The Union finance minister announced a number of measures and schemes to achieve the ambitious target set by the government to become a $5 trillion economy in the next few years, from its current level of $2.7 trillion. The slew of positive announcements made in the budget speech will definitely help the inclusive development of the Indian economy and thereby the textile sector.
In the present budget, the grant for textile and apparel sector is budgeted at ₹4,831.48 crore which is about 30.41 per cent lower than the previous year's revised grant. It is mainly because of discontinuation of ROSL scheme from March 7, 2019. The new scheme called Rebate of State and Central Taxes and Levies (RoSCTL) which was announced simultaneously will be issued through free transferable scrips.
In terms of percentage change, maximum change in grant is for Integrated Wool Development Programme which has increased by about 447 per cent to ₹29 crore. In terms of value, maximum grant is for procurement of cotton by Cotton Corporation of India (CCI) under Price Support Scheme which is 118 per cent higher than the last year to stand at ₹2,017.57 crore. It also has maximum share of 42 per cent in overall grant for textiles.
There has been a slight increase of about 12.4 per cent in Amended Technology Upgradation Fund Scheme (A-TUFS) which is budgeted at ₹700 crore. For Handicraft Development programme, grant has been increased by about 18.9 per cent to ₹286.17 crore. While for silk and jute industries, grant has been increased by 23.2 per cent to stand at ₹740 crore and ₹34.55 crore, respectively. Powerloom sector got an increase of 49.8 per cent in the total grant to value at ₹159.08 crore.
Grant for Integrated Scheme for Skill Development has been increased by about 139.3 per cent to ₹100.5 crore as compared to ₹42 crore in the last year.