|
Recent
initiatives by FIs likely to boost TUF scheme for powerlooms
Arbind
Gupta - Mumbai
The
decentralised SSI sector has so far failed to make use of the Technology
Upgradation Fund Scheme (TUFS) even if it is the one segment which
calls for major upgradation in terms of technology. Based on the
data compiled by the Textile Commissioner’s office, the total
loan amount disbursed under the scheme to the sector by the SIDBI
and its PLIs is merely Rs 317 crore as against the total disbursed
amount of Rs 3578.43 crore.
“Only
less than nine per cent loan amount has found its way in to the
decentralised sector. This clearly shows the lukewarm response evinced
by these units towards the scheme,” stated Mr P B Sudhakar,
consultant, Powerloom Development and Export Promotion Council (PDEXCIL),
who is also of the opinion that things are slowly looking up in
the past couple of months following an aggressive approach shown
by the banks/PLIs co-opted by SIDBI.
Says
Mr Shashank Raje, deputy director, SASMIRA, “Over the last
one year or so the situation has improved in terms of awareness
and powerloom units are coming forward for modernisation. In fact,
they hardly have any choice left with them. On the other hand, proactive
measures have also been taken up by the authorities as also financial
institutes in making the norms borrower-friendly. Most importantly,
over the time a trust has developed between both the sides.”
It
may be noted that the Union finance ministry has asked all public
sector banks/PLIs to gear up and expedite the scheme in the SSI
sector. In a recent communique to these banks and the nodal agency
SIDBI, the ministry has emphasised that banks involved in the process
should give greater attention to financing of small textile units
for technology upgradation. The banks have been specifically asked
to apprise the ministry of the action taken by them in this direction.
“Even
before the directive from the finance ministry, SIDBI had started
streamlining the process. Over the months, there have been efforts
to bring down the lead time and make the scheme hassle free. Not
only this, we have been involved with the textiles ministry in creating
awareness about the scheme. I feel the initial hiccups are slowly
coming to an end, while more and more units are showing interest.
We are quite flexible and making need-based changes in the system,”
stated Mr A R Muralidharan, general manager, SIDBI.
Experts
are also of the view that proposed capital-link subsidy scheme for
powerlooms will go a long way in catalysing the TUF scheme. “Powerlooms
play an important role in the production of textiles and will continue
to do so in future too. In this backdrop, it is necessary to make
them competitive in the wake of changing market place,” observed
Mr Subodh Kumar, textile commissioner. Although the powerloom sector
produces more than the 55 per cent of the country’s total fabrics
of 36,701 million sq meters, this sector continues to remain highly
unorganised without a proper direction. It has been just growing
on its own, according to an expert.
The
production from the mill sector has been stagnant for many years
but the powerloom sector has gone a long way in filling the gap.
The mills which produced 1,957 million sq mt of cloth 1989-90, are
currently also producing almost the same quantity. Reflecting quite
a contrary trend, the powerlooms have grown by more than 240 per
cent to 20303 million sq mt from 5965 million during the same period.
Despite all this, there is hardly anything to cheer about. Shackled
by numerous hurdles, the quality of fabric produced by these powerlooms
are no way comparable to any standard and primarily cater to the
lower end.
|
Print