Ladakh has unveiled a major push for its iconic Pashmina sector, with Lt Governor Vinai Kumar Saxena approving a 25% production-linked incentive for herders and an ₹8 crore Revolving Fund to strengthen the industry.
BY PC Bureau
July 5, 2026: Lieutenant Governor Vinai Kumar Saxena has approved two major initiatives aimed at strengthening Ladakh’s famed Pashmina industry and improving the livelihoods of Changpa nomadic herders, including a 25 per cent production-based incentive for herders and an ₹8 crore Revolving Fund for cooperative societies.
The decisions were taken during the first meeting of the newly constituted Ladakh Pashmina Development Board (LPDB) and are intended to enhance Pashmina production, ensure timely payments to herders, and make traditional Pashmina goat rearing more financially sustainable.
Under the newly launched Livestock Development Incentive Programme, Pashmina herders will receive a 25 per cent top-up incentive on the total value of Pashmina procured from them. The incentive will be paid directly into beneficiaries’ Aadhaar-linked bank accounts through the Direct Benefit Transfer (DBT) system, in addition to the government procurement price.
According to the administration, 60 per cent of the incentive will be earmarked for livestock improvement and scientific breeding, 20 per cent for infrastructure development, including improved combing equipment, while the remaining 20 per cent may be used by herders for personal and household needs.
In another significant decision, the Lt Governor sanctioned an ₹8 crore Revolving Fund for the All Changthang Pashmina Growers Cooperative Marketing Society Ltd. (ACPGCMS). The fund will enable the cooperative to pay herders 50 per cent of the value of raw Pashmina at the time of procurement, with the remaining amount to be disbursed within two months.
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Officials said the move is expected to ease long-standing cash flow problems faced by Changpa herders, who previously had to wait between eight and ten months for complete payment, often forcing them to rely on high-interest loans.
The initiatives are aimed at addressing several challenges confronting the Pashmina sector, including rising livestock rearing costs, harsh climatic conditions and fluctuating market returns.
The administration has also set ambitious targets to double Ladakh’s Pashmina goat population from nearly two lakh to at least four lakh over the next three years. It also plans to increase the average raw Pashmina yield per goat from around 200 grams to 350 grams through scientific breeding practices and improved combing techniques.
Speaking after the meeting, Lt Governor Saxena described the Changpa pastoral communities as custodians of one of Ladakh’s most valuable natural and cultural assets.
“The Livestock Development Incentive Programme and the Revolving Fund together represent a comprehensive strategy that addresses both ends of the Pashmina value chain,” he said.
He added that the initiatives would make Pashmina goat rearing more remunerative, encourage greater investment in scientific livestock management, reduce dependence on middlemen, and strengthen Ladakh’s position as a global producer of premium-quality, ethically sourced and sustainably produced Pashmina.
The administration said the measures were finalised after extensive consultations with stakeholders across the Pashmina value chain, including Changpa herders, cooperative societies, designers and industry experts.
