Department of Handlooms - கைத்தறி துறை

Distribution of Sarees and Dhoties Scheme

The Government of Tamilnadu have introduced the Distribution of Sarees and Dhoties Scheme during the year 1983 as one of the Flagship schemes. This scheme has been continued by the Government of Tamilnadu with the twin objectives of providing continuous employment to 14,000 Handloom Weavers and 54,000 Powerloom Weavers in the State and for distribution of Sarees and Dhoties every year to the poor people living in Rural and Urban areas in Tamilnadu on the eve of Pongal Festival.
Free Supply of Uniform to School Children

The Government is implementing the Free Supply of Uniform Scheme every year for the students who are studying in Government and Government Aided Schools. Under this scheme, students studying from 1st standard to 8th standard who are the beneficiaries of Nutritious Meal Programme are benefited. Every year 4 sets of uniforms are being provided to the students under this scheme.
Free Electricity to Handloom Weavers

The Government of Tamilnadu is implementing the scheme for supply of free electricity to handloom weavers from the year 2006-07. Under this scheme, the Government provides free supply of electricity upto 200 units bi-monthly to handloom weavers. Under this scheme 77,550 handloom households are being benefited.
Free and Subsidized Electricity to Powerloom weavers

The Government of Tamilnadu is implementing the scheme for supply of free electricity for Powerloom weavers from the year 2006-07. The Government provides the free supply of electricity upto 750 units bi-monthly to Powerloom weavers. Under this scheme, 1,42,227 Powerloom Weavers are being benefited.
Rebate Subsidy Scheme

The State Government is providing rebate subsidy to handloom cloth to overcome the stiff competition faced by the handloom industry at the market from powerloom and mills. This scheme helps the Primary Weavers Co-operative Societies and Tamil Nadu Handloom Weavers Co-operative Society Limited (Co-optex) to improve marketing of handloom products and also helps them to liquidate the stock.

Under this scheme, the State Government have permitted the primary weavers co-operative societies and Co-optex to allow rebate at the rate of 20% for the sale of handloom cloth throughout the year for the retail and wholesale. This rebate is subjected to a ceiling of 20% or Rs.100/- per unit whichever is less for cotton varieties and 20% or Rs.200/- per unit whichever is less for silk varieties.

Apart from this, on the eve of birthday of Perarignar Anna, the state is allowing an additional 10% special rebate on the normal rebate of 20% ie, 30% for a period of 139 days from 15th September to 31st January every year to the customers. Under this scheme 30% or Rs.150/- per unit for cotton varieties and 30% or Rs.300/- per unit for silk varieties (whichever less) is allowed.
Interest Subsidy Scheme

The Primary Weavers Cooperative Societies are getting working capital assistance by way of Cash Credit from District Central Cooperative Banks under NABARD refinance Scheme as per their eligibility. In order to reduce the interest burden of the Primary Weavers’ Co-operative Societies and to provide continuous employment to handloom weavers, “Interest Subsidy Scheme” is being implemented by the Government of Tamilnadu.

Under the scheme, 6% interest Subsidy is being reimbursed by the Government on the rates charged by District Central Cooperative Banks on Cash credit of Primary Weavers Cooperative Societies.
Handloom Support Programme

The scheme ‘Handloom Support Programme’ has been formulated for providing financial assistance for innovation and diversification of products in the Handloom sector.
Weaver Welfare And Insurance Schemes

With a view to improve the socio-economic condition of the handloom weavers, the following welfare schemes are being implemented by the Government of Tamil Nadu.
Tamilnadu Co-operative Handloom Weavers' Savings and Security Scheme

To inculcate the habit of savings in order to protect the future of the weavers, the Government is implementing the Tamilnadu Co-operative Handloom Weavers’ Savings and Security Scheme from the year 1975.

Under this scheme, weavers who enrolled as members in the Handloom weavers’ co-operative societies are contributing 8 paise per rupee of wages earned by them and the State Government is also contributing a matching share of 8 paise per rupee. Both the weavers’ contribution and the State Government contributions are being deposited in the respective Government Account.

The State Government allows 6.50% interest on the deposit amount under the Tamilnadu Co-operative Handloom Weavers Savings and Security Scheme.
Tamilnadu Cooperative Handloom Weavers' Old Age Pension Scheme

The Old Age Pension Scheme for Handloom Weavers in the Co-operative fold is implemented by the State Government from the year 1997. The members enrolled under the Tamilnadu Co-operative Handloom Weavers Savings and Security Scheme who attained the age of 60 years become eligible to get Tamilnadu Co-operative Handloom Weaver Old Age Pension. The Government have provided Rs.1000/- per month as Old Age Pension and 26,996 Handloom Weavers are being benefited under this scheme.
Tamil Nadu Co-operative Handloom Weavers' Family Pension Scheme

For the benefit of deceased Handloom Weavers’ family, the Government of Tamilnadu is implementing the Tamilnadu Co-operative Handloom Weavers’ Family Pension Scheme.

