The made-ups segment which is the second largest employment generator after apparels in the entire textile value chain will get additional 10 percent capital investment subsidy of up to Rs 20 crore under the Amended Technology Upgradation Fund Scheme.

According to the notification from the Textiles Ministry "Every eligible made-ups unit which has availed 15 percent benefit under ATUFS will be paid an additional 10 percent capital investment subsidy on their investment up to an additional maximum cap of Rs 20 crore".

It states that the total cap on subsidy for such a unit is enhanced under ATUFS from Rs 30 crore to Rs 50 crore (Rs 30 crore for 15 percent CIS and Rs 20 crore for additional 10 percent CIS) respectively).

Funds for meeting additional CIS for made-ups units will be provided for in the ATUFS budget in the respective years, said the notification.

The additional subsidy will be disbursed after a period of three years. The disbursement will be based on a verification mechanism linked to production volume, employment and turnover.

The government last month approved reforms in the apparel made-ups sector, aimed at creating large scale direct and indirect employment of up to 11 lakh persons over the next three years and boosting exports.

The reforms, part of the Rs 6,006 crore apparel package announced earlier, include providing production incentive through enhanced Technology Upgradation Fund Scheme (TUFS) subsidy of additional 10 percent for made-ups similar to that provided to garments based on the additional production and employment after a period of 3 years.

The made ups segment of textile include products like bedsheets, blankets, curtains, crochet laces, pillow covers, towels, zari, embroidery articles and other articles.