**Executive Summary**
This document outlines various government schemes aimed at modernizing the powerloom industry, specifically focusing on the Bhiwandi, Ichalkaranji, and Malegaon clusters. It provides details on financial support, technology upgrades, and training programs. Several schemes mentioned are now subsumed under the Textile Cluster Development Scheme (TCDS), focusing on meeting existing liabilities.
**Key Points / Main Content**
* **Comprehensive Powerloom Cluster Development Scheme (CPCDS):**
* Aimed for holistic improvement of existing powerloom clusters.
* Offered financial support up to Rs. 50 crores for each approved mega cluster project.
* Now subsumed under TCDS, with support extended only for completing ongoing projects.
* Under CPCDS, Ichalkaranji Powerloom Mega Cluster received Rs. 44.85 crore.
* **PowerTex India Scheme:**
* Launched to enhance capacity and competitiveness of the powerloom sector.
* With an outlay of Rs. 487 crores for the period 2017-20, extended up to 2021.
* Now subsumed under TCDS, with support for completing ongoing projects.
* Rs. 11.58 crore, Rs. 58.08 crore & Rs. 12.28 crore was released for Ichalkaranji, Bhiwandi and Malegaon clusters respectively.
* **Amended Technology Upgradation Fund Scheme (ATUFS):**
* Provides credit-linked Capital Investment Subsidy (CIS) for purchasing machinery (excluding spinning).
* Validity was till 31.03.2022 and currently only committed liabilities are being provided.
* Rs. 262.04 crore financial support has been given to 1234 units in Ichalkaranji, Bhiwandi and Malegaon.
* **Textile Cluster Development Scheme (TCDS):**
* Provides Grant-in-aid to Integrated Textile and Apparel Development Centres (ITADCs).
* Two ITADCs in Bhiwandi, and one each in Ichalkaranji and Malegaon, provide testing, training, and technical consultancy.
* 1433 weavers trained in these clusters in the last three years.
* **Maharashtra Technology Upgradation Fund Scheme (MAHA_TUFS):**
* Implemented by the Government of Maharashtra.
* Facilitates Powerlooms in Maharashtra for technology upgradation, focusing on investments, productivity, quality, employment, and exports.
**Impact Analysis**
**Stakeholder: Powerloom Units in Bhiwandi, Ichalkaranji, and Malegaon**
* **Impact:** Access to financial support and technology upgrades to enhance competitiveness and modernization.
* **Action Required:** Be aware of the current status of the schemes and potential support for committed liabilities.
**Stakeholder: Weavers in Bhiwandi, Ichalkaranji, and Malegaon**
* **Impact:** Opportunities for training and skill development at ITADCs.
* **Action Required:** Participate in available training programs to improve skills.
**Stakeholder: Textile Research Associations (TRAs) and State Government**
* **Impact:** Grant-in-aid provided to ITADCs.
* **Action Required:** Provide testing, training, technical consultancy and troubleshooting services to the powerloom industry in these clusters through ITADCs.
Key Entities Referenced
Textile Cluster Development Scheme (TCDS): Scheme providing grant-in-aid to integrated textile and apparel development centres
PowerTex India Scheme: Scheme to enhance the capacities and competitiveness of decentralized powerloom sector.
Amended Technology Upgradation Fund Scheme (ATUFS): Scheme providing credit linked Capital Investment Subsidy (CIS) for purchase of machinery
Maharashtra Technology Upgradation Fund Scheme (MAHA_TUFS): Scheme implemented by the Government of Maharashtra to facilitate powerlooms.
Comprehensive Powerloom Cluster Development Scheme(CPCDS): Scheme for holistic improvement of powerloom clusters.
Ministry of Textiles
SCHEMES FOR MODERNIZATION OF
POWERLOOM INDUSTRY
Posted On: 06 FEB 2026 3:17PM by PIB Delhi
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 Bhiwandi, Ichalkaranji and Malegaon:-
(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. Under CPCDS,
IchalkaranjiPowerloom Mega Cluster was sanctioned in 2012. Rs. 44.85 crore has been released to
Ichalkaranji Powerloom Mega Cluster as financial support by Government of India.
(ii) 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. Under the scheme Rs. 11.58 crore, 58.08 crore &Rs.
12.28 crore have been released to powerloom units in Ichalkaranji cluster, Bhiwandi cluster and
Malegaon cluster respectively.
(iii) 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. 262.04 crore to 1234 units has
been provided in Ichalkaranji, Bhiwandi and Malegaon under the scheme.
(iv) Textile Cluster Development Scheme (TCDS) :- Under this scheme Grant-in-aid is provided to
Integrated Textile and Apparel Development Centres (ITADCs - Erstwhile Powerloom Service Centres)
of Textile Research Associations (TRAs) and State Government. There are two ITADCs in Bhiwandi
cluster and one each in Ichalkaranji and Malegaon cluster. These ITADCs 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 1433 weavers in these clusters.
(v) In addition, the Government of Maharashtra is implementing the Maharashtra Technology
Upgradation Fund Scheme (MAHA_TUFS) which seeks to facilitate Powerlooms in Maharashtra
including in Bhiwandi, Ichalkaranji and Malegaon in augmenting investments, productivity, quality,
employment and exports through various incentives to the eligible units for technology upgradation as
per specified guidelines.This information was provided by THE MINISTER OF STATE FOR TEXTILES SHRI PABITRA
MARGHERITA in a written reply to a question in Rajya Sabha today.
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