Just two weeks back,Apparel Resources had reported that the Ministry of Textile (MoT) may launch Textile Technology Development scheme, and now there are reports that the Government has begun work on a new scheme with an outlay of about Rs. 16,600 crore for the next five years.
MoT has proposed investment and value-addition-linked incentives under this scheme. Incentives for technology transfer in case of joint ventures by foreign manufacturers, and support for research and development and commercialisation, are also likely to figure in the planned scheme.
The scheme may focus mainly on textile machinery manufacturing, support to technology upgradation in existing clusters and micro, small and medium enterprises (MSMEs), and support for new integrated manufacturing facilities in various segments including spinning, weaving and knitting.
Since last two weeks, MoT is into industry consultations on this scheme.
It is being said that the new scheme, Textile Technology Development Scheme, will replace the Amended Technology Upgradation Fund Scheme (ATUFS), which ends on 31 March 2022.
And the new scheme might be announced in the Union Budget, to be announced on 1 February.
A year ago, it was reported by Apparel Resources only that ATUF will focus on machine manufacturing also!
As of now, the scheme is at a conceptual stage and is awaiting approvals from various levels.
A big support for the textile industry as well as facing challenges like lack of funds, delay in clearance… the Technology Upgradation Fund Scheme (TUF) was launched in 1999 and has been modified many times since then.