**Executive Summary**
This document outlines the progress of the Micro and Small Enterprises-Cluster Development Programme (MSE-CDP) and the Scheme of Fund for Regeneration of Traditional Industries (SFURTI). As of March 12th, 2026, 364 MSE-CDP projects have been completed, and 513 clusters have been approved under SFURTI since 2015-16. The Ministry of Micro, Small & Medium Enterprises is also promoting digital upgradation and the adoption of emerging technologies through various initiatives.
**Key Points / Main Content**
* **MSE-CDP Progress:**
* 364 Micro and Small Enterprises-Cluster Development Programme (MSE-CDP) projects have been completed.
* A total of 606 projects have been approved since the scheme's inception.
* 242 projects are currently ongoing.
* **SFURTI Progress:**
* 513 clusters have been approved under the Scheme of Fund for Regeneration of Traditional Industries (SFURTI) since 2015-16.
* Government of India has committed ₹1,332.95 crore in assistance to these clusters.
* These clusters aim to benefit approximately 3.03 lakh traditional artisans across diverse sectors.
* 378 approved clusters are currently functional, with 135 under various stages of implementation.
* **MSE-CDP Admissible Components/Areas for CFCs:**
* Industry 4.0 and Learning Facilities, Additive Manufacturing, and Digital Infrastructure.
* Design/Incubation Centres.
* Training Centre / Skill Upgradation Facilities.
* R&D Centres.
* Common Renewable Energy Generation and Energy Management equipment.
* CFCs for Greenfield clusters for holistic MSME development.
* **Government Initiatives for Digitalisation:**
* Promoting digital upgradation and adoption of emerging technologies for MSMEs.
* Leveraging digital platforms like DigiLocker and IndiaAI Datasets.
* Utilizing telecommunication networks like BharatNet and PM-WANI for connectivity.
* Supporting digital registration under Udyam, technology adoption, and incubation of new ideas.
* **Trade Enablement and Marketing (TEAM) Scheme:**
* Facilitates Micro and Small Enterprises for onboarding onto the Open Network for Digital Commerce (ONDC).
* Provides financial assistance for onboarding, cataloguing, account management, logistics, packaging, and design.
* Half of the beneficiary MSMEs under this scheme will be women-owned enterprises.
**Impact Analysis**
**Micro and Small Enterprises (MSEs)**
* **Impact:** Enhanced productivity, competitiveness, and sustainability through cluster development, access to Common Facility Centres (CFCs), digital upgradation, and improved market linkages.
* **Action Required:** Participate in approved MSE-CDP and SFURTI projects; adopt digital technologies and platforms; engage with the TEAM scheme for ONDC onboarding.
**Traditional Artisans**
* **Impact:** Strengthened traditional industries and enhanced rural livelihoods through cluster-based development and skill enhancement initiatives.
* **Action Required:** Engage with SFURTI clusters for skill upgradation and market access opportunities.
**Women-Owned Enterprises**
* **Impact:** Increased participation in digital commerce and access to financial assistance and support services through the TEAM scheme.
* **Action Required:** Participate in the TEAM scheme to leverage financial assistance for onboarding onto ONDC.
**State Governments/UTs**
* **Impact:** Opportunity to propose projects for the demand-driven MSE-CDP scheme based on the common needs of existing clusters.
* **Action Required:** Continue to send proposals for the MSE-CDP scheme to the Ministry of Micro, Small & Medium Enterprises.
Key Entities Referenced
Micro and Small Enterprises-Cluster Development Programme (MSE-CDP): A scheme by the Ministry of Micro, Small and Medium Enterprises to establish Common Facility Centers (CFCs) and create/upgrade infrastructure facilities to enhance productivity and competitiveness of Micro and Small Enterprises (MSEs) in existing clusters.
Scheme of Fund for Regeneration of Traditional Industries (SFURTI): A scheme promoting cluster-based development, strengthening traditional industries, and enhancing rural livelihoods.
Ministry of Micro, Small & Medium Enterprises: The government ministry responsible for implementing the MSE-CDP and SFURTI schemes.
