FIASWI urges textile firms to take benefit of R-TUFS

26 Jun '12

2 min read

Textile entrepreneurs, particularly the powerloom and textile processing unit owners in India’s textile hub of Surat, have been urged by the Federation of Indian Art Silk Weaving Industry (FIASWI) to benefit from the restructured Technology Upgradation Fund Scheme (R-TUFS) that the Ministry of Textiles has approved for 2012-13.

A circular issued by Textile Commissioner, Ministry of Textiles, on June 15, 2012 stated that on May 18, 2012, the Inter-Ministerial Steering Committee (IMSC) under R-TUFS decided to continue R-TUFS for 2012-13.

Pursuant to the decision, the Textile Commissioner would continue issuing unique identity numbers (UIDs) in respect of the fresh sanction of funds issued by banks or lending agencies under R-TUFS on or after April 1, 2012, in respect of the unused amount of the subsidy cap of Rs. 19.72 billion.

Though submission of online applications by lending agencies would be allowed with immediate effect, issuance of UID numbers would start only next month, upon completion of assessment of the unutilized subsidy cap and sectoral caps under 'first-come-first-serve' basis.

FIASWI said the total investment outlay for TUFS in 2011-12 was around Rs. 450 billion, of which the sectoral cap for the weaving sector was 13 percent.

FIASWI stressed that as the funds would be sanctioned on the 'first-come-first-serve' basis, textile entrepreneurs willing to benefit from the extended scheme, would have to file their applications with the lending agencies at the earliest.

Around half the total investment outlay of Rs. 60 billion for weaving sector under TUFS for 2011-12 is still lying unutilized and textile entrepreneurs could take benefit of the same in 2012-13, the Federation stated.

Fibre2fashion News Desk - India

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