The main objectives of the scheme are to:

To organize the traditional industries and artisans into clusters in order to make them, competitive and provide support for their long term sustainability;
To provide sustained employment for traditional industry artisans and rural entrepreneurs;
To enhance marketability of products of such clusters by providing support for new products, design intervention and improved packaging and also the improvement of marketing Infrastructure;
To equip traditional artisans of the associated clusters with the improved skills and capabilities through training and exposure visits;
To make provision for common facilities and improved tools and equipments for artisans;
To strengthen the cluster governance systems with the active participation of the stakeholders, so that they are able to gauge the emerging challenges and opportunities and respond to them in a coherent manner;
To build up innovative and traditional skills, improved technologies, advanced processes, market intelligence and new models of public-private partnerships, so as to gradually replicate similar models of cluster- based regenerated traditional industries.


This scheme is open to Non-Government Organizations (NGOs), Institutions of the Central and State Governments and, Semi-Government institutions, field functionaries of State and Central Govt., Panchayati Raj institutions (PRIs), and similar agencies, with suitable expertise to undertake cluster development.