Under the scheme, candidates are selected for the seats fixed by the Government of India every year for the trainees of the three-year diploma course studying at the Indian Institute of Handloom Technology, Chowkaghat, Varanasi. The amount of scholarship is payable by the Government of India and the State Government to the trainees of the first, second, and third year on the basis of 50:50. In which in the form of state, for first year students INR 500.00 per student, for second year students INR 550.00 per student and for third year students at the rate of INR 600.00 per student for 10 months (July to April) Scholarship funds are provided for. At present, 45 seats have been earmarked for the students of Uttar Pradesh for the three-year diploma course of Indian Institute of Handloom Technology, Chowkaghat, Varanasi by the Ministry of Textiles, Government of India. In the financial year 2021-22, a total budget of INR 7.19 lakh (Rupees seven lakh nineteen thousand only) is proposed for the scholarship of first, second, and third year students for the three-year diploma course of Indian Institute of Handloom Technology, Chowkaghat, Varanasi.