Formats of Proposals for Cluster Development

Project (Other than Establishment of Common Facility Centres or Similar Hard Infrastructure)

1. Summary Details of the proposed cluster chosen for intervention (Format at Annex I).

2. Selection Criteria used to select the above mentioned cluster in preference to any other contending cluster(s) (Possible guidelines at Annex II).

3. Primary and Secondary Objectives of the Proposed Intervention: Sustainable employment generation, poverty alleviation, faster growth of value of production of existing enterprises, productivity improvements, improved environmental compliance; all/some of the foregoing and/or any other–specify explicitly.

4. Key Problem Areas and Suggested Corresponding Strategic Interventions:
(a). Key problems confronting the cluster in achieving the stated objectives and corresponding strategic areas of intervention, e.g., technological and process/product quality up-gradation, improved credit flow and other types of financial linkages, improved marketing including exports, institutional capacity building including but not limited to creation of new active associations/ networks, training of individual cluster units, better environmental compliance, etc., during each year of the project that will help the cluster in achieving all the primary and secondary objectives.
(b). Reasons for choice of each strategic intervention: how do you establish the suggested priority/sequencing of each intervention?

5. Expected Major Outputs: At the level of (i) individual firms, (ii) cluster, (iii) inter-cluster networks and (iv) policy on cluster development, in relation to the situation described above (illustrative output at Annex III).

6. Institutional Competencies: What proven competencies does your institution have in the strategic areas of intervention described at sr. no. 4 above? Please attach a summary sheet of the results achieved in any other cluster that you may have dealt with in the past (as per Annex III). If there is already a development initiative underway in the cluster or likely to be taken up, state the scope for value addition/complementation by your institution.

7. Management Structure for Proposed Cluster Project Implementation: Draw the organisational structure for the proposed project, giving the name of each person likely to be deployed with his/her role and duration in person days across the project along with his/her CV.
8. Proposed Project Cost: Provide annual estimate of cost for the duration of the project and the likely sources of funds including the minimum contribution of the industry association at 10% (Format in Annex IV).
9. Monitoring (regularly) and Evaluation (quarterly, half-yearly or yearly) Mechanism: State clearly the proposed mechanism with emphasis on measures for involving the local beneficiaries as well as external institutions (the latter to be specified).

Note: Taking the proposed mechanism into account, reporting formats for evaluation will be provided separately upon sanction of the project proposal.


Name of the product & location of the cluster
Report for the quarter ending…………….…in the year………..
Name of implementing agency………………..
Status of implementation of activities