06 August 2010
TUFS: The Scheme is in force up to 31.03.2012
Scope of the Scheme: The Scheme is available for modernisation / expansion of existing units and for setting up of new units with benchmark level of technology in textile and jute industry
Activities covered:
Cotton ginning and pressing, Textile industry covering Silk reeling wool scouring Synthetic filament yarn manufacturing Spinning Weaving Knitting Fabric embroidery Garment Made ups Manufacturing Processing Dyeing etc.
Jute Industry
The Technology Upgradation Fund Scheme envisages the following;
To provide a reimbursement of Five percent age on the interest charged on a project of Technology upgradation in conformity with the scheme, up to a maximum period of ten years including implementation and moratorium period of maximum up to 2 years. However for the Spinning machinery the reimbursement will be four percentages only.
The Scheme will provide 15% Margin Money subsidy for SSI Textile and Jute sector in lieu of 5% interest reimbursement on investment in TUF compatible specified machinery subject to a capital ceiling of Rs. 200 lakh and ceiling on margin money subsidy Rs.15 lakh. A minimum of 15% equity contribution from beneficiaries will be ensured.
The scheme will provide additional 10% capital subsidy for specified processing machinery and specified machinery required in manufacture of Technical textiles and garmenting machineries.
The scheme will provide an additional option to the power looms units to avail of 20% Margin Money subsidy in lieu of 5% Interest reimbursement on investment in TUF compatible specified machinery subject to a capital ceiling of Rs.200 lakh and ceiling on margin money subsidy Rs.20 lakh.
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