Ministry of Textiles04-December, 2014 14:00 IST
Financial Package for Handloom Sector

In pursuance of the Budget announcement made by the Union Finance Minister in his Budget speech of 2011-2012 regarding a Financial Package for Handloom sector, a scheme titled as “Revival, Reform and Restructuring (RRR)” Package was formulated, which inter-alia included (a) one time waiver of overdue loans and interest (100% principal and 25% of interest) of eligible handloom cooperative societies and individual weavers as on 31.3.2010, (b) recapitalization of viable and potentially viable handloom cooperative societies, (c) provision of fresh subsidized credit to handloom cooperative societies and weavers covered by waiver by providing interest subsidy of 3% for a period of 3 years for fresh loan with credit guarantee and (d) carrying out legal and institutional reforms for the cooperative societies. Only viable and potentially viable Apex and Primary Weavers Cooperative Societies (PWCs) were to be provided benefit under the RRR package. The package was to be implemented by 31.12.2012. However, on the requests of various State Governments, the implementation of the package was extended up to 31.12.2013 and norms were also relaxed to certain extent in the modified RRR package. The modified RRR package has been implemented up to 28.2.2014.

This information was given by the Minister of State (Independent Charge) in the Ministry of Textiles Shri Santosh Kumar Gangwar in a written reply in Lok Sabha today.

******


RC
(Release ID :112568)