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Integrated Scheme for Powerloom Sector Development

Modernized Work shed Scheme for Power Loom Sector -(

At least 4 weavers/Entrepreneur(s) in a group having separate legal entity .At least either 48 nos of modern looms (auto/Single width shuttle less looms) or 24 Nos of wider width shuttle less looms with 4 persons in a group are to be installed in the work shed .Each beneficiary should have at least 6 Nos of looms.

Under this scheme subsidy for construction of power loom building would be limited to 40% of the unit cost of construction subject to maximum of Rs120/- per Sq ft.

Max Permissible subsidy per beneficiary shall be restricted to Rs 12.00 lakhs to cover installation of 24 Nos of shuttle less looms @ of 120/-per sq.ft.

Organising of exhibition and buyer seller meet

In order to provide opportunity to powerloom weavers to market their products at regional and cluster lever, exhibitions will be held. In addition to that, different industry associations and other agencies can also organize Buyer Seller meet for promotion of powerloom specific or fibre specific or any other product of the powerloom sector in that area

For exhibitions, the assistance will be given for infrastructure support, stall rent and furnishing, electricity charges, publicity, back up services and administrative expenses. The level of assistance will be Rs.15 Lakh, Rs.10 Lakh and Rs. 5 Lakh for 5 days at Class-A,Class-B and Class-C cities respectively or actuals, whichever is lower. Any expenditure above this limit would have to be borne by the beneficiary or implementing agency.

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Exposure Visit of Powerloom Weavers to other Clusters

The powerloom weavers from the low level of technology are not exposed to other area of manufacturing to produce diversified textile products or value added fabrics due to limited knowledge etc. with a view to overcome such deficiencies the powerloom weavers are required to be exposed to the developed are of manufacturing. Govt. of India will bear the expenditure for the To & Fro from the place of the powerloom weaver to the place of visit. The travel assistance will be limited to the actual expenditure in traveling by 2nd class sleeper by railway and incidental expenditure up to Rs.2000/- additionally per beneficiary.

Powerloom Cluster Development

Powerloom Cluster Development activities are an attempt to facilitate the sustainable development of powerloom industry located in identified clusters in a holistic manner to wean out the weak cluster from producing the low-end value product at one hand and product innovation and other diversification on the other end.

CAD Facility

Financial assistance to establish CAD centres for design development and training will be given to local bodies upto Rs.25 Lakh for one time assistance. This will be availed by local industry. This includes assistance towards provision of designs & installation of computer aided design system to improve design quality and impart training to local powerloom weaver/entrepreneur.

Guidelines for implementation of Group Insurance Scheme for Powerloom workers

Eligibility :

  1. The Powerloom weavers who are aged between 18 to 59 years of age group and below the poverty line (BPL) of marginally higher than the BPL shall be eligible for coverage.
  2. The scheme is applicable to the families of powerloom workers engaged in the activity of weaving on powerlooms and in allied pre-weaving/preparatory activities like twisting, warping and sizing. Self employed weaver families owning not more than 4 looms will also be eligible.
  3. Family for the purpose of the scheme shall be the beneficiary and his/her spouse and only one of them shall be eligible for coverage.
  4. The scheme is operational on nearly basis i.e. the premium paid will cover the applicant under this insurance scheme for one year. He can continue the insurance every year by paying premium up to the age of 59 years.
Benefits :
S.No Description Benefit Amount
1 Natural Death Rs. 60,000/-
2. Accidental Death 1,50,000/-
3 Permanent total disability due to accident. 1,50,000/-
4 Permanent partial disability due to accident 75,000/-

Additional Benefits :

In addition to above a worker enrolled under this scheme will also be entitled for educational grant of 1200/- per child per year two children studying in IX to XII th standard for a maximum period of 4 years under Shiksha Sahyog Yojana (SSY)

Premium :

Weaver's contribution Rs. 80/-
GOI contribution Rs.150/-
Contribution from Social Security Fund Rs.100/-
Total Premium Rs.330/-

Claim Procedure

In case of the death disability, nominee/beneficiary concerned shall submit his/her claim to the LIC through the Nodal Agency with required documentary evidence such as death certificate/post mortem examination report/medical certificate/discharge certificate and other related documents, as applicable. For application forms/claim forms/further details, please contact the following officers:


161,Hussainpura, G.T.Road, Amritsar.Ph:0183-2586430 & Fax No.0183-2586380.

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