The Ministry of Textiles has launched ‘Amended Technology Upgradation Fund Scheme (ATUFS) with effect from 13.01.2016 for a period of seven years till 2021-22. Under ATUFS, there is a provision of one time capital subsidy for eligible benchmarked machinery i.e. at the rate of 15% for garmenting and technical textiles segments with a cap of Rs. 30 crore and at the rate of 10% for weaving, processing, jute, silk and handloom segments with a cap of Rs. 20 crore. A budget allocation of Rs. 17,822 crore has been approved for seven years to meet the committed liabilities of Rs. 12,671 crore and Rs. 5,151 crore for new cases under ATUFS.
In addition, under the In-Situ Upgradation Scheme of Plain Powerloom for SSI Powerloom Sector, financial assistance is provided to the extent of 50%,75% and 90% of the cost of Upgradation subject to a maximum subsidy of Rs. 40,000/-, Rs. 60,000/- and Rs. 72,000/- per loom for General, SC and ST category applicants respectively.
Apart from the above, National Textiles Corporation (NTC) has modernized 18 mills, set up 3 green field mills and partially modernized 2 mills. NTC has so far, spent Rs. 1605.26 crores on modernization of its mills.
The amount released under TUFS for modernization of textile units including powerloom and In-Situ Upgradation Scheme of Plain Powerloom is as given below:-
(Rs. in crore)
|Year||Amount released by MoT under TUFS||Amount released by MoT under In-Situ Upgradation Scheme|
|2016-17 (till 09.12.2016)||1746.62||