It is in the context of availability of cane and bamboo, local skill and the possibility of developing a cluster for the same that DC – MSME (Ministry of Micro, Small and Medium Enterprises, Government of India) mandated the Indian Institute of Entrepreneurship (IIE), Guwahati to develop a cluster in cane and bamboo products.

At the start of the endeavor there were only eighteen volunteers ready to join the network and form a part of the cluster but eventually the membership steadily increased and stood at eighty-two (with 11 female actors and two (2) exporters).

Before intervention by IIE, there was only one unit which exported trays to Morocco worth of US $ 6000. The other units lacked export oriented products. Post intervention, Ms Jesmina Zeliang, one of the cluster actors was successful in bagging an export order of Rs.7 lakhs for her cane and bamboo furniture in 2005-06 which has gone upto US$16,000 in 2007-08. Besides, the cluster artisans registered sales at IITF at Delhi [Rs 2,15,000 (Approx)], NEDFi Haat at Guwahati [Rs 1,55,000 (Approx)], Bam Fest at Kerala [Rs 65,000 (Approx)], Exhibition at Udaipur [Rs 80,000 (Approx)] and NE Expo at Delhi [1,87,000 (Approx)].

For effective skill building, the cluster actors visited the Regional Research Laboratory (RRL), Jorhat, M/s Gurunanak Machinery suppliers Assam (P) Ltd., Tinsukia, Assam, Agarbatti stick making unit at Tinsukia etc.
The principal agencies which have contributed towards the success of the cluster also amplify the quality of collaboration achieved. Units in the cluster are supplying products to the Government Agencies like CCIC and TRIFED. Besides, technical help from various quarters including IIT Bombay had come by way of technical expertise and support. The expertise of CIBART was hired to introduce new technology into the cluster. A number of projects were sanctioned by commercial banks and NEDFi for new and existing cluster actors. 

The cluster has successfully achieved the following:

1. The Special Purpose Vehicle (SPV) - Craft Council of Nagaland (CCN) (a body of the artisans of Nagaland) was formed with 50 registered members and the rest of the 32 members under the cluster were affiliated with CCN
2. A  New Product Brochure was prepared and published
3. A common website www.bamcanecluster.com was launched
4. A Product Gallery has been launched in Dimapur to promote the cluster products

Principal Agencies contributing to the success of the scheme in Dimapur

Central Government Agencies                

1. DC (MSME)
2. Central Cottage Industries Corporation of India Ltd (CCIC)
3. Tribal Cooperative Marketing Development Federation of India Limited (TRIFED)
4. IIT, Bombay
5. IIT, Guwahati

State Government

Nagaland Handloom and Handicrafts Development Cooperation Ltd (NHHDC)

Private Sector

Jesmina Zeliang, Cane Concept
Mr Naveen Sood, Expert in Cane and Bamboo Crafts
Prof A. K Das, Designer, IIT-G