GOVERNMENT OF ANDHRA PRADESH
ABSTRACT
Industries & Commerce Department – “Andhra Pradesh Textile, Apparel and
Garments Policy (4.0) 2024-29” – Orders – Issued.
INDUSTRIES & COMMERCE (Prog.II) DEPARTMENT
G.O.MS.No. 89 Dated: 11-12-2024
Read the following:
1) G.O.Ms.No.105, Industries & Commerce (Prog.II) Department,
Dt.12.09.2018.
2) From Commissioner of Handlooms & Textiles, A.P, e-file bearing
No.2640509.
***
ORDER:
In the G.O 1st read above, Government have introduced the “Textile, Apparel
and Garments Policy 2018-2023" to create an enabling ecosystem for establishment
of textile value added activities in the State of Andhra Pradesh. But operational
guidelines were not issued. Due to non-issuance of operational guidelines to the
Textile, Apparel and Garments Policy 2018-23, the policy could not be implemented.
2. In the reference, 2nd read above, as per the deliberations of the review meeting
of Industries & Commerce Department and after conducting required consultations
with the stakeholders, with an aim to bring Investor-friendly Industrial Policy and
Sector-Specific Policies with due focus on employment generation, the
Commissioner, Handlooms &Textiles has proposed a “Andhra Pradesh Textile,
Apparel and Garments Policy (4.0) 2024-29”.
3. The remarks of the Finance Department have been received vide e-file bearing
File No: COHT-20023/12/2024-l SEC-COHT (Computer No: 2640509), the Finance
Department have informed that the proposal for concurrence to the draft policy of
Andhra Pradesh Textile, Apparel and Garments Policy (4.0) 2024-29 is agreed and
the department is also advised to follow the Business Rules and place the proposal
before the Council of Ministers for their approval.
4. Government, after careful examination of the proposal, hereby introduce the
"Andhra Pradesh Textile, Apparel and Garments Policy (4.0) 2024-29". The detailed
policy document is appended at Annexure.
5. The policy will come into operation from date of issue of this order and shall
remain in force for five (5) years. Incentives mentioned in the Andhra Pradesh
Textile, Apparel and Garments Policy (4.0) 2024-29 will be extended to industries as
per guidelines to be notified by Commissioner of Industries separately.
(P.T.O)
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6. Government, further, after examination of the proposal, hereby give approval
to the Director of Industries to issue operating guidelines under the previous "AP
Textiles, Apparel & Garments Policy 2018-23", to enable the eligible industrial units
established and became operative during the policy period and till new policy 4.0
become operational, to claim their eligible incentives under the Policy 2018-23.
7. The Director of Industries, A.P, Mangalagiri, is requested to draft necessary
operating guidelines for this Policy.
8. This order is issued with the Concurrence of Finance Department, vide
U.O.No.FIN01-FMU0ASD(IC)/8/2024, Computer No.2460868.
(BY ORDER AND IN THE NAME OF THE GOVERNOR OF ANDHRA PRADESH)
N YUVARAJ
SECRETARY TO GOVERNMENT
To
The Director of Industries, A.P., Mangalagiri.
The Commissioner of Handlooms & Textiles, Mangalagiri, Guntur District.
The Vice Chairman & Managing Director, Andhra Pradesh Industrial Infrastructure
Corporation, Mangalagiri, Guntur.
The Commissioner of Handlooms and Textiles, Mangalagiri.
The Director of Mines and Geology, Ibrahimpatnam, Vijayawada.
The Managing Director, Andhra Pradesh State Financial Corporation, Tadepalli,
Guntur.
The Principal Finance Secretary, AP Secretariat, Velagapudi.
The Secretary to Government, Finance Department
The Secretary to Government, Social Welfare Department.
The Secretary to Government, Tribal Welfare Department
The Special Chief Secretary to Government, Revenue (CT/LA) Department.
The Special Chief Secretary to Government, Irrigation & CAD (Reforms)Department.
The Special Chief Secretary to Government, Energy Department.
The Special Chief Secretary to Government, EFS&T Department.
The Secretary to Government, l&l Department.
Copy to:
The LFB&IMS Department.
The Accountant General, Andhra Pradesh, Hyderabad
The Convener, State Level Banker's Committee.
The General Manager, Small Industry Development Bank of India, (SIDBI)
The Pay and Accounts Officer, Vijayawada.
The D.T.A, Mangalagiri
All the Secretariat Departments, Velagapudi.
All District Collectors through Director of Industries, Mangalagiri.
All Heads of Departments through Director of Industries, Mangalagiri.
All Departments of Secretariat, Velagapudi.
Contd…3
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All Govt. Companies/Corporations through Director of Industries,Mangalagiri.
The P.S. to Addl. Secretary to Chief Minister, Andhra Pradesh.
The P.S. to Chief Secretary to Government, Andhra Pradesh.