Trade Enablement and Marketing (TEAM) scheme: A scheme launched by the Ministry to facilitate Micro and Small Enterprises in onboarding onto the Open Network for Digital Commerce (ONDC).
Lok Sabha: The lower house of the Parliament of India, where the information was presented in a written reply.
Ministry of Micro,Small & Medium Enterprises
MSME Ministry Completes 364 MSE-CDP
Projects; SFURTI Boosts Traditional Industry
Clusters
Posted On: 14 MAR 2026 4:26PM by PIB Delhi
Micro and Small Enterprises-Cluster Development Programme (MSE-CDP) of Ministry of Micro, Small
and Medium Enterprises, Government of India establish Common Facility Centers (CFCs) and
create/upgrade Infrastructure Facilities (ID Projects) providing financial support to enhance the
productivity and competitiveness of Micro and Small Enterprises (MSEs) in the existing cluster. Total 606
projects have been approved since inception of the scheme out of which 242 projects are ongoing and 364
projects are completed.
Under the Scheme of Fund for Regeneration of Traditional Industries (SFURTI), significant progress has
been made in promoting cluster-based development, strengthening traditional industries, and enhancing
rural livelihoods. A total of 513 clusters has been approved across the country since 2015-16, with a
approved committed Government of India assistance of ₹1,332.95 crore. These clusters are proposed to
benefit approximately 3.03 lakh traditional artisans engaged in diverse sectors such as handicrafts,
handloom, agro-processing, coir, honey, and related activities. Of the total clusters approved, 378 clusters
are currently functional, while 135 clusters are under various stages of implementation as on date,
contributing to infrastructure development, skill enhancement, value addition, and improved market
linkages at the grassroots level.
Under Micro and Small Enterprises-Cluster Development Programme (MSE-CDP), the admissible
components/area for setting up of Common Facility Centres (CFCs) inter alia include:
i. Industry 4.0 and its Learning Facilities, Additive Manufacturing Facilities, Digital
Infrastructure.
ii. Design/Incubation Centres.
iii. Training Centre / Skill Upgradation Facilities.
iv. R&D Centres.
v. Common Renewable Energy Generation (Solar, Wind, Bio) and Energy Management
equipment.
vi. CFC for Greenfield clusters for holistic developments of MSME sector.
MSE-CDP is a demand driven Central Sector Scheme wherein, State Governments send proposals as per
common needs of existing cluster in their States/UTs
The industrial landscape in the country has witnessed increased digitalisation in recent years, with
enhanced operational efficiency for MSME in value creation and competitiveness. There is increasing
participation in digital payments, e-commerce transactions, IOT enabled production tools and AI based
technologies for improved business operations. To promote digital upgradation and adoption of emerging
technologies for greater productivity and competitiveness among MSME, Government has taken several
initiatives. These include Ministry of Electronics and Information Technology platforms like DigiLockerand IndiaAI Datasets Platform aimed at empowering MSME to become resilient, competitive and
sustainable by leveraging digital technologies, and Department of Telecommunications networks like
BharatNet and PM-WANI for affordable access and last mile connectivity. Ministry of Micro, Small and
Medium Enterprises is supporting digital empowerment of MSME through digital registration under
Udyam, training in Tool Rooms /Technology Centres for technology adoption, incubation of new ideas
and technologies through MSME Innovative scheme and MSE Green Investment for Financing
Transformation scheme for promoting investment in green technologies. Components of financial
incentives, capacity building and awareness are suitably embedded in the design of the above Government
funded schemes.
The Ministry has launched Trade Enablement and Marketing (TEAM) scheme which aims at facilitating
Micro and Small Enterprises for onboarding onto Open Network for Digital Commerce (ONDC) by
providing financial assistance to Seller Network participants (SNPs) for onboarding, cataloguing, account
management, logistics, packaging material and design. Notably, half of these beneficiary MSMEs will be
women-owned enterprises.
This information was given by the Minister of State for Micro, Small and Medium Enterprises Sushri
Shobha Karandlaje in a written reply in Lok Sabha on 12th March 2026.
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Sunil Kumar Tiwari
E-Mail – hipessi[at]gmail[dot]com
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