India's $2 billion textile subsidy program approved

During the 12th Five-Year Plan period in India (ending in March 2017), the implementation of the Technical Update Program (TUFS) has been approved. The total budget of the Technical Update** Program (TUFS) during the Twelfth Five-Year Plan is approximately $2 billion.

India has allocated US$400 million as a textile industry subsidy this fiscal year, focusing mainly on the loom section.

In order to promote the domestic textile machinery manufacturing industry in India, the interest repayment rate of imported second-hand shuttleless looms has dropped from 5% to 2%.

The one-time capital subsidy for new shuttleless looms has been increased from the original 10% to 15%. The continued implementation of the Technology Update** Program (TUFS) is expected to increase the employment opportunities of 15.81 million workers.

The Technology Update Program (TUFS) was launched in 1999 and so far it has attracted approximately $500 million in investment.