POWER TEX INDIA SCHEME for Powerloom Sector
effective for all upcoming competitive exams
The Union Textiles Minister Ms, Smriti Irani launched a new scheme named “Power Tex India Scheme” for powerloom sector in Thane district of Maharashtra and Erode in Tamil Nadu on 1st April, 2017. The scheme would especially benefit Maharashtra and Tamil Nadu. The scheme is an effective move to push the powerloom sector across the country and to spread it globally. Recalling that the powerloom sector alone employs over 44 lakh people, the Minister said that the scheme will especially benefit small powerloom weavers. Southern India Mills Association (SIMA) thanked Smriti Irani for launching Power Tex India Scheme and considering most of the proposals of the powerloom sector.
- To develop of powerloom sector in India with a special focus on small powerloom weavers.
- To benefit the economically weaker low-end powerloom units by providing them financial assistance for upgrading their plain looms into semi-automatic/shuttle less looms.
- Under this scheme, especially Maharashtra and Tamil Nadu that account over 75 per cent of powerlooms in the country to reduce power subsidy commitment and also enable the sector to be self-reliant.
- SIMA chairman M Senthilkumar said in a statement that the powerloom sector has been facing numerous challenges due to sluggish global and domestic market conditions.
- Under this scheme, though the capacity has increased by 12 per cent in the last seven years, fabric production has increased only by 2.4 per cent during the last seven years.
Components of Power Tex India Scheme:
Group Workshed Scheme (GWS) –
- Facilitates construction of work sheds for shuttle less looms.
- Provide 40- 90% subsidy to build work shed at units that have TUFS compatible machineries.
- Improve working conditions in terms of more space and work environment.
Pradhan Mantri Credit Scheme for powerloom weavers –
- Provides financial assistance to decentralized powerloom units or weavers under Pradhan Mantri Mudra Yojana (PMMY).
- Includes assistance for SC, ST and Women Entrepreneur of the decentralized powerloom units or weavers under Stand-Up India.
In-situ up-gradation of plain power looms –
- Provides financial assistance to economically weaker powerloom unit owners for up-gradation of plain looms.
- Provides 50-90% subsidy for upgrading semi-automatic shuttle loom to shuttle-less rapier loom.
- Provides 50-90% subsidy for upgrading plain loom to semi-automatic shuttle loom or shuttle-less rapier loom.
Common Facility Centre (CFC) –
- Provides financial assistance to set up Common Facility Centre that includes a wide range of pre-weaving as well as post-weaving facilities.
- Government will provide subsidy of Rs. 2 Crore per Common Facility Centre.
Solar Energy Scheme for powerloom –
- Provides financial assistance or capital subsidy to small powerloom units for installation of On-Grid (without battery backup) as well as Off-Grid (with battery backup) Solar Photo Voltaic Plant.
Grant-in-Aid and modernization and Up gradation of powerloom service centres (PSCs) –
- Provides financial assistance for upgrading PSC with facilities available in the cluster.
- Up-gradation would include improving testing facilities, installation of modern looms to creat awareness.
Tex Venture Capital Fund –
- Capital required for expansion will be provide to Micro Small and Medium Enterprises by Ministry of Textile through SIDBI Venture Capital Fund Ltd. (SVCL).
- SVCL will invest max. 50% of the project cost with a ceiling of Rs. 3crore.
Yarn bank scheme –
- Small weavers will be provided an interest-free corpus fund to special purpose vehicle (SPV)/consortium which will further help them in purchasing yarn at the wholesale rate and selling further to small weavers at the reasonable price.
- The main purpose of this component is to cut-off middle man/local supplier’s brokerage charge on sales of yarn.
Facilitation, IT, awareness, market development and publicity for powerloom schemes.
|Name of the scheme||“Power Tex India Scheme”|
|Lunched By||The Union Textiles Ministry|
|Launched On||1st April, 2017|
|Inaugurated By||Union Textiles Minister Ms, Smriti Irani|
|Place where scheme effected||Maharashtra and Tamil Nadu|
|Aim of this scheme||To develop of powerloom sector in India with a special focus on small powerloom weavers|
|Components of this scheme||Group Workshed Scheme (GWS)
Pradhan Mantri Credit Scheme for powerloom weavers
In-situ up-gradation of plain power looms
Common Facility Centre (CFC)
Solar Energy Scheme for powerloom
Tex Venture Capital Fund
Yarn bank scheme
Facilitation, IT, awareness, market development and publicity for powerloom schemes
Grant-in-Aid and modernization and Up gradation of powerloom service centres (PSCs)