New Gujarat Textile Policy announced, to enhance local employment
After a long wait, the Gujarat Textile Policy has been announced, named as ‘Scheme for Assistance to Strengthen Specific Sectors in the Textile Value Chain’ or popularly known as Gujarat textile Policy shall be effective retrospectively from 4th September, 2018 to 31st December, 2023.
The government of Gujarat has covered the entire textile value chain under the revised support scheme. The new policy will also provide assistance in technology upgradation, environmental compliance cost and setting up of textile parks. The new textile policy will benefit almost all the sectors including composite units, weaving, knitting, dyeing and processing, printing, technical textile, made-ups, and other manufacturing activities like embroidery, winding, sizing twisting and crimping.
The incentives to investors would be in the form of interest subsidy, power tariff subsidy. The scheme provides financial assistance through credit linked interest subsidy of 6 per cent for MSME and for large enterprises the subsidy would be 4-6 per cent with an upper ceiling of Rs. 20 crore per annum. A separate scheme for power tariff offers subsidy up to Rs. 3 per unit for weaving and Rs. 2 per unit for other eligible segments. The eligibility period for all these benefits is five years.India News Region