In case of handloom weaver member’s death before attaining the age of 60 years, the nominee of the weaver is eligible to get Family Pension for a period of 10 years from the date of death of the weaver or upto the age of 60 years (If the deceased weaver would have been alive) whichever is beneficial to the weaver’s family. The Government have provided Rs.1000/- per month as Family Pension to the nominee of deceased Handloom Weaver.

Pradhan Mantri Jeevan Jyoti Bima Yojana(PMJJBY) and Pradhan Mantri Suraksha Bima Yojana (PMSBY)

The handloom weavers in the age group of 18 to 50 years under co-operative fold and outside co-operative fold and ancillary workers are enrolled under Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) and Pradhan Mantri Suraksha Bima Yojana (PMSBY). The details of premium structure per beneficiary and benefits provided under these two schemes are as follows:

Premium Structure

Contribution	Annual Premium (in Rupees)
Contribution	PMJJBY	PMSJBY	Total
Union Government	150/-	12/-	162/-
State Government	80/-	-	80/-
LIC of India	100/-	-	100/-
Total	330/-	12/-	342/-

The annual premium of Rs.80/- per weaver per annum payable to LIC of India is contributed by the Government of Tamil Nadu on behalf of the weavers.

Benefits:

Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY)

On death caused due to any reason, Rs.2,00,000/- is provided to the deceased weaver’s family under this scheme.

Pradhan Mantri Suraksha Bima Yojana (PMSBY)

Details	Benefits (in Rupees)
Accidental Death	2,00,000
Permanent total disability due to accident	2,00,000
Partial permanent disability due to accident	1,00,000

Mahatma Gandhi Bunkar Bima Yojana (MGBBY)

Under Mahatma Gandhi Bunkar Bima Yojana (MGBBY), the handloom weavers in the age group of 51-59 years under co-operative fold and outside co-operative fold and ancillary workers are enrolled under this scheme. The details of premium structure per beneficiary and benefits provided under these two schemes are as follows:

Premium Structure

Contribution	MGBBY- Annual Premium (in Rupees)
Union Government	290/-
State Government	80/-
LIC of India	100/-
Total	470/-

The annual premium of Rs.80/- per weaver per annum payable to LIC of India is contributed by the Government of Tamil Nadu on behalf of the weavers.

Benefits

Details	Benefits (in Rupees)
Accidental Death	1,50,000
Natural Death	60,000
Total Disability	1,50,00
Partial Disability	75,000

During the year 2020-21, as many as 277 death claims have been settled to the tune of Rs.2.37 crore and has been paid to the beneficiaries through LIC of India.

The State Government have allotted an amount of Rs.85.01 lakh for the year 2021-22.

Health Insurance Scheme for Handloom Weavers

The “Chief Ministers’ Comprehensive Health Insurance Scheme” which has been implemented by Government of Tamilnadu is now being integrated with Pradhan Mantri Jan Arogya Yojana (AB-PMJAY). This integrated health insurance scheme provides coverage upto Rs.5.00 lakh per family per annum. The State Government have taken necessary action to bring all the eligible Handloom Weavers under this Integrated Health Insurance Scheme.

Accordingly, steps have been taken for inclusion of 66,539 weavers families under the “Chief Ministers’ Comprehensive Health Insurance Scheme”. As on 31.03.2021, 47,386 handloom weavers have been enrolled in the scheme.
Weaver MUDRA Scheme

In order to provide concessional credit to Handloom Sector, the Union Government has introduced the Weaver MUDRA Scheme, a component of National Handloom Development Programme (NHDP) since 2016-17. Under this Scheme, a minimum loan of Rs.50,000/- for cotton loom and Rs.1,00,000/- for silk loom are provided through nationalised banks at an interest rate of 6% per annum to all weavers/ ancillary workers towards working capital and to meet out the financial requirements viz., cost of tools and purchase of equipments required for carrying out weaving / allied activities.

The Union Government also provides the Margin Money Assistance of 20% of loan amount, subject to a maximum of Rs.10,000/- to the beneficiaries and the quantum of Interest Subvention provided to the banks would be limited to 7% on the difference between the actual rate of interest charged by the banks and 6% interest borne by the weavers.

During the year 2020-21, loan amount of Rs.70.15 crore has been disbursed to the 14,545 MUDRA loan applications through banks.

Under this scheme, for the year 2021-22, the target has been fixed to enroll 15,000 weavers.

Development Schemes

National Handloom Development Programme

Cluster Development Programme

The Government of Tamilnadu is implementing the Cluster Development Programme under National Handloom Development Programme (NHDP) for the welfare of handloom weavers both within and outside the Co-operative fold as per the revised guidelines implemented by the Union Government during the period from 2017-18 to 2020-21.

The maximum permissible financial assistance of Union Government per Block Level Handloom Cluster (BLHC) is Rs.200.00 lakh for the following 7 components as indicated below:-

Sl.No	Intervention	Financial Assistance (Rs. in Lakh)
1	Technological Up-gradation	85.00
2	Common Facility Centre including Common Service Center	50.00
3	Skill Up-gradation	20.00
4	Engagement of Designer	15.00
5	Project Management Cost	15.00
6	Yarn Corpus Fund	5.00
7	Product Development / CATD	10.00
TOTAL		200.00

Apart from this, an amount of Rs.50.00 lakh is provided for setting up of dye-house with ETP at district level.

