chapter viii wool & wollen textiles industry - Ministry of Textiles

ministry of textiles
15,000 cooperative societies already
covered under the Financial Package
approved earlier. These interventions
aim at bringing about a paradigm shift by
converting individual weavers into micro
entrepreneurs by empowering them with
cheap credit and yarn. Individual weavers
will now be able to command a better
price in the market for their products.
(iii) HANDLOOM WEAVER CREDIT
CARD (WCC) SCHEME
Handloom sector largely comprises of
small and tiny units, which fall mostly
under the unorganized sector and that
credit needs of a large number of weavers
are being met through informal channels.
The WCC Scheme aims at providing
adequate and timely assistance from
the Banking institutions to the weavers
to meet their credit requirements i.e.
for investments needs as well as for
working capital in a flexible and cost
effective manner. Weaver Credit Card
(WCC) Scheme dovetailed with other
Government programmes will go a
long way in supporting the government
initiatives to fulfill the objective of
financial inclusion. The Scheme will be
implemented both in rural and urban
areas.
(iv) Credit Guarantee through
Credit Guarantee Fund
Trust for Micro and Small
Enterprises (CGTMSE):
The Handloom Sector is in need of short
term credit facilities for working capital
and term loans which are presently
not available easily to the weavers.
Therefore it is proposed to provide a
credit guarantee cover for working capital/
term loan assistance through banks/MLIs
under the Credit Guarantee Fund Trust for
Micro and Small Enterprises (CGTMSE)
Scheme on the lines of a similar Scheme
being implemented for the Handicraft
Sector. Through the Credit Guarantee
Fund Scheme of CGTMSE, this office can
enable credit guarantee cover for working
capital and term loan assistance by
payment of the Guarantee Fees and the
Annual Service Charges on the weavers’
behalf.
The Credit Guarantee Fund Trust for
Micro and Small Enterprises (CGTMSE)
was setup in July, 2000 jointly by GOI
and SIDBI which became operational
from 01 st August, 2000.The trust provides
guarantee cover to both fund and nonfund
based credit facilities including
term loan and working capital facilities
sanctioned by its member lending
institutions without collateral security
and / or 3 rd Party Guarantee to eligible
units in the Micro and Small Enterprises
Sector.
(v) SPECIAL PROJECT FOR
DEVELOPMENT OF TRIPURA
HANDLOOMS.
There are more than one lakh handlooms
in Tripura, of which about 25% are
commercial and rest are non-commercial
or domestic belonging to ethnic tribes/
Bengali/Manipuri weavers. P r e s e n t l y,
due to irregular supply of raw material,
lack of innovative designs and products,
outdated technology in production
process and poor marketing linkages,
the handloom sector in the State is
passing through hard times and many
skilled weavers mainly located in and
around cities and towns have switched
over to other professions. The proposed
Special Project For Development of
Tripura Handlooms is likely to benefit
960 handloom weavers and ancillary
workers because it proposes an overall
development of the dispersed units
spread across the remote interiors of the
hilly terrain
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