Surat district of Gujarat cleared applications from 627 textile manufacturing units spanning various segments under the Gujarat government’s Textile Policy on Saturday.
The clearances came during a meeting chaired by district collector Tejas Parmar alongside District Industries Centre officials, where files covering the weaving, technical textile and embroidery sectors were passed.
Officials said 627 applications have been signed off to encourage fresh investment across Surat’s textile ecosystem. The sanctioned projects carry estimated investments of Rs 1,521 crore.
Across the coming five years, these units are anticipated to receive roughly Rs 300 crore in government support via a blend of interest assistance, power tariff subsidy and capital subsidy.
The policy is also expected to bolster job creation, with over 3,500 jobs set to be generated by the cleared units. Special assistance has been announced to lift activities falling under “Activity 1”, officials added.
The latest Gujarat Textile Policy 2024 came into force on Oct 1, 2024, and remains effective until Sept 30, 2029.
“Under the framework, Activity 1 encompasses garments, apparel, made-ups and technical textiles, whilst Activity 2 covers weaving, knitting, dyeing-processing, texturising, twisting and embroidery,” ToI reported.
Capital subsidy rates differ by category and location, with provisions of 20–35% for Activity 1 and 10–20% for Activity 2. Interest subsidy spans 5–7% for both categories. Units also qualify for a power tariff subsidy of Rs 1 per unit across five years.
Within Surat district, talukas have been sorted into three categories: Umarpada and Mahuva in Category 1, Mandvi and Bardoli in Category 2, and Surat city together with other talukas in Category 3.
Authorities said the clearances are expected to speed up investment, widen production capacity and enhance job prospects across the textile value chain.
Image courtesy: Vinatex
