Nagaland allocates INR 2 crore for the Chief Minister’s Yarn Bank Scheme to support weavers and preserve traditional weaving heritage
KOHIMA — The Nagaland government has allocated INR 2 crore for the establishment, procurement, subsidies and operational expenses of the Chief Minister’s Yarn Bank Scheme, aimed at supporting weavers, preserving traditional craftsmanship and sustaining the state’s rich weaving heritage.
Chief Minister Neiphiu Rio, in a post on X, said the scheme reflects the state government’s commitment to strengthening the handloom sector by improving weavers’ access to quality raw materials at affordable prices.
Launched on August 7, 2026, the scheme provides weavers with high-quality natural yarn through a centralised yarn bank.
Under the initiative, eligible beneficiaries will receive a 15 per cent subsidy in accordance with the guidelines of the National Handloom Development Programme (NHDP) and the Raw Material Supply Scheme (RMSS).
The yarn will be sourced from Orient Yarn, Guwahati, at mill prices.
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The scheme aims to support around 10,000 weavers annually, with a focus on cotton, eri silk and blends of natural fibres.
By ensuring access to affordable raw materials, the initiative is expected to strengthen the state’s handloom sector, preserve traditional weaving practices and promote sustainable livelihoods.
Eligible beneficiaries include registered weavers holding Pehchan identity cards, handloom cooperatives and self-help groups (SHGs) across Nagaland.
Priority will be given to women, who account for 88 per cent of the state’s weavers, according to the Fourth All India Handloom Census 2019–20.
The scheme will cover all districts, with a centralised yarn bank in Dimapur and satellite depots to be established in remote areas based on demand.
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According to Rio, the annual subsidy will be capped at INR 5,000 to INR 10,000 per weaver, depending on the applicable NHDP norms.
To avail the benefits, applicants will be required to apply through a mobile application or online portal linked to their Pehchan Weaver ID. Their eligibility will be verified against the state handloom database or census records.
The subsidy will be provided either through an upfront discount at the yarn bank or satellite depots, or through post-purchase reimbursement via Direct Benefit Transfer (DBT) to the beneficiary’s bank account.
The distribution mechanism will include bulk supply through the central yarn bank to cooperatives and SHGs, satellite depots in high-demand and remote areas to serve individual weavers, and online ordering with doorstep delivery through existing last-mile delivery networks.
The initiative is expected to improve access to essential raw materials for weavers across Nagaland while helping preserve the state’s traditional weaving heritage and strengthen livelihoods in the handloom sector.