Textile schemes

Textile schemes

Scheme 1 :PM MEGA INTEGRATED TEXTILE REGION AND APPAREL (PM MITRA) PARKS SCHEME

Eligibility & Modalities

  • PM MITRA Parks will be established based on proposals from State Governments.
  • State Governments must have a contiguous and encumbrance-free land parcel of at least 1000 acres.

Selection Process:

  • Stage 1: Selection of sites offered by State Governments through a Challenge Method.
  • Stage 2: Development of the Park.
B.1.(i)(a) National Handloom Expo (NHE):
  • Venue: Metropolitan and big cities
  • Stall Allocation:
    • 40% reserved for the host region
    • 60% for other regions, including North East as a separate region
  • Representation: Handloom products from at least 10 States and UTs

Funding Pattern:

Type of assistance Amount (Rs. in lakh)
Stall rent/ infrastructure
15.00
Electricity charges
3.00
TA/DA + Freight charges to participants
Max up to 12.16
Publicity expenses
5.50
Backup services
4.00
Administrative expenses
2.00
Theme pavilion
1.75
Display at Theme Pavilion
0.28

Content

43.69
Implementation fee to IA (max. 3 % of Project cost)
Max up to 1.31
Grand total
45.00
  • To incentivize early establishment of manufacturing units in PM MITRA Park, ₹300 Crore per park is allocated.
  • Incentives are provided up to 3% of the total sales turnover for units in the PM MITRA Park.
  • Availability:
    • Fund Limited and available on a first-come, first-served basis.
    • Not available to companies availing benefits under the Production Linked Incentive (PLI) Scheme for Textiles.
  • Incentive Caps:
    • ₹10 Crore per annum, with a maximum of ₹30 Crore for anchor investor companies with an investment of ₹300 Crore or more.
    • ₹5 Crore per annum, with a maximum of ₹15 Crore for investor companies with an investment between ₹100-300 Crore.
    • ₹1 Crore per annum, with a maximum of ₹3 Crore for other investor companies and tenant companies, provided they employ 100 or more persons.

NHB Horticulture Consultants

Scheme 2 : Production Linked Incentive (PLI) Scheme for Textiles

Purpose:

Promoting MMF (Man-Made Fiber) and Technical Textiles segments.

Duration of the Scheme

  • The scheme is operational from 24th September 2021 (Date of Notification) to 31st March 2030.
  • Incentives are payable for a period of 5 years only.

Scheme Part-1

  • Eligibility: Any person or entity (Company/Firm/LLP/Trust) willing to create a separate manufacturing company under the Companies Act 2013.
  • Investment Requirement: Minimum ₹300 Crore (excluding land and administrative building cost) to manufacture Notified Products.
  • Turnover Requirement: Achieve a minimum turnover of ₹600 Crore by manufacturing and selling the Notified Products by the first Performance Year.

Scheme Part-2

  • Eligibility: Any person or entity (Company/Firm/LLP/Trust) willing to create a separate manufacturing company under the Companies Act 2013.
  • Investment Requirement: Minimum ₹100 Crore (excluding land and administrative building cost) to manufacture Notified Products.
  • Turnover Requirement: Achieve a minimum turnover of ₹200 Crore by manufacturing and selling the Notified Products by the first Performance Year.
Gestation Period Performance year Incentives claim year Scheme Part 1 Scheme Part 2
FY 2022- 2023
Minimum Prescribe d Turnover
Rate of incentive
Minimum Prescribe d Turnover
Rate of incentive
FY 2023- 2024
Year 1
FY 2024- 2025
FY 2025-2026
600 Cr
15%
200 Cr
11%
Year 2
FY 2025- 2026
FY 2026-2027
740 Cr
14%
150 Cr
10%
Year 3
FY 2026- 2027
FY 2027-2028
937.5 Cr
13%
312.5 Cr
9%

Compendium Of Handloom Schemes

Scheme 3: National Handloom Development Programme (NHDP)

National Handloom Development Programme (NHDP) (2021-22 to 2025-26)