All Private Secretaries to the Ministers.
All General Managers, District Industries Centre in the State through the Director of
Industries, Mangalagiri.
All Sections in the Department.
SF/SC(C.No:2640509).
//FORWARDED BY ORDER//
SECTION OFFICER
ANNEXURE
(Annexure to G.O.Ms.No.89 , Industries and Commerce (Programme-II)
Department, Dt:11.12.2024.)
Andhra Pradesh Textile, Apparel
and Garments Policy (4.0) 2024-29
DEPARTMENT OF INDUSTRIES & COMMERCE
GOVERNMENT OF ANDHRA PRADESH
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Contents
1. Preamble ............................................................................................................... 3
1.1. Indian Textiles Landscape ............................................................................................... 3
1.2. Andhra Pradesh Textiles Landscape ............................................................................ 4
1.3. Need for a Revised Policy................................................................................................ 4
2. Objectives ............................................................................................................. 5
3. Targets of the Policy ............................................................................................ 6
4. Policy Period & Applicability ............................................................................... 6
5. Financial Incentives ............................................................................................. 7
5.1 Categorization of Investment Bands .............................................................................. 7
5.2 Incentives and concessions for MSMEs ........................................................................ 8
5.3 Incentives and Concessions for Sub-Large & Large Units ....................................... 11
5.4 Other Incentives ............................................................................................................... 14
6. Tailor-made Incentives ...................................................................................... 14
7. Support to Research institutes ......................................................................... 15
8. Policy Implementation ....................................................................................... 15
8.1 State Investment Promotion Board (SIPB) .................................................................. 15
8.2 State Investment Promotion Committee (SIPC) ......................................................... 15
9. Operational Guidelines ...................................................................................... 16
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1. Preamble
1.1. Indian Textiles Landscape
The textile sector is a key driver of India's economic growth, contributing significantly
to both domestic and international markets. In Financial Year 2022-23, the sector
accounted for 10% of the manufacturing Gross Value Added (GVA), i.e., ₹3.77 lakh
crore. The Indian textiles and apparel (T&A) market has grown steadily, rising from
USD 50 billion in 2010-11 to USD 138 billion in 2023-24, achieving a Compound
Annual Growth Rate (CAGR) of 8%.
India is the second-largest clothing manufacturer globally and ranks among
the top five textile exporters. The success of the Indian textile industry is
underpinned by the availability of abundant raw materials, sufficient
workforce, and relatively low production costs. The sector is also one of the
largest sources of employment in the country, directly providing jobs to over
4.5 crore people.
The consumption of textiles in India is led by the household sector, which
accounts for 64% of total demand, followed by the non-household sector
(institutional, industrial, and technical textiles) at 14.8%, and the export market
at 21%. The industry is highly versatile, producing a wide variety of products
tailored to different market segments, both domestically and internationally.
In terms of exports, the textile sector is a major contributor, accounting for
about 8% of the total exports. Apparel exports alone make up around 40% of
the country’s textile exports. In FY 2023-24, India’s total textile exports stood
at USD 34.8 billion.
Structurally, the majority of India’s textile processing units operate independently,
though some are integrated with spinning, weaving, or knitting units. The garment
manufacturing sector remains highly decentralized, with much of the production
outsourced to small-scale fabricators and contract manufacturers. Micro, Small, and
Medium Enterprises (MSMEs) dominate the industry, accounting for over 80% of
production capacity. Given the relatively small average scale of operations, the
sector presents immense growth potential.
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1.2. Andhra Pradesh Textiles Landscape
The State is blessed with abundant raw material. It is the 6 th largest cotton-producing
state in India, with a production of 15.41 lakh bales in 2022-23, offering substantial
opportunities for value addition within the state. As per the latest estimates, there are
around 106 spinning mills with approximately 3 lakh spindles and 12,635 power loom
units in operation.
With the established ITI institutes, two government polytechnic colleges, and
private engineering colleges offering courses in Textiles Technology &
Technical Textiles, the states have a readily available workforce. The
Government has Skilling centres in Vizag and Raydurg to meet the industry
needs.
The Government of Andhra Pradesh has established 7 dedicated textile parks
and there are about 5 private textile parks. Brandix India Apparel City, with its
integrated textile units across the value chain, is a major success story not
just in Andhra Pradesh, but across the textile sector in India. Additionally, the
Government of Andhra Pradesh is keen on further developing the Venkatagiri
Textile Park and Chirala Handloom & Textile Park and supporting upcoming
private industrial parks as well.
The state has a well-established ginning and spinning infrastructure and is
recognized as a major cotton producer. Key districts such as NTR, Krishna,
and Palnadu district, have a range of textile-based industries, including
modern textile weaving, and spinning mills. Many garment units have been
established in Anantapur, Satya Sai district in recent years, making them a
hub for garment units in Andhra Pradesh.
