Scheme for Assistance to Textiles - 2019


To strengthen the textile value chain in the state and to provide optimum support to specific sectors of the value chain to usher Gujarat as the most sought out destination for Textile entrepreneurs.

Policy Operative Period: - 04 Sept. 2018 to 31 Dec. 2023

  • To support & strengthen the specific sectors in Textile value chain.
  • To generate employment opportunities within the state
  • To ensure the competitiveness of State Textile sector internationally.
Eligible Activities
  • Weaving, including preparatory (excluding Woven Sacks)
  • Knitting
  • Dyeing and/or Printing (Processing)
  • Machine Carpeting
  • Technical Textile (exduding woven sacks in any form of packeteach)
  • Made-ups .
  • Composite units excluding ginning, spinning, garments and apparel activities
  • Other activities - Crimping, Twisting, Texturizing, Thread, Sizing, Winding, Machine Embroidery
Ineligible Activities:
  • Ginning
  • Spinning
  • Garment and Apparel
  • Enterprise located in Special Economic Zone
Interest Subsidy

Interest Subsidy to eligible activities for a period of 5 years with a cap of Rs. 20 Crores per annum as per following rates:

Category Employment Interest subsidy
MSME - 6%
Large Enterprise

Up to 100

101 to 200

201 to 500

More than 500





Power Tariff Subsidy for 5 years
  • 3 per billed unit for weaving LT connections.
  • Rs. 2 per billed unit for weaving HT connections and all other eligible activities
Assistance for Energy and Water Conservation and Environment Compliances
  • Assistance of 20% of cost of machinery & equipment, limited to a maximum of Rs.30 lakhs in each case once in 2 years.
  • Assistance of 50% for audits amounting to a maximum of Rs.1 lakh in each case of Energy Audit/Water Audit once in 2 years.
Technology Acquisition and Up-gradation
  • Financial assistance up to 50% for technology acquisition/up gradation limited to a maximum of Rs.25 lakhs once during the operative period of the scheme only.
Support to Establish Textile Park
  • Assistance of 25% with a cap of Rs. 15 crores for common facilities, infrastructure & additional infrastructure (except land cost).
  • 100% stamp duty exemption to developer and the first purchaser of units in park.
  • Financial assistance of 25% with a cap of Rs. 7.50 crores of the cost of Hostell Dormitory Housing within the Park for a minimum of 100 domicile workers.

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