Govt clears new tech fund scheme for textile sector
The textile ministry has said it will set up offices of textile commissioner (TXC) in each state to facilitate entrepreneurs in setting up businessesThe government on Wednesday approved the amended Technology Upgradation Fund Scheme (ATUFS) that aims to generate investments worth Rs.1 lakh crore in textile sector under Make in India programme. The new scheme has been introduced to encourage domestic apparel and garment exporters in order to increase India’s share in global textile exports. “The amended scheme would give a boost to “Make in India” in the textile sector. It is expected to attract investment to the tune of one lakh crore rupees, and create over 30 lakh jobs,” Ministry of Textiles said in a statement. The scheme is also aimed at promoting conversion of existing looms to better technology looms for improvement in textile quality and productivity. Under the ongoing scheme, the government has approved a budget of Rs.17,822 crore for textile industry, of which Rs.12,671 crore is for committed liabilities and Rs.5,151 crore is for new cases under ATUFS. “All cases pending with the office of textile commissioner which are complete in all respects shall be provided assistance under the ongoing scheme and the new scheme will be given prospective effect,” the statement said. The Textile Ministry has also announced that it will set up offices of textile commissioner (TXC) in each state to facilitate entrepreneurs in setting up businesses under the new scheme. The implementation of the scheme would be executed and monitored online under iTUFS, which was launched in April 2015. Under the new scheme, the government will give 15% subsidy on capital investment, subject to a ceiling of Rs.30 crore for entrepreneurs over a period of five years, in the apparel, garment and technical textiles. In the remaining sub-sectors, it will provide a subsidy of up to 10%, subject to a ceiling of Rs.20 crore.
December 30, 2015 | 05:25pm IST
to success.