The Empowered Committee of the Ministry of Rural Development has reviewed proposals aimed at accelerating the growth of women-led rural enterprises and helping small-scale self-help group (SHG) businesses transition into higher-growth enterprises under the Non-Farm Livelihoods (NFL) component of the Deendayal Antyodaya Yojana–National Rural Livelihoods Mission (DAY-NRLM).
The meeting, chaired by Rural Development Secretary Rohit Kansal on August 22, focused on expanding entrepreneurship-driven livelihood opportunities for rural women and supporting the government’s broader objective of creating 6 crore Lakhpati Didis.
The committee considered four new incubator proposals from Bihar, Jammu & Kashmir, Uttar Pradesh and Gujarat. The proposed incubation partners are IIT Patna, IIM Jammu, IIM Lucknow and IIT Gandhinagar, respectively.
Together, the four proposed programmes are expected to support more than 600 high-potential rural enterprises through structured interventions covering business strategy, mentoring, financial planning, formalisation, technology adoption, market access and access to finance.
14 incubators already operational
The proposed programmes build on the experience of four completed incubator programmes in Assam, Bihar, West Bengal and Karnataka, which supported more than 600 SHG enterprises.
The incubator initiative has since expanded, with 14 programmes currently operational across 13 states. These programmes are supporting around 2,100 rural SHG enterprises through partnerships with premier institutions, including IIMs, IITs and leading incubation organisations.
According to the ministry, earlier incubator programmes recorded tangible improvements in enterprise revenues, business formalisation and employment generation, providing a foundation for scaling up the initiative.
The new incubators will cover sectors including food and agro-processing, textiles and handicrafts, manufacturing, retail and services, tourism-linked activities and digital enterprises. They will also focus on other growth sectors relevant to local economies.
A key feature of the proposed programmes will be a transparent, merit-based Challenge Fund to identify enterprises with strong growth potential. Dedicated State Incubation Cells will also be established to institutionalise enterprise support within State Rural Livelihoods Missions.
SVEP expansion in two states
The committee also examined proposals to expand the Start-up Village Entrepreneurship Programme (SVEP) in West Bengal and Goa. The expansion is aimed at strengthening the rural non-farm entrepreneurship ecosystem and enabling more SHG members to establish and develop sustainable businesses.
The initiatives are intended to support a shift among rural women entrepreneurs from subsistence-level activities towards businesses with higher turnover, stronger market linkages, improved access to finance and greater potential for employment generation.
The committee emphasised innovation, institutional partnerships, convergence among programmes, digital adoption, market access and outcome-based monitoring.
The government sees incubation and enterprise development under DAY-NRLM as an important mechanism for strengthening women-led economic development and advancing the Lakhpati Didi initiative. The measures are aimed at creating a stronger national ecosystem that can help rural women-owned enterprises move beyond survival-oriented businesses and achieve sustained growth.