Home / Knowledge / News / Textiles / Govt gears up to resume TUFS to boost textile units
Govt gears up to resume TUFS to boost textile units
22
Jan '11
The Union Government is gearing up to resume its Technology Upgradation Fund Scheme (TUFS) in order to give a boost to the textile industry.

TUFS had been introduced by the Ministry of Textiles in 1999 to enhance investment in the textile industries. Initially, it was decided that the scheme would continue till 2007 but it was extended till 2012 by the government due to the recognition and popularity it had earned.

The domestic textile units had been demanding for the extension of the scheme in order to continuously upgrade the plants and their machines and equipment so that they can compete with the countries of China, Vietnam and Bangladesh. Rs 26.3138 billion had been already sanctioned during 2008-09 whereas Rs 28.9 billion had been approved in 2009-10 under the scheme.

The Union Budget for the current fiscal year had allocated Rs 22.675 billion. Of this, about Rs 15 billion had been approved in the first quarter of 2010-11. However, in June 2010, the Government of India had suddenly urged the banks to shelve further approvals under the Technology Upgradation Fund Scheme till further fund allocations are sanctioned by the Cabinet Committee on Economic Affairs (CCEA).

TUFS also extends the opportunity for reimbursing 5 percent of the interest that is charged by the institutions which lends the capital for investment purpose. IDBI, Small Industries Development Bank of India, IFCI and other nationalized banks are the nodal institutions which sanction the fund to the textile and jute factories for the purpose of upgradation and modernization.

The Union Cabinet is likely to give its final nod to resume the scheme, which is expected to restart towards the end of this month. This was revealed by Textiles Secretary, Ms Rita Menon while attending a meeting organized by FICCI and Textile Ministry.

Fibre2fashion News Desk - India

Must ReadView All

Courtesy: Pan Brothers

Apparel/Garments | On 30th May 2017

Pan Brothers to set up 2 new garment factories

PT Pan Brothers Tbk plans to increase its production capacity by...

Textiles | On 30th May 2017

ExxonMobil, SABIC sign deal for next phase of US project

Affiliates of Exxon Mobil Corporation and Saudi Basic Industries...

Textiles | On 29th May 2017

Tintex, Bruckner bring new effects to knitted fabric

The textile company Tintex has joined hands with the system supplier...

Interviews View All

Arvind Saraf
Triveni Sarees

e-Commerce is still evolving fast with constant flux and surprises

Sonia Agarwal
Whitenife

‘The terms eco-friendly and organic are common but everyone perceives them ...

Nishank Patel
Shri Dinesh Mills Limited

Broad range of fabrics will sell well this financial year

Giorgio Mantovani
Corman S.p.A

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

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

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

news category


Related Categories:
May 2017

May 2017

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

SUBSCRIBE


Browse Our Archives

GO


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