- Specifications of technology for the machinery for all the above segments would be prescribed annually in advance by the Technical Advisory-cum-Monitoring Committee (TAMC) effective from 1st April of the year. Technology below the specified level as prescribed by the TAMC annually will not be allowed under the scheme.
- Machinery purchased directly from the machine manufacturers or their authorized agents/suppliers will only be eligible under the scheme. Machinery manufacturer or their authorized agent must also be registered under the scheme.
- Second-hand machinery will not be eligible under the scheme.
Special Features: There are a few additional terms & conditions associated with the scheme which is to be followed for availing the benefit under the scheme-
- The scheme is credit-linked. CIS shall be available to the entity on availing term loan from a notified lending agency with a minimum of 50% of the total eligible machinery cost under the project.
- The minimum repayment period of the term loan sanctioned for availing the benefit under the scheme shall not be less than 3 years including a moratorium period for MSME units and not less than 5 years for other categories.
- Advance payment up to the limit of his own share in the machine cost can be made by the applicant prior to the date of sanction of the term loan.
- Machines purchased on or after the date of sanction of term loan only shall be eligible for subsidy.
- CIS will be released to the entity in full in one go on eligible investment after satisfactory installation and commencement of production.
- Textile units are permitted to avail of benefits of State Government’s Schemes. In addition to the benefit provided under this scheme.
- Machine name and serial number should be expressly written on the Commercial invoice/Bill of Lading/Airways Bill/Bill of entry.
- The model number and serial number of machinery shall be clearly indicated on the machine.
Norms for Subsidy: Every eligible individual entity will be entitled to reimbursement of CIS under this scheme as per the below rates-
|
S.No.
|
Segment |
Rate of Capital Investment Subsidy (CIS)
|
|
1.
|
Garments, Technical Textiles
|
15% subject to the upper limit of Rs.30 Crores |
|
2.
|
Weaving for Brand new Shuttle-less Looms (including weaving preparatory and knitting), Processing, Jute, Silk and Handloom.
|
10% subject to the upper limit of Rs.20 Crores
|
|
3(a)
|
Composite Unit/Multiple Segments- If the eligible capital investment in respect of Garmenting and Technical Textiles category is more than 50% of the eligible project cost. |
15% subject to the upper limit of Rs.30 Crores |
|
3(b)
|
Composite Unit/Multiple Segments- If the eligible capital investment in respect of Garmenting and Technical Textiles category is less than 50% of the eligible project cost. |
10% subject to the upper limit of Rs.20 Crores
|
