Tirupur : The Tamil Nadu Chief Minister released the "New Integrated Textile Policy 2019" on March 6 which which has been appreciated by textile associations.
Tirupur : The Tamil Nadu Chief Minister released the "New Integrated Textile Policy 2019" on March 6 which which has been appreciated by textile associations.
Apparel Export Promotion Council (AEPC) in its press release stated, "This policy is really a boost to all categories of the textile sector from yarn to finished fabrics in particular. Moreover, a lot of benefits have been introduced in this new textile policy which will definitely bring our State to the first position in the country."
A Sakthivel, Vice Chairman thanked the Tamil Nadu Chief Minister and the Minister of Textiles for the State government's announcement which would help the textile industry to a great extent.
Some of the salient features announced in the New Textile Policy are:
* Labour Quarters / Workers Hostel: Assistance of 50 percent of the project cost for construction of Labour Quarters /Workers Hostel will be provided, if encumbrance free land is mobilized by the Cluster / Textile Park SPVs.
* ESI Facility: Financial assistance will be provided for creating ESI facilities in Knitwear Clusters and other Textile Clusters.
* The enterprises acquiring the technology will be provided financial assistance of up to 25 percent of the investment for technology acquisition /collaboration, subject to a maximum ceiling of Rs.25 lakhs per process /product once during the currency of the policy period.
* A detailed study on new and emerging products will be conducted on PPP model on 75:25 funding pattern, with the support of organisations like FIEO which can be produced and exported from Tamil Nadu with competitive pricing.
* Export products and its markets will be identified district-wise, product-wise encouragements / incentives, adequate infrastructure will be devised to see that these potential districts are recognized for excelling at least in one product group.
* Product specific Industrial Clusters will be promoted and necessary support will be provided by the State Government to promote them as ‘Export Clusters.’
* Encourage exporters to export branded products through promoting “Brand Tamil Nadu.”
* An Export Promotion Fund will be created to improve export related infrastructure and for programs and schemes to promote exports in textile towns / clusters of export excellence.
* To provide specific skills as per the requirement of apparel and other segments of the textile industry, 75 percent of the cost subject to the ceiling of Rs.10,000 per person under the Integrated Skill Development Scheme (ISDS).
* Credit Linked Capital Investment Subsidy @ 15 percent for investments on eligible machinery in Technical Textiles under ATUFS.
* Financial assistance up to 40 percent of the total project cost, subject to a ceiling of Rs.40 crores by the Government of India under SITP.
* To facilitate the entrepreneurs to establish Mini Textile Parks in the State in a minimum extent of 2 acres of land and 3 units, subsidy of 50 percent of project cost, subject to a maximum ceiling of Rs.2.50 crores on the cost of infrastructure and common facilities will be provided.
* Electricity Tax exemption for 2 years to 5 years on power purchased from TANGEDCO or generated or consumed from captive sources.
* Environmental Protection Infrastructure Subsidy at the rate of 25 percent of capital cost, with a ceiling of Rs.30 lakhs.