Coimbatore : Southern India Mills’ Asociation (SIMA) Wednesday welcomed the Tamil Nadu Comprehensive T4xile Policy 2019, particularly for extending two per cent interest subsidy for modernizing spinning machines, spindles of above 15 years old.

Out of 24 million spindles around 11 million spindles are above 15 years old and this benefit would help the spinning sector to modernize the same, SIMA Chairman, P Nataraj said in a statement here.

Thanking Chief Minister, Edapadi K Palanisay and Handlooms and Textiles minister, O S Manaian for coming out with the policy after 10 years, Nataraj welcomed the various benefits extended for the weaving and garment sectors including 10 per cent capital subsidy for all new machines.

He appreciated the announcement of 25 per cent of the project cost with the ceiling of Rs.10 crore for trade facilitation centre.

Nataraj said that 10 per cent capital subsidy for wider width fabric processing, five per cent interest subsidy for common effluent treatment plant, 15 per cent capital subsidy for the individual effluent treatment plant, Rs.one crore R & D assistance for effluent treatment plant would greatly benefit the processing segments in Tamil Nadu.

He lauded the slew of incentives offered for technical textiles including 9 per cent capital subsidy, six per cent interest subsidy, cent per cent stamp duty exemption and also providing Rs.1 crore assistance for overseas study.

Nataraj appreciated the incentives offered for setting up the mini textile parks by extending 50 per cent subsidy or Rs.2.5 crores per park, which would help the small scale units to consolidate the capacity and modernize.

He also welcomed 5 per cent additional capital subsidy extended for Southern Districts, which woulde provide for meeting compliance cost and acquiring technology would help Tamil Nadu textile industry in a big way.

He welcomed 5 per cent additional capital subsidy extended for Southern Districts which would provide for meeting compliance cost and acquiring technology would help Tamil Nadu textile industry in a big way.

The 50 per cent subsidy subject to maximum of Rs.1.5 crore for construction of labour quarters would greatly benefit the entire textile industry in the country and the Rs.5 crore assistance extended for upskilling of garment workers would greatly benefit the Tirupur cluster, he said.

The new Tamil Nadu Textile Policy would go a long way and make the State to remain as No.1 State in the country, Nataraj said