Components

A. Cluster Development Programme (CDP)

B. Handloom Marketing Assistance (HMA)

C. Infrastructure & Special Projects

D. Mega Handloom Cluster

E. Concessional Credit/Weavers’ MUDRA Loan

F. Handloom Weavers’ Welfare G. Miscellaneous Components

  • Research & Development projects
  • Handloom Census
  • Publicity, Advertisement, Monitoring, Training & Evaluation of Scheme
  • Education of weavers/their wards through NIOS/IGNOU
  • Project Monitoring Cell
  • Handloom Helpline Centre
  • Earlier committed liabilities of NHDP, HWCWS, CHCDS, NERTPSetc. H. Any other component

A. Cluster Development Programme (CDP)

Quantum of Financial Assistance and Duration:

  • Assistance: Need-based, depending on cluster requirements.
  • Factors: Technical, financial, managerial capacity, maturity level, past track record.
  • Maximum GoI financial assistance: ₹2.00 crore per cluster.

B. Handloom Marketing Assistance (HMA)

Components of HMA:

  1. Domestic Marketing Promotion
  2. Handloom Export Promotion
  3. Setting up of Urban Haats
  4. Marketing Incentive (MI)

Funding Pattern, Participation, Period for Expos/Events, Craft Melas & Virtual Expos:

Nomenclature Participants Period (in Days) Funding (Rs in Lakh)
NHE
80
14
45
SHE
60
14
30
DHE
25
5-7
6
Crafts Melas
-
-
15
Virtual expos
200-500 & above
14
15 - 22
B.1.(i)(a) National Handloom Expo (NHE):
  • Venue: Metropolitan and big cities
  • Stall Allocation:
    • 40% reserved for the host region
    • 60% for other regions, including North East as a separate region
  • Representation: Handloom products from at least 10 States and UTs

Funding Pattern:

Type of assistance Amount (Rs. in lakh)
Stall rent/ infrastructure
15.00
Electricity charges
3.00
TA/DA + Freight charges to participants
Max up to 12.16
Publicity expenses
5.50
Backup services
4.00
Administrative expenses
2.00
Theme pavilion
1.75
Display at Theme Pavilion
0.28

Content

43.69
Implementation fee to IA (max. 3 % of Project cost)
Max up to 1.31
Grand total
45.00

1. Capital Subsidy for Acquisition of Plant and Machinery (CSAPM)

Objective:
  • To provide financial assistance for the acquisition of machinery required for manufacturing Jute Diversified Products (JDPs).
Implementation:
  • Approved by the Ministry of Textiles, Govt. of India.
  • Implemented through the National Jute Board (NJB) under the National Jute Development Program (NJDP) during the 15th Finance Commission (2021-26).
Benefits:
  • 30% subsidy on the purchase of JDP manufacturing machinery.
  • The maximum assistance per beneficiary unit is Rs. 1.5 crore for the entire duration of the scheme.
Eligibility:
  • Beneficiaries must fulfill the criteria outlined in the scheme guidelines.
  • Assistance is subject to the availability of funds.

2. Samarth – Scheme for Capacity Building in Textile Sector

Objective:
  • To provide demand-driven, placement-oriented skilling programs compliant with the National Skills Qualifications Framework (NSQF).
  • To support industry efforts in job creation within the organized textile and related sectors, excluding spinning and weaving.
  • To promote skill development and upgradation in traditional sectors such as handlooms, handicrafts, sericulture, and jute.
  • To enable sustainable livelihood through wage or self-employment across the country.
Funding:
  • The scheme is funded under the Common Norms of the Ministry of Skill Development and Entrepreneurship (MSDE).
  • The projected outlay for the training programs is Rs. 1300 crore.
  • Funding covers specific cost heads as agreed upon by the Ministry.
These schemes are part of broader efforts to enhance the productivity, competitiveness, and sustainability of the jute sector in India. By supporting machinery acquisition and skill development, the government aims to foster growth and employment in this traditional industry

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