Gujarat Textile Policy 2024

The Gujarat Textile Policy 2024 is an integrated policy framework notified by the Industries and Mines Department. Building on the strengths of Gujarat's massive textile footprint (accounting for 28% of India's cotton and 50% of synthetic fibers), this policy is designed to strengthen the manufacturing value chain with a focus on garments, apparel, made-ups, and technical textiles. It introduces capital subsidies up to 35% of eligible Fixed Capital Investment (eFCI), term loan interest subvention up to 7%, a ₹1/unit power tariff subsidy, and up to 10 years of payroll support for large labour-intensive units.

Policy Vision

To augment investment across the entire textile value chain and align with the vision of Viksit Gujarat – Viksit Bharat@2047 and the Prime Prime Minister's '5F' formula: Farm to Fibre; Fibre to Fabric; Fabric to Fashion; Fashion to Foreign.

Core Objectives

• •Augment industrial investment across all sub-sectors of the textile value chain.
• •Promote technical textiles, garments, and made-ups as priority thrust areas.
• •Accelerate the development of the greenfield PM MITRA (Mega Integrated Textile Region and Apparel) Park in Gujarat.
• •Boost women's employment, youth entrepreneurship, and MSME integration.
• •Adopt sustainable, energy-efficient, and water-saving green manufacturing practices.

Eligible Textile Activities

Taluka Categorisation Slabs

For the purpose of calculating subsidy percentages, units are mapped to Category 1, Category 2, or Category 3 talukas as per Government Resolution No. MIS-102020-347965-I.

Labour Intensive Unit Definition

A textile or apparel manufacturing unit that provides direct payroll employment to a minimum of 4,000 workers, of which a minimum of 1,000 are female employees. These units qualify for enhanced timelines and subsidy ceilings under the Special Package.

Standard Capital Subsidies (% of eFCI)

Standard Term Loan Interest Subvention

Power Tariff Subsidy

Eligible units in both Activity 1 and 2 receive a power tariff subsidy of ₹1 per unit (kWh) on electricity consumed from state DISCOMs or from open-access renewable power sources. Claimable for a period of 5 years from the Date of Commencement of Production (DoCP).

Standard Monthly Payroll Assistance (for 5 Years)

Assistance to Self-Help Groups (SHGs) for Job Work

• •Training Assistance: ₹5,000 per month per member for a maximum of 3 months.
• •Payroll Assistance: 25% of job-work turnover value, capped at ₹5,000 per month per member, for 5 years.

Labour-Intensive Capital & Interest Subvention Ceilings

Labour-Intensive Power & Payroll Concessions

• •Power Tariff: ₹1/unit power tariff subsidy for 5 years, capped at ₹15 Crore per year for DISCOM, open-access, or group captive renewable power.
• •Garment / Apparel Payroll: ₹5,000 per female and ₹4,000 per male employee per month, extended for an operative period of 10 years.
• •Technical Textiles Payroll: ₹3,000 per female and ₹2,000 per male employee per month, extended for an operative period of 10 years.

Allied Assistance Schemes

The policy also supports quality certifications, water & energy saving audit installations, and technology acquisition. Detailed criteria are issued in supplementary guidelines by the Industries Commissionerate.

General Terms & Compliance

• •Eligible Fixed Capital Investment (eFCI) excludes working capital, land costs, land development fees, and second-hand machinery.
• •Power tariff subsidies are time-bound to 5 years and capped annually at ₹15 Crore for labour-intensive installations.
• •Taluka categories are strictly verified against G.R. mappings before calculations. Units in PM MITRA parks enjoy par status with Category 1 talukas.

1. 1Online Application: Eligible units file registrations on the Industries Commissionerate portal before commencing project work.
2. 2Taluka Mappings & eFCI Audits: Local District Industries Centre (DIC) officers audit location category parameters and verify eligible investment declarations.
3. 3Milestone Scrutiny: Term loan sanctions, building construction bills, and power utility logs are processed digitally to clear quarterly installments.

Nodal Authority

The Industries Commissionerate, Industries and Mines Department of the Government of Gujarat is the primary implementing agency. The Industries Commissioner oversees the monitoring of outlays and publishes operational guidelines.

Contact & Query Redressal

Office of the Industries Commissionerate, Block No. 1, 2nd Floor, Udyog Bhavan, Gandhinagar 382010. Ph: 23252683 / 23252617. Email: comind@gujarat.gov.in. Web: ic.gujarat.gov.in.