Home India Ministry of Textiles Parliament Question: Current Status of Modernisation of Powe...
Date: 2025-12-09 Category: Not Applicable State: Union Government Country: India

Parliament Question: Current Status of Modernisation of Powerloom Sector

Issued by Ministry of Textiles · Not Applicable

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Executive Summary & Key Takeaways

**Executive Summary** This document provides the Minister of Textiles' response to parliamentary questions regarding the status of modernization, technology upgradation, and sustainability initiatives in the powerloom sector. It outlines various schemes and interventions implemented to support powerloom units, including details on funding provided to Maharashtra and Karnataka. The document emphasizes the subsumption of several schemes under the Textile Cluster Development Scheme (TCDS) and the focus on meeting committed liabilities for ongoing projects. The response was given on December 9th, 2025. **Key Points / Main Content** * **Comprehensive Powerloom Cluster Development Scheme (CPCDS)** * Aimed at holistic improvement of existing powerloom clusters. * Maximum financial support of Rs. 50 crores per approved project. * Subsumed under Textile Cluster Development Scheme (TCDS). Support is only for meeting committed liabilities. * Ichalkaranji Powerloom Mega Cluster (Maharashtra) received Rs. 44.85 crore. * Silk Mega Cluster at Mysore (Karnataka) received Rs. 2.49 crore. * **Amended Technology Upgradation Fund Scheme (ATUFS)** * Provides credit-linked Capital Investment Subsidy (CIS) for purchasing benchmarked machinery. * Validity was until March 31st, 2022; currently only committed liabilities are being provided. * Rs. 222.75 crore provided to 1180 units in Maharashtra, including Ichalkaranji, Bhiwandi and Malegaon clusters. * Rs. 2.29 crore provided to 27 units in Karnataka. * **PowerTex India Scheme** * Aimed to enhance the capacities and competitiveness of decentralized powerloom sector. * Outlay of Rs. 487 crores for the period 2017-20, extended upto 2021. * Subsumed under Textile Cluster Development Scheme (TCDS). Support is only for meeting committed liabilities. * Insitu Upgradation Fund Scheme (Karnataka): Total fund released Rs. 863.06 Lakh to 2,405 beneficiaries; upgrading 4,940 Looms. * Insitu Upgradation Fund Scheme (Maharashtra): Total financial assistance Rs. 56.56 Cr. * **Powerloom Service Centers** * Grant-in-aid provided to powerloom service centers of Textile Research Associations (TRAs) and State Government. * Seven centers in Maharashtra and four in Karnataka offer testing, training, technical consultancy and troubleshooting services. * Training has been provided to 1,054 weavers in these clusters in the last three years. * **Scheme for Integrated Textile Parks (SITP)** * Aimed to increase investments, generate employment, and boost exports. * Subsumed under Textile Cluster Development Scheme (TCDS). Support is only for meeting committed liabilities. * Rs. 202.74 crore extended to 6 Textile parks of Maharashtra. * Rs. 32.01 crore extended to 1 Textile park in Karnataka. * **Maharashtra Integrated and Sustainable Textile Policy 2023-2028** * Supports various components of the textile value chain in Maharashtra, including Powerlooms. * The Maharashtra Technology Upgradation Fund Scheme (MAHA_TUFS) facilitates Powerlooms in augmenting investments, productivity, quality, employment and exports. **Impact Analysis** **Powerloom Units in Maharashtra (Palghar, Thane, Bhiwandi) and Karnataka** * **Impact:** Beneficiaries of financial assistance, technology upgradation programs, and training opportunities. Affected by the shift in focus to completing committed liabilities under subsumed schemes. * **Action Required:** Units should be aware of the changes in scheme implementation and focus on fulfilling existing commitments to receive support. Review the Integrated and Sustainable Textile Policy 2023-2028 and the Maharashtra Technology Upgradation Fund Scheme (MAHA_TUFS). **Textile Research Associations (TRAs) and State Governments (Maharashtra and Karnataka)** * **Impact:** Responsible for operating Powerloom Service Centers and providing services to the powerloom industry. * **Action Required:** Continue providing testing, training, technical consultancy, and troubleshooting services, and ensure alignment with the updated schemes. **Textile Park Developers (Maharashtra and Karnataka)** * **Impact:** Developers of Textile Parks who have ongoing projects or are seeking support. * **Action Required:** Understand the shift in scheme implementation and focus on completing existing projects to receive financial support.

