AP-Textile Policy 2018-2023
Empowering the textile industry in Andhra Pradesh with comprehensive financial support and incentives.
Allocated Budget
Jobs Created
Businesses Supported
Districts Covered
AP-Textile Policy Overview
The Andhra Pradesh Textile Policy 2018-2023 aims to transform the state into a textile manufacturing hub by providing comprehensive financial incentives and support to textile businesses.
Vision
To make Andhra Pradesh a preferred destination for textile manufacturing by creating a conducive ecosystem that attracts investments and generates employment.
Objectives
- Attract ₹15,000 crore investments
- Create 2.5 lakh new jobs
- Develop integrated textile parks
Focus Areas
- Value-added textile activities
- Technical textiles
- Integrated textile units
- Garmenting and apparel units
Incentives & Subsidies
Comprehensive financial support offered under the AP-Textile Policy 2018-2023 to boost textile manufacturing in the state.
| Sl No | Incentives | Subsidy % | Max. Cap |
|---|---|---|---|
| 1 |
Capital Subsidy (New / Expansion Units) For weaving units, preparatory units, knitting units, Processing units, Technical Textiles, Integrated units, addition to standalone garmenting and apparel units etc (Value added activities) Except Spinning & Modern Ginning |
Mega Unit: 20% of FCI Ultra Mega: 10% of FCI Other Units: 20% of FCI |
₹ 30 Cr ₹ 50 Cr ₹ 15 Cr |
| 2 |
Land & Infrastructure Support a. New Unit setup in Industrial parks /Standalone Units for Value added activities (Except Spinning & Modern Ginning) b. Standalone Projects NOT allotted Land in Industrial Parks / Textile Parks |
50% of Land Cost (or) 5% of the Project Cost, whichever is less Mega Unit: 25% of External Infrastructure Cost Ultra Mega: 25% of External Infrastructure Cost Other Units: 25% of External Infrastructure Cost |
- ₹ 3 Cr ₹ 5 Cr ₹ 1 Cr |
| 3 |
Interest Subvention a. For weaving units, preparatory units, knitting units, Processing units, Technical Textiles, Integrated units, addition to standalone garmenting and apparel units etc (Value added activities) b. For Spinning & modern Ginning |
8% P.A. 7.5% P.A. |
12.5% Cap, 7 Years with 2 Years moratorium |
| 4 |
Power Cost reimbursement a. For weaving units, preparatory units, knitting units, Processing units, Technical Textiles, Integrated units, addition to standalone garmenting and apparel units etc (Value added activities) b. For Spinning & modern Ginning |
₹ 2 /- per Unit ₹ 1 /- per Unit |
5 Years from the date of Commencement of Commercial Production |
| 5 |
Employment Based Incentives (New / Expansion Units) a. For weaving units, preparatory units, knitting units, Processing units, Technical Textiles, Integrated units, addition to standalone garmenting and apparel units etc (Value added activities) Except Spinning & Modern Ginning |
Employment Incentive Mega Unit: ₹ 2500 per Women & ₹ 2000 per Men Ultra Mega: ₹ 3750 per Women & ₹ 3000 per Men Other Units: ₹ 1000 per employee for units providing employment of 500 & above OR
SGST Incentive Mega Unit: 100% Net SGST accrued to the state for a period of 7 years or 100% of the FCI whichever is earlier Ultra Mega: 100% Net SGST accrued to the state for a period of 10 years or 100% of the FCI whichever is earlier Other Units: 100% Net SGST accrued to the state for a period of 5 years or 100% of the FCI whichever is earlier |
|
Unit Classification
Understanding the classification of textile units under the AP-Textile Policy 2018-2023.
Mega Units
- Investment: ₹125 Cr to ₹500 Cr
- Employment: Minimum 1000 direct jobs
- Capital Subsidy: 20% of FCI
- Maximum Cap: ₹30 Cr
Ultra Mega Units
- Investment: Above ₹500 Cr
- Employment: Minimum 2000 direct jobs
- Capital Subsidy: 10% of FCI
- Maximum Cap: ₹50 Cr
Other Units
- Investment: Below ₹125 Cr
- Employment: Based on project size
- Capital Subsidy: 20% of FCI
- Maximum Cap: ₹15 Cr
Eligibility Criteria
Find out if your textile business qualifies for incentives under the AP-Textile Policy 2018-2023.
General Eligibility Requirements
- New or expansion units established in Andhra Pradesh during the policy period (2018-2023)
- Units engaged in weaving, preparatory, knitting, processing, technical textiles, integrated units, garmenting and apparel manufacturing
- Units must be registered with the Department of Handlooms and Textiles
- Units must commence commercial production within the policy period
- Units must provide direct employment as per the classification criteria
Check Your Eligibility
You're Eligible!
Based on the information provided, your business is eligible for the following incentives under AP-Textile Policy 2018-2023:
Not Eligible
Based on the information provided, your business does not meet the eligibility criteria for AP-Textile Policy 2018-2023 incentives.
Issues to address:
Application Process
Simple steps to apply for incentives under the AP-Textile Policy 2018-2023.
Registration
Register your textile unit with the Department of Handlooms and Textiles, Government of Andhra Pradesh.
- Complete online registration form
- Submit business details
- Receive registration confirmation
Project Proposal
Submit a detailed project proposal with investment and employment details.
- Prepare detailed project report
- Include investment plan and timeline
- Provide employment generation details
Document Submission
Submit all required documents to support your application.
- Business registration certificates
- Land documents or lease agreements
- Machinery purchase invoices
- Financial statements and projections
Verification & Approval
Your application will be verified and processed for approval.
- Site inspection by officials
- Document verification
- Approval by committee
- Issuance of approval letter
Frequently Asked Questions
Find answers to common questions about the AP-Textile Policy 2018-2023.
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