Home / Knowledge / News / Textiles / Indian Textile Minister discusses easier credit with banks
Indian Textile Minister discusses easier credit with banks
12
Jul '13
Mr. K Sambasiva Rao
Mr. K Sambasiva Rao
India’s Textiles Minister K Sambasiva Rao met heads of major nationalized banks to discuss easier availability of subsidized credit to handloom weavers.
 
He was informed that around 70,000 Weavers’ Credit Cards (WCCs) have been issued and loan of more than Rs. 2.10 billion has been sanctioned to handloom weavers, according to an official press release.
 
The Minister reviewed the progress of issuance of WCCs and lauded the efforts being made by banks, particularly by State bank of India, Canara Bank, Andhra Bank, and United Bank of India, in this regard.
 
SBI is bearing the guarantee fee required by Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) for providing credit guarantee on loans extended by SBI, the Minister said.
 
“The CEOs of banks have assured me to extend full support in extending the loan to handloom weavers and they will monitor the progress of issuance of weavers’ credit cards at their level,” the Minister added. 
 
The availability of subsidised working capital is one of the essential requirements for growth of the handloom sector in India. In view of the same, the Government approved ‘Financial Package’ as well as ‘Comprehensive Package’ in 2011 to ensure the smooth flow of credit to handloom sector.
 
Under the financial package, the overdue loan of handloom cooperatives and individual weavers as on March 31, 2010, is being waived and banks have to provide fresh credit with interest subvention of 3 percent and credit guarantee for 3 years.
 
Those weavers who are not getting benefits under financial package are being assisted through institutional credit component of comprehensive package wherein WCCs are being issued to handloom weavers and government is providing 3% interest subvention along with credit guarantee through CGTMSE and margin money assistance. 
 
Further, appreciating the importance of much needed subsidised credit for handloom sector, on the request of Ministry of Textiles, the Finance Minister in his Budget speech for 2013-14, announced loan to handloom sector at 6 percent interest rate. 
 
The Ministry has also developed web enabled application www.wcchandlooms.in for online submission of progress of issuance of WCCs by banks and state governments. 
 

Fibre2fashion News Desk - India


Must ReadView All

Sri Lanka’s apparel exports rise after EU GSP+ reinstatement

Apparel/Garments | On 18th Nov 2017

Sri Lanka’s apparel exports rise after EU GSP+ reinstatement

Sri Lanka’s apparel exports from January to September 2017 has...

Bangladesh plans 2 leather estates in Rajshahi, Chittagong

Apparel/Garments | On 18th Nov 2017

Bangladesh plans 2 leather estates in Rajshahi, Chittagong

Bangladesh Prime Minister Sheikh Hasina has said two more leather...

ASEAN, Hong Kong sign free trade agreement

Textiles | On 18th Nov 2017

ASEAN, Hong Kong sign free trade agreement

The Association of Southeast Asian Nations (ASEAN) and Hong Kong...

Interviews View All

Victor Chao
Esmetex

‘In future, clothing boundary lines will become increasingly blurred.’

Karin Ekberg
Leadership & Sustainability

Sustainable models are beneficial for brands, retailers and manufacturers

Deepak Jain
Baggout

We are using Facebook and Instagram to promote ourselves

Hardik Sanghvi

Idealin Fogging Systems has been engaged in designing and manufacturing...

Erik Sy

Manila-based CustomThread is a start-up offering premium custom apparel...

Liz Manning

<div><b>Liz Manning</b>, Business Development Manager at Catexel, has...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Aditi Somani
Aditi Somani

Aditi Somani specialises in luxury fusion wear with international cuts and ...

Divvya and Nidhhi Gambhir
Walnut

<b>Divvya and Nidhhi Gambhir</b> started their career with the launch of...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

November 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
68.5%
No
12.4%
Skip
19.1%

Total Votes: 89

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
61.8%
No
30.3%
Skip
7.9%

Total Votes: 89

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
86.5%
No
10.1%
Skip
3.4%

Total Votes: 89

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
80.9%
No
9.0%
Skip
10.1%

Total Votes: 89


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search