With regard to the above 7 components, the grant of funds for “Technological Up-gradation” is shared - 90% by Union Government and 10% by beneficiaries. In respect of remaining components i.e., Skill up-gradation, Product Development, Textile Designer-cum-Marketing Executive, Project Management Cost, CATD, Documentation, Baseline Survey etc., the funding pattern is 100% by Government of India.

The Government of Tamilnadu is implementing the Cluster Development Programme in 52 Block Level Handloom Clusters by incurring expenditure of Rs.56.24 crore. 35,293 handloom weavers are benefited in this scheme.

Marketing Incentive Scheme

Marketing Incentive is a component of National Handloom Development Programme (NHDP) under which financial assistance is provided to the handloom agencies for marketing of handloom products. The funding pattern is 50:50 which is shared by the Union Government and the State Government.

As per the guidelines of the Union Government, an upper cap of Rs.30.00 lakh of annual sales turnover has been fixed as eligibility for claiming financial assistance under Marketing Incentive Scheme from 2017-18.
Handloom Marketing Assistance

The Union Government is providing financial assistance towards conduct of National Handloom Exhibitions, Special Handloom Exhibitions and Districts Level Events under “Handlooms Marketing Assistance” component of National Handloom Development Programme.
Common Effluent Treatment Plants at Tiruppur

Tirupur is a hub of textile processing and knitting industry. It provides employment to over 5 lakh people and contributes significantly to the total garment export of the Country. 18 Common Effluent Treatment Plants (CETPs) have been established in Tirupur to treat the effluents generated by Textile processing units. These CETPs were established with Union and State Government assistance and also by taking loans from various banks.
Integrated Processing Development Scheme

For the rehabilitation of micro, small, medium scale textile bleaching, dyeing and its allied units in the Districts of Namakkal, Erode, Salem and Karur this scheme is being implemented from 2014.
Scheme for Integrated Textile Parks

Considering the growth in the Textile Industry and in order to create world-class infrastructure facilities for setting up their Textile Units, in one place, the Union Government have launched the “Scheme for Integrated Textile Parks (SITP)” in the year 2005. This Scheme would create new Textile Parks of international Standards at potential growth centres. The scheme is being operated on Public Private Partnership basis with the Union Government grants of 40% of the Project cost, subject to a maximum of Rs.40.00 crore. State Government provides grant of 9% of the project cost, subject to a maximum of Rs.9.00 crore.

The Textile parks cover production / support activities in all the subsectors of Textile Industry viz., Spinning, Weaving (Handloom and Powerloom), Processing, Knitting and Apparel Garmenting, Home Textiles, Technical Textiles etc., including Textiles Engineering, Accessories and Packaging.

Under the Scheme for Integrated Textile Parks (SITP), 8 Textile Parks have been approved by the Union Government. Among which, the following 4 Textile Parks have been fully established and are functioning now.

1. Hi-Tech Weaving Park, Palladam, Tiruppur.

2. Integrated Textile Park, Karur.

3. Madurai Integrated Textile Park, Vadipatti, Madurai.

4. Hi-Tech Weaving Park, Kumarapalayam, Namakkal.

The works of the remaining following 4 Textile Parks are under process.

1. GILT Integrated Textile Park, Chengampalli, Tiruppur.

2. SIMA Textile Processing Park, Cuddalore.

3. Kancheepuram Aringar Anna Handloom Silk Park, Kancheepuram.

4. Pallavada Technical Textile Park, Erode.
Technical Textiles

Technical Textile is a sunrise segment of the Textile Sector, offering a lot of opportunities for domestic utilization of technical textiles as well as exports.

Technical Textile focuses on 12 application areas : viz., Agrotech, Buildtech, Clothtech, Geotech, Hometech, Indutech, Meditech, Mobiletech, Oekotech, Packtech, Protech and Sporttech.

The Government have offered the following incentives for the development of Technical Textiles in “Tamilnadu New Integrated Textile Policy 2019”:-

• 9% of Project Cost, subject to a maximum ceiling of Rs.9 crore will be provided as State Government grants for setting up of Technical Textile Parks under Scheme for Integrated Textile Parks (SITP).

• 6% Interest subsidy for Technical Textile projects will be provided in addition to other incentives offered by the Union Government.

• Overseas study will be conducted to identify potential possibilities of Technical Textile markets and products.

• 100% Stamp Duty Exemption will be given for Technical Textile projects.
Samarth Scheme

Ministry of Textiles, Union Government has introduced the Samarth Scheme for capacity building in Textile Sector. It was proposed to impart Training in the discipline of “Handloom Weaving” for 1,400 beneficiaries through the 4 Training Institutes which are functioning under the control of the Department of Handlooms and Textiles

Pradhan Mantri Jeevan Jyoti Bima Yojana(PMJJBY) and Pradhan Mantri Suraksha Bima Yojana (PMSBY)

Benefits:

About Us

Quick Links

Quick Links

Handlooms Instiutions