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Chhattisgarh Allocates ₹228.84 Crore for Village Industries in 2026–27 Budget

Focus on cottage industries, weavers, artisans, and rural employment; PM Ekta Mall and sericulture expansion to boost market access and livelihoods.

Published on: March 13, 2026
By: Soumya Tiwari Purohit
Location: Raipur, India

The Chhattisgarh government has allocated ₹228.84 crore for the Department of Village Industries in the 2026–27 state budget, aiming to strengthen cottage industries, promote traditional crafts, and generate employment opportunities in rural areas. The grant demand related to the department headed by Village Industries Minister Gajendra Yadav was passed in the state assembly on Thursday.

Presenting the budget provisions, the minister said the state government is committed to strengthening the rural economy in line with the vision of Prime Minister Narendra Modi and the broader goal of building a developed India. He emphasized that the government’s strategy focuses on empowering traditional weavers, artisans, and cottage industry workers while preserving the state’s rich cultural heritage.

Employment Opportunities in Rural Areas

According to the minister, several welfare-oriented schemes are being implemented through the sericulture department, the handloom sector, the handicrafts development board, the Khadi and Village Industries Board, and the terracotta (Mati Kala) board. These initiatives together are generating direct and indirect employment for nearly 3,15,350 people across rural areas of the state.

The government aims to expand livelihood opportunities by strengthening traditional industries while ensuring that artisans and rural entrepreneurs gain access to modern training, technology, and markets.

Expansion of Sericulture Sector

The sericulture division has received a major share of the budget to promote Tasar silk production in the state. Under the Natural and Cultivated Tasar Kosa Production Development Scheme, ₹59.82 crore has been allocated for the 2026–27 financial year. The state has set a target to produce 21.59 crore Tasar cocoons.

To promote mulberry silk production, ₹4.25 crore has been earmarked under the Mulberry Sericulture Expansion and Development Program. Additionally, ₹76 lakh has been allocated for training and research schemes, under which 1,450 beneficiaries will receive modern technical training in silk production and processing.

Support for Handloom Weavers

The state government is also strengthening the handloom sector through the Integrated Handloom Development Scheme. Under the scheme, weavers receive support in the form of training, improved looms, workshop buildings, warehouse construction, and design development.

During the 2025–26 financial year, ₹5.03 crore was sanctioned up to February 2026, benefiting 1,206 weavers. For the 2026–27 budget, ₹5.60 crore has been allocated to continue the program.

Housing Support for Weavers

Under the Weavers’ Workshed-cum-Housing Scheme, housing assistance is being provided to weavers who do not have their own homes. By February 2026, ₹4.90 crore had been sanctioned to benefit 196 weavers under the scheme. The same amount—₹4.90 crore—has been allocated for the upcoming financial year.

Through government textile supply programs, employment is currently being provided to 47,640 weavers from 335 weaver societies. Additionally, stitching of uniform garments is generating supplementary income for 23,052 women belonging to 1,921 self-help groups.

Role of Khadi and Village Industries Board

The Chhattisgarh Khadi and Village Industries Board continues to play a major role in promoting rural entrepreneurship and cottage industries. Under the Chief Minister Employment Generation Programme, 502 units were approved during 2024–25 with a project cost of ₹11.03 crore, including subsidy assistance of ₹3.67 crore.

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For the 2026–27 financial year, ₹8 crore has been allocated to establish family-based rural enterprises under the program.

Promotion of Traditional Crafts

The Chhattisgarh Handicrafts Development Board is supporting traditional crafts such as bell metal, iron craft, bamboo craft, wood craft, stone craft, godna art, wall paintings, gourd craft, terracotta, carpet weaving, and embroidery. To enhance productivity and skill levels, ₹3.90 crore has been allocated for providing training, advanced tools, and modern equipment to artisans.

PM Ekta Mall for Market Access

To improve marketing opportunities for traditional products and promote the “One District One Product” initiative, the state government has established the PM Ekta Mall. The mall will serve as a dedicated marketplace for handicrafts, handloom products, and traditional goods from across the state.

A significant allocation of ₹93 crore has been made in the 2026–27 budget for the development and expansion of this initiative.

Support for Potters Through Mati Kala Board

The Chhattisgarh Mati Kala Board is working to make potters self-reliant by providing registered artisans with free electric pottery wheels. So far, 9,464 electric wheels have been distributed across the state.

The government has allocated ₹3 crore for this program in the 2026–27 financial year.

New Glazing Units for Value Addition

To enhance the value of clay-based craft products, five glazing units are currently operational in the state. The government has allocated ₹4.30 crore for their continued operation and for establishing a new glazing unit in Goriya village of Kunkuri block in Jashpur district.

Strengthening Rural Economy and Cultural Heritage

Minister Gajendra Yadav expressed confidence that the budget will strengthen traditional cottage industries, generate employment, and support self-reliance in rural communities. He added that the initiatives will not only improve livelihoods but also help preserve and promote Chhattisgarh’s rich cultural heritage and traditional craftsmanship.

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