List of textile Industries in Gujarat [Textile Machinery and Equipment]

Name of the Scheme

The scheme will be known as Credit linked Interest Subsidy in Technical Textiles

Operative Period

What are the eligible activities to get the benefit?

Technical Textiles are defined as textile materials and products used primarily for their technical performance and functional properties rather than their aesthetic or decorative characteristics. Depending on the product characteristics, functional requirements and end-use applications, the highly diversified range of technical textiles have been grouped into 13 sectors application-wise.

Agrotech (Agriculture, Horticulture and Forestry)
Buildtech (Building and Construction)
Clothtech (Technical components of shoes and clothing)
Geotech (Geo-textiles and Civil Engineering)
Hometech (Components of furniture, household textiles and floor coverings)
lndutech (Filtration, cleaning and other industrial usage)
Meditech (Hygiene and Medical)
Mobiltech (Automobiles, Shipping, Railways and Aerospace)
Oekotech (Environmental Protection)
Packtech (Packaging)
Protech (Personal and Property Protection)
Sporttech (Sport and Leisure)
Defebcetech (Textile for defense use)
Any other products as notified by Ministry of Textiles, Govt. of India Time to time.

Who is eligible to get the benefit?

The textile manufacturing units of above groups activities are eligible to get benefit under this scheme for following:

For establishing new enterprise which commence commercial production during operative period of the scheme.
For carrying out expansion /diversification with investment more than 50% of its existing gross fixed capital investment.
Exiting enterprises investing more than 25% in cost of its existing plant & machinery for carrying out modernization to upgrade technology.

Assistance available

Maximum interest subsidy at the rate of 6% per annum, for period of 5(five) years or for the period of repayment of loan whichever is earlier, will be available.

The machinery of Technical/Industrial textile as listed and identified under TUF scheme or compatible with TUF scheme or aor as decided by SLAC will be
considered eligible.
In case of second hand imported machineries eligibility will be determined as per para 6.1.2 Quantum of Assistance & other provisions of GR.

Other Conditions

For the purpose of interest subsidy, the enterprise shall get term loan from Financial Institution/ Bank recognized by Reserve Bank of India.
The enterprise applying within one year of loan disbursement will be eligible.
Disbursement of the loan should be within the operative period of the Scheme.
The enterprise must start commercial operation within the operative period of the scheme.
This interest subsidy will be in addition to any other incentives available from other schemes of Government of Gujarat
The interest subsidy will be available only on interest levied by the Financial Institution.Penal interest or other charges will not be reimbursed.
The interest subsidy will be for five years OR for the period of repayment of loan whichever is earlier.
The interest subsidy will be given to the enterprise which pays regular installments and interest to the financial institutions. If the enterprise becomes defaulter,
it will not get interest subsidy for the default period and such defaulting period will be deducted from 5 years period.
The interest subsidy will be considered from the date of payment of first installment of term loan.
Unit will have to remain in production at least for 10 years from the commencement of commercial production.
If unit has any pending Government dues, it will not get assistance under this scheme unless it pays all such pending dues.
All the benefiting enterprises shall file information about annual production, sales, power consumption and such other details as may be asked by DIC
on 31st of March annually.

Application Form

Part-I and Part-II as per Annexure – 1

Check List

For Sanction of interest subsidy, the unit will have to submit the following self certified documents by the authorized signatory :

Sr. No.	Particulars	Remarks
1.	Application in the prescribed format
2.	Copy of EM No. / IEM No. Acknowledgement
3.	Registration detail of the applicant (partnership deed/ memorandum & articles of association/ society framework)
4.	Copy of Registration of technical textile under TUF Scheme
5.	Copy of Â term loan sanction letter of financial institute
Detailed Project report, covering project profile, detailed expenditure statement of plant, equipments & machineries, fixed capital investment, etc. Pl submit separate statement of P & M for the imported new & imported second hand plant & machinery.
7.	Details of Govt. dues and outstanding/ court cases

For disbursement claim, the unit will have to submit the following self certified documents by the authorized signatory :

Prescribed certificate from financial institute, as per Annexure -2 OR Relevant Bank Statement
Letter of loan first installment disbursement of financial institute
Copy of Consent letter from Gujarat Pollution Control Board (if applicable)
Copy of first sale bill