Cluster-based approach was adopted by the Government of India and under this approach, National Programme for Rural Industrialisation (NPRI) was implemented. In the 1999-2000 budget, the Finance Minister announced the National Programme for Rural Industrialisation (NPRI) to support enterprises producing similar kind of products or services, i.e. clusters, in rural areas. The main aim of NPRI was to boost rural industrialisation by setting 100 rural clusters every year.