under the scheme?

The scheme supports the establishment of grainage units for producing Disease-Free Layings (DFL), Eri spinning units, Muga reeling units, natural dyeing units, and weaving units.

Does the scheme support Muga silk production?

Yes, the scheme also supports Muga silk production due to Meghalaya’s favorable climatic conditions for its cultivation.

Is there support for setting up infrastructure?

Yes, eligible applicants may receive one-time infrastructure support such as a shed of 500 sq ft or 1000 sq ft depending on the selected option.

Are collectives required to employ workers?

Yes, collectives must provide an undertaking stating that they will employ at least five spinners or weavers.