Market Development Assistance on Production Scheme

1.1  Khadi is handspun and hand woven cloth made by around a million traditional rural artisans. Handspun and hand woven characteristic is the unique selling proposition of Khadi. Govt. of India has been providing sales promotional assistance, popularly known as rebate on the retail sale value of khadi in order to facilitate the product to compete with other textile products in the market. 

1.2  The rebate scheme provides discount on khadi and polyvastra at retail point. It has two components viz. Normal and Special. Normal rebate is extended at a flat rate of 10% throughout the year on khadi items except reeled silk. Special rebate is extended at a rate of 10% on all khadi items for 108 days, coinciding with local festivals, in a year in addition to normal rebate.