Assistance Scheme for Handicraft Artisans

Assistance Scheme for Handicraft Artisans (ASHA) is a Kerala state scheme that offers one-time grant support to handicraft artisans for setting up or upgrading micro-enterprises in the handicraft sector. In 2026 the scheme continues to provide both fixed capital and working capital support, helping artisans modernize their workshops and grow their business through a structured grant process.

ASHA acts as a backend help mechanism for the creative community of the state. It brings support services for artisans under one umbrella and pays the approved amount as a grant, so the artisan does not have to repay it.

Assistance Scheme for Handicraft Artisans - Introduction

Assistance Scheme for Handicraft Artisans stands as a dedicated effort to uplift the creative community of Kerala. The scheme provides one-time financial support as a grant to help artisans establish or enhance their own handicraft enterprises. By acting as a backend help mechanism, it aims to make support services for creators within the state easier to access under one unified umbrella.

For example, if Ramesh, a local woodcarver, wants to set up a small workshop, this scheme can provide the required grant to help him get started. For the purpose of this scheme, an artisan is any individual recognized by the office of the Development Commissioner (Handicrafts), Government of India, or agencies like SURABHI, KSBC, KADCO, HDCK, KELPALM, and Kerala State Pottery Manufacturing Marketing and Welfare Development Corporation (KSPMMWDC) who has taken active steps to start their business.

Main Aims:

1. To offer complete backing to artisans for launching handicraft-based micro-enterprises.
2. To provide one-time grant support to eligible local artisans as a backend financial boost.

Key Information

Benefits

This scheme provides a financial boost for fixed capital investments, which includes costs for constructing your workshed or workshop, purchasing required tools, machinery, equipment, accessories, and handling costs for electrification or technology and design development. In addition, the scheme now also offers a working capital grant based on the project report approved by the financial institution.

Please note that the approved assistance is credited to you in a single installment once verified.

Eligibility

You are eligible for Assistance Scheme for Handicraft Artisans if you run a micro-enterprise in the handicraft sector within the state, provided you have filed your Entrepreneurs Memorandum Part-II with the local District Industries Centre or possess a Udyam Registration.

Important Note: If you have already received subsidies or grants from other state or central government schemes, the benefit under this program will be adjusted to the remaining eligible balance.

Your Responsibilities as an Applicant:

• Submit truthful and accurate details in your application.
• Provide any additional clarifications or documents requested by authorities.
• Allow officials to inspect your tools, workshop, and equipment during the checking stage.
• Present original documents whenever the authorities ask for them.
• Sign the required legal agreement once your project proposal is approved.
• Use the funds strictly for the purpose they were granted.
• Maintain your business unit as per the agreement; failure to do so will result in the recovery of the support under the Kerala Revenue Recovery Act.

Application Process

You can apply for this scheme online through the official portal or in person with all supporting documents.

STEP 1 - Visit the official application website.

STEP 2 - Locate the Assistance Scheme for Handicraft Artisans on the homepage and click on Apply Now.

STEP 3 - If you are a new user, complete the New Registration process. If already registered, use your credentials to Login.

STEP 4 - Once inside your Applicant Home page, select New Application and click Proceed.

STEP 5 - Fill in all details carefully, upload the required documents, and click Submit.

You can refer to the User Manual for Applicants for a step-by-step walkthrough.

Documents

Keep these documents ready for your online application:

• Self-attested copy of your identity card.
• Recent passport-size photograph.
• Age proof document.
• Self-attested copy of the business registration resolution (if not a sole proprietor).
• Self-attested copy of the Udyam Registration certificate.
• Caste certificate (for SC/ST artisans, attested by a Gazetted Officer).
• Detailed project report of your handicraft venture.
• Your valid bank account details.

References

Official Website | Scheme Guidelines | Amended Guidelines 2023 | Application Portal

FAQ's

What is the primary aim of the scheme?

The scheme brings support for handicraft artisans onto a single platform, offering simplified grant support to help you set up or grow your own handicraft enterprise.

What are the core objectives?

The goals are to provide deep-level institutional support for micro-enterprises and offer a one-time grant to artisans in the state to build a sustainable workspace.

Who manages the implementation of this scheme?

The Industries and Commerce Department, Government of Kerala, manages this scheme. The General Manager of the District Industries Centre is the sanctioning authority.

What is the definition of an artisan for this scheme?

An artisan is an individual officially recognized by the Development Commissioner (Handicrafts), Government of India, or partner agencies like SURABHI, KSBC, KADCO, HDCK, KELPALM, or KSPMMWDC who has taken concrete steps to start a business.

How does the age limit work for young artisans?

You must be between 18 and 45 years of age. Eligibility is determined based on your age as of the 1st of April of the concerning financial year.

Does the scheme cover working capital too?

Yes. Along with fixed capital support, the scheme now offers a working capital grant based on the project report approved by the financial institution, subject to the total limit for your category.

What if I already received a subsidy elsewhere?

You can still apply, but the grant amount will be adjusted based on any previous financial support you have already received from state or central agencies.

How is the grant money disbursed?

The approved grant amount is disbursed directly to you in a single installment once all formalities are fulfilled.