Key Entities Referenced

Textile Cluster Development Scheme (TCDS): A scheme that has subsumed several previous schemes (CPCDS, PowerTex India, SITP) and now provides support only for completing ongoing projects and meeting committed liabilities. Amended Technology Upgradation Fund Scheme (ATUFS): A scheme providing credit-linked Capital Investment Subsidy (CIS) to units for purchase of benchmarked machinery in different segments of the textile sector. PowerTex India Scheme: A scheme to enhance the capacities and competitiveness of the decentralized powerloom sector, now subsumed under TCDS. Scheme for Integrated Textile Parks (SITP): A scheme for setting up textile parks with world-class infrastructure, now subsumed under TCDS. Maharashtra Technology Upgradation Fund Scheme (MAHA_TUFS): A scheme by the Government of Maharashtra to facilitate powerlooms in the state by augmenting investments, productivity, quality, employment, and exports.
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LOK SABHA UNSTARRED QUESTION NO. 1439 TO BE ANSWERED ON 09.12.2025 CURRENT STATUS OF MODERNISATION OF POWERLOOM SECTOR 1439. DR. HEMANT VISHNU SAVARA: SHRI P C MOHAN: Will the Minister of TEXTILES वस्त्र मंत्री be pleased to state : (a) whether the Government has reviewed the current status of modernization, technology upgradation, and sustainability initiatives in the powerloom sector; (b) the details of the schemes and interventions that have been extended to support powerloom units, including TUFS-related assistance, State-wise including Karnataka; (c) whether any gaps have been identified in credit access, power subsidy, raw material supply, or technological adoption among powerloom MSMEs; (d) if so, the steps being taken to address these gaps and enhance competitiveness, productivity, and employment opportunities in the powerloom sector; and (e) the Powerloom sector modernization, technology upgradation, and sustainability initiatives States- wise including Maharashtra, district-wise especially in Palghar, Thane and Bhiwandi district? उत्तर ANSWER वस्त्र राज् य मंत्री (श्री पबित्र मार्घरे रटा) THE MINISTER OF STATE FOR TEXTILES (SHRI PABITRA MARGHERITA) (a) to (e): A number of initiatives have been taken by the Government in order to ensure holistic development of the entire powerloom sector of the country including that of Maharashtra (Palghar, Thane and Bhiwandi) and Karnataka:- (i) Comprehensive Powerloom Cluster Development Scheme(CPCDS): With an aim at holistic improvement of existing (brownfield) powerloom clusters, Government extends financial support of a maximum of Rs. 50 crores for each approved Powerloom Mega Cluster project. The scheme has now been subsumed under Textile Cluster Development Scheme (TCDS) and support is extended for completing ongoing projects for meeting committed liabilities only. In Maharashtra, one project i.e.Ichalkaranji Powerloom Mega Cluster (Maharashtra) was sanctioned in 2012 which is currently at an advanced stage of completion, Rs. 44.85 crore has been released to Ichalkaranji powerloom megacluster as financial support by Government of India. Similarly in Karnataka, Silk Mega Cluster at Mysore (Karnataka) has been approved and Rs. 2.49 crore was released as GoI support to this project. (ii) Amended Technology Upgradation Fund Scheme (ATUFS): Under the scheme, credit linked Capital Investment Subsidy (CIS) is provided to units located across the country for purchase of benchmarked machinery in different segment of Textile Sectors (excluding spinning) across the value chain and across fibers including Micro, Small and Medium Enterprises (MSMEs) and small textile manufacturing units. The validity of the scheme was till 31.03.2022. Currently only committed liabilities are provided under this scheme. A financial support of Rs. 222.75 crore to 1180 units has been provided in Maharashtra including Ichalkaranji, Bhiwandi and Malegaon clusters and of Rs. 2.29 crore to 27 units in Karnataka under the scheme.(iii) PowerTex India Scheme: In order to enhance the capacities and competitiveness of decentralized powerloom sector, PowerTex India Scheme was launched on a Pan India basis having, an outlay of Rs. 487 crores for the period 2017-20, which was extended upto 2021. The scheme has now been subsumed under Textile Cluster Development Scheme (TCDS) and support is extended for completing ongoing projects for meeting committed liabilities only. Benefits extended under PowerTex India Scheme in the state of Karnataka and Maharashtra are given below: Karnataka :- Total fund Released No. of No. of Looms Scheme (in Lakh) Beneficiaries upgraded Insitu Upgradation Fund Scheme 863.06 2,405 4,940 Maharashtra :- S. No Scheme Palghar District Thane District Bhiwandi Cluster No of Financial No of Financial Total units Total units/ Assistance units/Projects Assistance in Financial Projects in cr cr Assistance in Cr 1 Insitu - - Upgradation 6,257 56.56 6257 56.56 Fund Scheme 2 Group - - Workshed 2 0.91 2 0.91 Scheme 3 Yarn Banks - - 1 0.50 1 0.50 In addition to above, Grant-in-aid is also provided to powerloom service centres of Textile Research Associations (TRAs) and State Government. There are 7 Powerloom service centres in Maharashtra (two in Bhiwandi cluster and one each in Ichalkaranji, Malegaon, Sangli, Solapur and Nagpur clusters) and 4 Powerloom Service Centres in Karnataka (two in Bangalore and one each in Gadag and Belgavi clusters). These powerloom service centres provide testing, training, technical consultancy and troubleshooting services to the powerloom industry in these clusters. In the last three years training has been provided to 1,054 weavers in these clusters. (iv) Scheme for Integrated Textile Parks: With a view to increasing investments, generating employment opportunities and boosting exports in textile sector, the Ministry is implementing Scheme for Integrated Textile Park (SITP) to provide support for setting up textile parks with world-class, state-of-the-art infrastructure in textile hubs across the country. The scheme was in implementation upto 31.03.2021; however, the scheme has now been subsumed under Textile Cluster Development Scheme (TCDS) and support is extended for completing ongoing projects for meeting committed liabilities only. Under this scheme, financial support worth Rs. 202.74 crores has been extended to 6 Textiles parks of Maharashtra and worth Rs. 32.01 crores has been extended to 1 Textile park in Karnataka so far. (v) In addition, the Government of Maharashtra is also implementing the Integrated and Sustainable Textile Policy 2023-2028 to support various components of the textile value chain in Maharashtra including Powerlooms. The Maharashtra Technology Upgradation Fund Scheme (MAHA_TUFS) seeks to facilitate Powerlooms in Maharashtra in augmenting investments, productivity, quality, employment and exports through various incentives to the eligible units for technology upgradation as per specified guidelines. ****

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