The textile industry that was affected by the global economic meltdown is likely to receive Rs. 36 billion under the Technology Upgradation Fund Scheme (TUFs), said the Textile Ministry.
This proposed amount will most likely be sufficient enough to settle the industry’s earlier demands of funds from the scheme from the Government as it will help them in their working capital requirements.
The Government still holds a backlog of 2008-09 amounting to Rs. 18.84 billion under the TUFS scheme that has yet not been reimbursed to the industry.
The committee has also urged for smoothening of the entire process of releasing funds under TUFS and other Government subsidy schemes.
Due to the global economic meltdown, overseas sales of textiles, including apparels and silk, had fallen by 4.34% to US $14.07 billion during the first nine months of 2008-09, in contrast to the same period of the previous fiscal.
