The textile industry in Punjab, which has been reeling under the worst ever financial crisis due to sudden withdrawal of subsidy under the Technology Upgradation Fund (TUF) scheme, has welcomed the Union government?s decision to extend the revised scheme till March 2012.
The Cabinet Committee on Economic Affairs suspended the TUF scheme on June 29, 2010 and banks were asked to freeze the payments and stop accepting fresh applications.
Industrialists said as per the decision taken by Cabinet Committee on March 31, this year, 2011-12 would be the last year of the TUF scheme and the textile entrepreneurs looking for modernisation in their textile units have got the last chance to take maximum benefits of the revised scheme.
Entrepreneurs told FE that the CCEA has approved the new revised TUFs by earmarking R7,404 crore for clearing pending dues and for fresh applications.