The Indian state of Tamil Nadu has announced Integrated Textile Policy for the textile sector.
The policy aims at the growth of the entire textile value chain, including technical textiles.
Chief Minister of the state Edappadi K Palaniswami launched the policy which also encourages expansion of the textile industry with special packages in the twelve southern districts of TN: Kanyakumari, Tirunelveli, Thoothukudi, Virudhunagar, Ramanathapuram, Sivagangai, Madurai, Theni, Dindigul, Pudukottai, Ariyalur and Perambalur districts.
Under the policy, the State Government will provide 100 percent stamp duty exemption for technical textile projects.
Additionally, a 6 percent interest subsidy for technical textile projects in addition to incentives from the Central Government will be give to the textile enterpreneurs.
9 percent of the project cost to set up technical textile parks under the Scheme for Integrated Textile Parks will also be provided.
The interest subsidy has also been extended to primary handloom weavers’ cooperative societies to 6 percent from the current 4 percent.
Under the PowerTex India Scheme, the Government will give financial support for buying new preparatory machinery, and for upgradation of plain looms.
Allowance for the Rebate Subsidy Scheme will be Rs. 150 crore a year from now’s Rs. 80 crore.
Silk parks in clusters Kancheepuram, Salem, Arni, and Thirubhuvanam are also on cards.
Under the Amended Technology Upgradation Fund Scheme, the Government will provide an additional 10 percent capital subsidy to help powerloom units go in for new shuttleless looms.
Furthermore, 2 percent interest subvention will be provided for investments in technology upgradation and modernisation in existing textile mills.
The Southern India Mills’ Association has welcomed the textile.
SIMA Chairman P Nataraj said that out of 24 million spindles in the state, around 11 million spindles are above 15 years old and this benefit would help the spinning sector to modernise the same.
The Government will also organise an international textile fair once in two years with financial aid of Rs. 2 crore.
The new textile policy also offers one-time support for energy and water conservation, and environmental compliance to the existing textile units in operation for more than 3 years.
Download Perfect Sourcing News App for Latest Business of Fashion News.
More to know:
- 10 percent capital subsidy for wider width fabric processing.
- 5 percent interest subsidy for common effluent treatment plant.
- 15 percent capital subsidy for the individual effluent treatment plant.
- 1 crore R&D assistance for effluent treatment plant.
- 9 percent capital subsidy on technical textiles.
- 6 percent interest subsidy on technical textiles.
- 100 percent stamp duty exemption; Rs. 1 crore assistance for overseas study.
- Incentives offered for setting up the mini textile parks.
- 50 percent subsidy or Rs. 2.5 crore per mini textile park will be provided
- 50 percent subsidy subject to maximum of Rs. 1.5 crore for construction of labour quarters.
- 5 crore assistance for upskilling of garment workers.