End‑to‑End Textile Coverage
Covers key segments of the textile value chain such as spinning, weaving, knitting, processing, garmenting and technical textiles.
Capital Subsidy for Textile Machinery
TUFS
Technology Upgradation Fund Scheme for Textile & Apparel Sector
Flagship scheme of the Ministry of Textiles that supports modernisation of textile and
apparel units by providing capital subsidy and interest support on investment in benchmarked
machinery across the textile value chain.
Who Can Apply?
✓
Textile & Apparel Units
Existing and new units in segments like spinning, weaving, knitting, processing, garmenting and technical textiles.
✓
Benchmark Machinery
Investment must be in eligible benchmarked machinery and technology specified under the prevailing TUFS / ATUFS guidelines.
✓
Institutional Finance
Units must avail institutional term loans from eligible banks / FIs for purchase of approved machinery.
✓
Compliance with Textile Guidelines
Projects should adhere to conditions on minimum investment, capacity, sectoral caps and technology benchmarks defined by the Ministry of Textiles.
✓
MSME & Non‑MSME Coverage
Micro, small, medium and larger textile units can be covered, with specific caps and subsidy rates for each segment.
✓
No Duplication of Subsidy
Same machinery cannot simultaneously claim overlapping capital subsidies for the same component from multiple schemes.
Key Features
🏭
💸
Capital Investment Subsidy
Provides one‑time capital subsidy on eligible machinery cost, often 15% for garments and technical textiles and 10% for other specified segments under ATUFS.
📈
Productivity & Quality Boost
Encourages adoption of modern, energy‑efficient machinery for higher productivity, better fabric quality and reduced wastage.
🌍
Export & Competitiveness Focus
Designed to help Indian textile units compete globally by upgrading technology to international standards.
🧵
Support for Technical Textiles
Special focus on technical textiles and garmenting segments where higher value‑addition and employment potential exist.
📜
Structured Online Process
Applications, UID generation, and subsidy claims are processed via designated online portals with defined documentation.
Scheme Benefits
Reduces effective capital cost of modern textile and garment machinery through upfront subsidy or capital investment support.
Helps MSMEs shift from obsolete looms and equipment to benchmarked technology with lower financial burden.
Strengthens competitiveness in export markets by aligning technology with global standards.
Improves productivity, fabric quality, efficiency and energy savings across textile value chain units.
Supports expansion into new product categories, technical textiles and higher‑margin garmenting operations.
Application Process
01
Define Modernisation Project
Identify existing capacity gaps and prepare a technology upgradation plan with list of eligible benchmarked machinery.
02
Obtain Bank Sanction
Approach an eligible bank / FI with DPR for term loan; ensure the project is structured to be TUFS/ATUFS‑compatible.
03
Register on iTUFS / Relevant Portal
Register the unit and project details on the designated TUFS portal, obtain unique ID and upload required information.
04
Implement Project & Claim Subsidy
Purchase and install machinery, submit invoices and bank certifications; bank and Textile Commissioner process and release eligible subsidy.
FAQs
Frequently Asked
Questions
Questions
The scheme aims to facilitate technology upgradation in the textile and apparel
sector so that units can modernise machinery, improve productivity and enhance
competitiveness.
Textile and apparel units across segments such as spinning, weaving, processing,
garmenting and technical textiles that invest in eligible benchmarked machinery
through institutional finance can benefit.
TUFS works along with bank loans; enterprises take term loans from banks and the
scheme provides capital subsidy or interest support on eligible investments.
Depending on segment and guidelines, MSMEs can typically receive around 10–15%
capital subsidy on eligible machinery cost, subject to overall caps and norms.
The unit prepares a DPR, gets term loan sanctioned, registers on the relevant
TUFS portal with project details, and coordinates with its bank to file subsidy
claims after machinery purchase and installation.
Contact
Let’s Build
Intelligent Things
Intelligent Things
E-mail address
Info@naavbharat.com
Phone number
+91 90812 22372