Govt may extend TUFS beyond 2007

New Delhi: The Government is likely to consider extending the popular Textile Upgradation Fund Scheme (TUFS) beyond 2007.

'I am in favour of extending the scheme's period to facilitate more benefits to apparel industry,' said the Textiles Minister, Mr Shankarsinh Vaghela, on the sidelines of the Apparel Machinery Exposition 2006, which began today.

He added that the Textile Ministry would shortly initiate deliberations on the issue.

'I have asked several apparel industry bodies to forward their demands to the Ministry so that a conclusive recommendation could be prepared.'

Mr Vaghela also said that his Ministry would initiate dialogue with the Finance Ministry shortly on the TUFS issue as part of the pre-Budget deliberations.

So far, the Government has sanctioned 4,047 applications under TUFS involving a total loan amount of Rs 12,759 crore.

'We are going to submit our memorandum to the Textile Minister today for a one-year extension of TUFS as most of us would not be able to import machinery before April this year,' said Mr T.A. Sakthivel, Chairman of Apparel Export Promotion Council.