The
Government has approved “Amended Technology Upgradation Fund Scheme (A-TUFS)”
in place of Revised Restructured Technology Upgradation Fund Scheme (RRTUFS)
for technology upgradation of the textile industry with one time capital
subsidy for eligible benchmarked machinery for a period of seven years from
2015-16 to 2021-22. Keeping in view the levels of modernization achieved in the
spinning segment, the rates and ceiling of subsidy for different segments
available under ATUFS are indicated below:-
|
|
Segment
|
Rate
of Capital Investment Subsidy (CIS)
|
CIS
per individual entity
|
|
1.
|
Garmenting,
Technical Textiles
|
15%
on eligible Machines
|
Rs.
30 crore*
|
|
2.
|
Weaving
for brand new Shuttle-less Looms (including weaving preparatory and
knitting), Processing, Jute, Silk and Handloom.
|
10%
on eligible Machines
|
Rs.
20 crore*
|
|
3(a)
|
Composite
unit /Multiple Segments - If the eligible capital investment in respect of
Garmenting and Technical Textiles category is more than 50% of the eligible
project cost.
|
15%
on eligible Machines
|
Rs.
30 crore*
|
|
3(b)
|
Composite
unit/ Multiple Segments - If the eligible capital investment in respect of
Garmenting and Technical Textiles category is less than 50%,
|
10%
on eligible Machines
|
Rs.
20 crore*
|
* In
case the applicant had availed subsidy earlier under RRTUFS, he will be
eligible for only the balance amount within the overall ceiling fixed for an
individual entity. The maximum subsidy for overall investment by an individual
entity under ATUFS will be restricted as indicated above for respective
segments.
Ministry has also notified the Scheme for Production and Employment
Linked Support for Garmenting Units (SPELSGU) under ATUFS to incentivise
production and employment generation in the garmenting sector vide Resolution
dated 25.07.2016. The additional incentive of 10% will be provided to the
garmenting units which would be availing the 15% Capital In1vestment Subsidy
(CIS) under ATUFS for the installation of eligible benchmarked machinery after
a period of 3 years. The cap on capital investment subsidy for the eligible
machinery in the garmenting units has therefore been enhanced from Rs. 30 crore
which was the cap under ATUFS, to Rs. 50 crore. This additional subsidy of 10%
will be on achievement of the projected production and employment generation,
as stated by the unit in its Detailed Project Report (DPR).
An allocation of Rs. 17,822 crore has
been approved for seven years to meet the committed liabilities of Rs. 12,671
crore and Rs. 5151 crore for new cases under ATUFS. Budget provision for the
financial year 2016-17 is Rs. 1830 crore. However, there is no specific budget
provision for any particular segment, including Handloom sector since the
scheme is demand driven.
The
above information was given by the Union Textiles Minister, Smt. Smriti Zubin
Irani today, in a written reply to a Rajya Sabha Question.
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GG/DJM