Welfare of Artisans and Craftspeople

Dr. ISHITA G. TRIPATHY Additional Development Commissioner, Ministry of MSME, Government of India

Government of India’s policy approach rests on the principle of enhancing the three critical accesses to enterprises. These three accesses include enhancing access to affordable finance; ensuring access to state-of-the-art technology; and increasing access to extensive and expansive domestic and global markets. Each of these accesses has finer points entailed in them. For example, access to affordable finance not only implies collateral free loans, but also timely payments which are due to smaller suppliers. Similarly, access to technology covers adherence to quality and compliance with environmental standards. In the same vein, mandatory annual public procurement requirements by Government Ministries and Public Sector Units provide an assured market for the goods and services of smaller enterprises.

The recently launched PM Vishwakarma Scheme with its objective of providing end-to-end support to artisans and craftspeople of 18 traditional trades definitely has its roots in Welfare Economics, which promises maximization of public welfare with inclusion and public participation. The Scheme is fairly nuanced, futuristic and comprehensively covers all three crucial accesses. Based on the principles of Samman, Samarthya, Sammriddhi of traditional artisans and craftspeople, the Scheme seeks to provide recognition to beneficiaries in the form of PM Vishwakarma certificate and identity card delivered in both physical and electronic forms, besides honing their skills through basic and advanced trainings of 6 days and 15 days, respectively. On successful completion of skill training, those who desire to take loans for entrepreneurship development can apply for collateral free loans upto Rs. 3 lakh, in two tranches of Rs. 1 lakh and Rs. 2 lakh. Each beneficiary receives an Udyam Assist Platform certificate at the time of registration, which makes his/her loan eligible to be considered as Priority Sector Lending. To enhance efficiency and productivity, toolkits worth Rs. 15,000, based on cutting edge technology, are delivered to the beneficiaries at their doorstep. The distribution of toolkits rests on state-of-the-art technology and digitalization. The need to transform to the digital arena is underscored by the fact that the beneficiaries are rewarded for every digital payment or receipt. The Scheme facilitates participation of beneficiaries in trade fairs, exhibitions, selling on e-commerce networks, etc.

The implementation of the Scheme entails a mammoth exercise of coordinating with a large number of stakeholders, each having an important role to play in the successful implementation of the scheme. The Scheme includes challenging coordination among 2.5 lakh Gram Pradhans and around 4,900 Urban Local Bodies involved in verification at level 1; more than 750 district collectors verifying prospective beneficiaries at level 2; 32 Development and Facilitation Offices of Ministry of MSME confirming registrations at level 3; around 900 skill centres imparting training; 217 financial institutions processing loan applications; 5 Digital Payment Aggregators; 1.5 lakh postmen engaged in delivery of modern toolkits; and various e-commerce platforms. These numbers are poised to increase further.

The Scheme has received an overwhelming response. Since its launch on 17^th September, 2023, more than 23 lakh artisans and craftspeople have received their PM Vishwakarma certificates and identity cards, along with Udyam Assist Platform certificates. These beneficiaries are spread across the 18 trades, spanning across the length and breadth of the country. More than 10 lakh beneficiaries have attended their basic skill training and around 2 lakh beneficiaries have been sanctioned loans of upto Rs. 1 lakh. More than one-third of the beneficiaries are women. OBC, SC and ST beneficiaries together account for 80% of all registered beneficiaries. Evidently, the Scheme is an affirmative step towards inclusive growth and aspires to achieve the utilitarian objective of the greatest good of the greatest number.

(The views expressed are personal. A PIB feature)