Lok Sabha Question No. 702 (UNSTARRED), answered on 2021-07-23
Subject: Traditional Textile Industry
Ministry: TEXTILES
Asked by: S.R. Parthiban

## TRADITIONAL TEXTILE INDUSTRY

## 702.  SHRI PARTHIBAN S.R.:

## Will the Minister of TEXTILES वस्त्र मंत्री

be pleased to state :

- (a) the action taken by Government to upgrade technology in the traditional textile industry;
- (b) the details of the budget allocation for Technology Upgradation Fund Scheme (TUFS) during the last five years; and
- (c) the details of the achievements made in geo-tagging and digital signature?

## उत्तर

## ANSWER

## वस्त्र राज् यमंत्री ( श्रीमती दर्शना जरदोर् )

## THE MINISTER OF STATE IN THE MINISTRY OF TEXTILES (SMT. DARSHANA JARDOSH)

(a): Ministry  of  Textiles  has  been  implementing  Technology  Upgradation  Funds  Scheme  (TUFS) since  1999  to  facilitate  technology  upgradation  of  textiles  industry  in  the  country.    The  scheme  has undergone changes from time to time in terms of patterns of assistance provided and level of machinery upgradation desired.  The present version of the scheme i.e. Amended TUFS (ATUFS) was launched in January  2016  to  adopt  innovative  new  technology  in  all  the  sub-sectors  of  textiles  industry  except Spinning by way of one time Capital Investment Subsidy (CIS) for eligible benchmarked machinery for  a  period  of  seven  years  from  2015-16  to  2021-22.    The  scheme  aims  to  promote  ease  of  doing business in the country, achieve the vision of generating employment and promoting exports through 'Make in India'' with "Zero effect and Zero defect" in manufacturing and promoting domestic textile clusters.  Every eligible individual entity is entitled for reimbursement of CIS under this scheme as per the rates given at Annexure .

(b): The budget allocation for Technology Upgradation Fund Scheme (TUFS) during last five years is as given in table:

(Rupees in crore)

|   S.No. | Financial Year   |   Budget Estimates |
|---------|------------------|--------------------|
|       1 | 2016-17          |             1480   |
|       2 | 2017-18          |             2013   |
|       3 | 2018-19          |             2300   |
|       4 | 2019-20          |              700   |
|       5 | 2020-21          |              761.9 |

(c): ATUFS is implemented through i-TUFS, portal which is an end-to-end solution with features like  Automatic  UID  generation  upon  registration  of  subsidy  applications,  submission  of  documents through digital signatures, geo-tagged and time stamped photographs of machinery, tracking of claims etc.Geo-tagging of installed machinery during physical verification has helped in ensuring credentials and location of the assets for which subsidy has been claimed.  Provision of mandatory digital signature for submission of applications and verification of the claims has helped in ensuring the authenticity of claims and improved transparency.

## Information  pertaining  to  part  (a)  of  Lok  Sabha  Unstarred  Question  No.  702-  Rate  of reimbursement of Capital Investment Subsidy (CIS) under ATUFS

| S. No.   | Segment                                                                                                                                                                        | Rate of CIS                                  |
|----------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------|
| 1.       | Garmenting, Technical Textiles                                                                                                                                                 | 15% subject to an upper limit of Rs 30 crore |
| 2.       | Weaving for brand new Shuttle-less Looms (including weaving preparatory and knitting), Processing, Jute, Silk and Handloom.                                                    | 10% subject to an upper limit of 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% subject to an upper limit of 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% of the eligible project cost. | 10% subject to an upper limit of Rs 20 crore |