The prime objective of the scheme is to establish Group Work sheds for installation of modern looms in an existing or new cluster, which will provide required scale of economies for business operations and to organize power loom units in a cluster and to provide improved working condition in terms of more space, work environment, improve the work efficiency to enhance their competitiveness in the global market.
PERIOD OF OPERATION
The Group Work shed Scheme shall remain in operation for the period of three years from 01.04.2017 to 31.03.2020
SCOPE OF THE SCHEME
The Work sheds under the scheme include the space required for installation of Modern Shuttleless Looms, Weaving Preparatory such as Warping, Sizing, Twisting (Two-for-one Twister and Three-for-one Twister), Texturizing, Testing Laboratory & Common Facilities such as Sample Display Room and construction of Dormitory.
The eligible area under the Group Work shed Scheme would be restricted to maximum 400 sq. ft. per loom which is the requirement for working of a shuttleless loom, including raw material storage, grey fabric storage, Stores 30 and spare parts storage, grey fabric mending / folding and packing, beam gaiting and administration/utilities/workers amenities etc. Beneficiaries can have area of bigger size with their own contribution.
The beneficiary will be eligible for infrastructure benefit i.e., internal road to the extent of 10% of eligible expenditure ( as per the scheduled of rates of CPWD/State PWD) towards construction of internal roads provided the total number of sheds is 4 (four) and above and at least one of the sheds is proposed to house weaving preparatory equipments with or without Shuttleless looms.
The additional benefit in terms of space/area will be provided for Weaving Preparatory such as Warping, Sizing, Twisting (Two-for-one Twister and Three-for-one Twister), Texturising, Testing Laboratory and Common Facilities such as Sample Display room upto a maximum of 40% of total loomage area.
The additional subsidy for construction of Dormitory/workers’ accommodation which includes adequate hygienic toilet and bathroom (kitchen with store room and dining hall may be included as optional) for accommodation of minimum 1.25 persons per powerloom will be provided @ 125 Sq.ft per person. The rate of subsidy per sq. ft for Dormitory/workers’ accommodation will be equal to the rate of subsidy per sq. ft applicable to Group workshed. 3.6 The beneficiary will not be eligible for any infrastructure benefits under any other scheme of Ministry of Textiles viz. SITP
The following general guidelines are prescribed for selection of beneficiaries under the Scheme: -
Eligible beneficiaries would include weaver(s) and entrepreneur(s) associated with powerloom units, including master weaver(s), registered co-operative societies of powerloom weavers or any new entrepreneur(s) individually or in-group.
Group will consist of at least 4 weavers / entrepreneur(s) having separate legal entity. At least 24 nos. of shuttleless looms of width upto 230 cms (or) 16 nos. of shuttleless looms of wider width i.e. 230 cms and above are to be installed in the Workshed. Each beneficiary should have at least 4 number of Looms.
Group applications will be entertained. However, where sufficient beneficiaries are available, the subsidy will be restricted to one representative of a family only in the group.
“Powerloom unit” would include weaving preparatory such as Warping, Sizing, Twisting (Two-for-one Twister and Three-for-one Twister), Texturising, Testing Laboratory and Common Facilities such as Sample Display room` including stand-alone unit.
Only TUFS compatible machines are to be installed in the projects sanctioned under the Scheme. However, prior approval of TUFS subsidy need not be a pre-condition.
The scheme does not envisage more than 500 looms under one project proposal.
Under this scheme, subsidy for construction would be as under:-
General Category: 40% of the unit cost of construction of Group workshed, Dormitory/workers’ accommodation subject to a maximum of Rs.400/- per Sq.ft
SC Category: 75% of the unit cost of construction of Group workshed, Dormintory/workers’ accommodation subject to a maximum of Rs.750/- per Sq.ft
ST Category: 90% of the unit cost of construction of Group workshed, Dormintory/workers’ accommodation subject to a maximum of Rs.900/- per Sq.ft
The maximum permissible subsidy per beneficiary shall be restricted to Rs.22.00 lakh (including the subsidy for infrastructure benefit i.e. internal road to the extent of 10% of eligible expenditure towards construction of internal roads) .
TIME LIMIT FOR COMPLETION OF PROJECT
The project as approved by the PAC shall be completed in all respect within 2 years from the date of communication of approval.
The PAC may extend the time limit for one more year beyond 2 years period, based on the request of EA with sufficient reason/cause for non-completion of the project, failing which penalty @ 10% will be imposed and the same will be adjusted from the balance subsidy to be released.