Gujarat Textile Policy: Assistance for Quality Certification

Description
The "Gujarat Textile Policy" is an umbrella scheme introduced by the Industries and Mines Department, Gujarat. It aimed at augmenting investments in the textile sector and strengthening the textile value chain across each sub-sector, while also focusing on strengthening the garments and apparel as well as technical textiles industry. Effective from October 1st, 2024 to September 29th, 2029, this initiative focuses on reducing the carbon footprint and promoting green growth, thereby making the sector globally competitive and environmentally sustainable. The component "Assistance for Quality Certification" provides financial support to industrial units for obtaining National and International quality certifications such as BIS, ISI, WHO-GMP, Hallmark, etc. .

Exclusions
• The testing equipment purchased after the issuance of Quality certificate shall not be eligible for assistance.
• Expenditure incurred for renewal of certificate shall not be eligible for assistance.

Definitions
Gross Fixed Capital Investment

Eligible Fixed Capital Investment

Ineligible Capital Expenditure/Assets

Term Loan

Date of Commercial Production (DoCP)

Benefits
• **Financial Support:** Reimbursement of 50% of certification fees and 50% of testing equipment/machinery costs up to ₹10,00,000/-. - **Eligible Certifications:** Includes BIS, ISI, WHO-GMP, Hallmark, and other recognized National/International certifications. - **Covered Expenses:**
• Fees charged by certification agencies (excluding travel, hotel & surveillance charges).
• Cost of required testing equipment/machinery.
• Calibration charges for testing equipment.

Eligibility Criteria
1. - The certification must be from a recognized national or international body.
2. - The unit should have incurred actual expenses for certification and testing equipment.
3. - The application must be submitted within one year from the date of certification.

Required Documents
• Document of registration of the industrial undertaking, as applicable under law, and the Industrial Entrepreneur Memorandum, as prescribed by the Government of India.
• Documents related to legal possession of land with valid nonagriculture permission for industrial use, and registered purchase / Lease / Rent deed. If the plot or shed is in GIDC estate, a copy of the possession letter should be attached.
• Consent to Establish from GPCB, if applicable.
• Detailed Project Report containing the following:
• Term loan sanction letter from financial institution(s).
• Board Resolution / Authority Letter / PoA.
• PAN Card of Enterprise and Authorized Person.
• GST Registration with all Annexures.
• First Sale Bill ( In case of Commercial Production is commenced).
• Audit Report (Before initiation of Expansion).

Frequently Asked Questions
Q: What is the "Gujarat Textile Policy"?
A: The "Gujarat Textile Policy" is a government initiative aimed at strengthening the textile sector by promoting investment, sustainability, employment generation, and value chain integration.

Q: What is the operative period of the "Gujarat Textile Policy"?
A: The operative period of the Gujarat Textile Policy 2024 is from October 1, 2024, to September 30, 2029, covering a span of five years.

Q: How does the policy contribute to employment generation?
A: The policy focuses on creating a robust textile ecosystem by attracting investments, encouraging MSMEs, supporting women entrepreneurs, and expanding production capacities, thereby generating employment opportunities.

Q: What incentives are provided under the policy?
A: The policy offers financial assistance, infrastructure support, and subsidies to strengthen textile manufacturing, encourage investment, and support MSMEs, startups, and large enterprises.

Q: What is the objective of the "Assistance for Quality Certification" component?
A: The "Assistance for Quality Certification" component provides financial support to industrial units for obtaining National and International quality certifications (such as BIS, ISI, WHO-GMP, Hallmark, etc.).

Q: What is the maximum financial assistance that an industrial unit can receive?
A: An industrial unit can receive a maximum financial assistance of [?]10,00,000/- during the scheme's operative period.

Q: Which types of certifications are covered under this scheme?
A: The scheme covers certifications such as BIS, ISI, WHO, GMP, Hallmark, and other recognized national or international quality certifications.

Q: Can an industrial unit apply for assistance if the certification is legally required?
A: No, an industrial unit is not eligible for assistance if the certification is required as part of a statutory provision.

Q: Is the cost of testing equipment eligible for reimbursement under this scheme?
A: Yes, the scheme provides 50% reimbursement of the cost of testing equipment or machinery required for the certification.

Q: Can an industrial unit apply if it has already received assistance from the Central Government?
A: Yes, an industrial unit can apply; however, the total assistance from both the State and Central Governments must not exceed the actual expenditure incurred.

Q: Is assistance provided for the renewal of a quality certification?
A: No, the scheme does not cover expenses incurred for the renewal of a quality certification.

Q: Are calibration charges for testing equipment included in the assistance?
A: Yes, the scheme covers calibration charges for testing equipment used in obtaining the certification.

Q: Can an industrial unit purchase testing equipment after receiving the certificate and still apply for assistance?
A: No, testing equipment purchased after the issuance of the quality certificate is not eligible for reimbursement under the scheme.