Question : SCHEMES FOR WEAVERS



(a) whether the weaving industry in the State of Andhra Pradesh is in dire state and most of the weavers are migrating to other States;

(b) if so, whether the Union Government has formulated any schemes for protection of the weaving industry and development of the weavers; and

(c) the steps taken by the Government in this regard?

Answer given by the minister

THE MINISTER OF STATE IN THE MINISTRY OF TEXTILES(SHRI GINGEE N. RAMACHANDRAN)

(a) Ministry of Textiles has not received any report from the State Government about the dire state of the weaving industry and their migration to other States.

(b) Government of India is implementing a number of Schemes for the overall development of handloom sector and the welfare of the handloom weavers throughout the country, including in Andhra Pradesh, which include:

1) Design Development & Training Programme
2) Marketing Promotion Programme
3) Mill Gate Price Scheme
4) Deen Dayal Hathkarga Prothsahan Yojana
5) Workshed-cum- Housing Scheme
6) Weavers Welfare Scheme
7) Handloom Export Scheme
8) Implementation of Handloom (Reservation of Articles for Production) Act, 1985.
9) Scheme for Reimbursement of CENVAT on Hank Yarn.


(c) Several initiatives taken to facilitate growth in the powerloom industry include the following:

(i) Central Government has announced a powerloom package in the Union Budget 2003-04 for modernization of powerloom industry by enlarging the scope of Technology Upgradation Fund Scheme, providing Group Insurance Scheme for powerloom workers and assistance for Group Workshed for powerlooms to create a better working environment and obtain high productivity. The package has been made fully operational.

(ii) Government has taken up modernisation and strengthening of powerloom service centres, which have been set up to provide technical services of training, testing, project preparation etc.

(iii) Computer Aided Design Centres have been set up to enable small powerloom units to access new designs and upgrade fabric by product development inputs.

(iv) A programme for induction of 50,000 shuttleless and for 2.50 lakh semi automatic and automatic looms in the decentralised powerloom sector has been announced.

(v) Incentives have been made available under the Technology Upgradation Fund Scheme (TUFS) whereby the powerloom owner can reduce the cost of borrowing capital either by availing 20 % upfront Capital Linked Subsidy or by obtaining 5% interest reimbursement of on the loan availed.

(vi) Import duty on shuttleless looms has been reduced and excise duty exemption has been given to indigenous automatic looms. Accelerated depreciation benefits at the rate of 50% have been extended on the weaving machinery installed under TUFS.

(vii) Powerloom Export Entitlement (PEE) quota has been provided to encourage powerloom exports.