Despite this strong base, the weaving, processing, and garmenting segments
are underdeveloped in the state. This has resulted in significant exports of yarn and
grey fabric, causing value migration from the state to other regions. Furthermore, the
apparel and garmenting units in Andhra Pradesh are compelled to import processed
and finished fabric, leading to higher raw material costs due to logistical expenses,
productivity losses from delays, and other associated challenges.
1.3. Need for a Revised Policy
Since 2014, as per the preliminary estimates, more than 848 units have been
established, commenced production with a total investment of over ₹13,617 crore,
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generating employment for 1,05,225 people.
However, there has been limited progress in value-added textile activities
such as weaving, knitting, preparatory, processing, technical textiles, and
integrated units. These segments hold significant potential not only for value
addition but also for generating large-scale employment. To ensure the
conversion of the entire yarn produced in the state into fabric and prevent
value migration, a focused approach is needed. The state aims to create
large-scale employment, with the least amount of ecological and carbon
footprint.
This necessitates a policy framework that promotes key components of the
textile value chain, integrated textile units, and technical textiles. In response,
the Government of Andhra Pradesh is bringing a revised Textile, Apparel, and
Garment Policy to address these gaps and foster comprehensive growth in
the sector.
Accordingly, the state of Andhra Pradesh is instituting the “Andhra Pradesh
Textile, Apparel and Garments Policy (AP TAG) 4.0 2024-29” to attract investments
focused on weaving, knitting, processing, garmenting, apparel making, integrated
units, and technical textiles etc., with special emphasis on value addition,
employment generation and environment protection.
2. Objectives
This policy has the following objectives:
a) To create a conducive policy environment for establishing value-addition
activities like weaving, knitting, preparatory, processing, technical textiles,
and integrated units, so as to complete the entire textile value chain from
farm to fabric, within the state and prevent the value migration.
b) To nudge the sector towards the sunrise segment of Technical Textiles
c) To promote the State as a major destination for global textile brands
d) To promote sustainable development with the least impact on
the environment and achieve circularity in the textiles sector
e) To help scale up MSMEs, move up the value chain and create global
brands.
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3. Targets of the Policy
The policy in the five-year implementation period intends to achieve the following
targets with respect to the growth of the Textiles sector:
I. Attracting new investment to the tune of INR 10,000 Crores in
the sector
II. Achieve generation of more than 2 Lakh direct and indirect
employment
III. Increasing textiles export from the state to USD 1 Bn
IV. End-to-end textile processing & manufacturing within the state
4. Policy Period & Applicability
a. The policy will be valid for 5 years from the date of issue of Government Order
(GO) or till a new policy is announced, whichever is later. The policy may be
amended and modified during implementation; however, all such amendments
and modifications shall be applied prospectively and shall not curtail any benefit
or concession already granted under the policy.
b. This policy shall be applicable to the following categories of enterprise(s) and
investment(s) in textiles, apparel, garment and related activities:
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i. New and existing enterprises investing and establishing new units.
ii. Existing enterprises investing in the expansion/upgradation of units.
The enterprise needs to obtain Consent for Operation (CFO) approval and also
commence commercial production during the operative period of the Policy, unless
otherwise exempted through a G.O., to be eligible to claim incentives under this
policy.
5. Financial Incentives
a. The incentives offered to textile industries under this policy have been carefully
crafted keeping cognizance of industry needs. As a broader strategy, the state is
moving beyond Ease of Doing Business and aiming to facilitate Speed of Doing
Business.
b. Under AP TAG 4.0 policy, the incentive structure has been kept simple and yet
competitive for units to apply and claim incentives.
5.1 Categorization of Investment Bands
Investors have been differentiated based on Investments made in the state as under
1. Micro, Small and Medium Enterprises (MSMEs) refer to Industry/enterprise in
which investment and turnover are as defined by the Government of India from
time to time.
Micro Small Medium
Investment in Plant and Investment in Plant and Investment in Plant and
Machinery or Equipment: Machinery or Equipment: Machinery or Equipment:
Not more than Rs.1 crore Not more than Rs.10 crore Not more than Rs.50 crore
and and and
Annual Turnover not Annual Turnover not more Annual Turnover not more
more than Rs. 5 crores than Rs. 50 crores than Rs. 250 crores
2. Sub-Large Projects refer to projects with investment above Rs.50 crores and
not exceeding 100 crores.
3. Large Projects refer to projects with Investment above Rs.100 crores and not
exceeding Rs. 200 crores.
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4. Mega Projects refer to projects with Investment above Rs.200 crores.
5. Eligible Fixed Capital Investment – means investment made in Land, Building,
Plant, Machinery and Equipment. In case of Sub Large and Above investments,
Land cost is excluded. The definition of eFCI shall be considered for the purpose
of Incentive calculation.
5.2 Incentives and concessions for MSMEs
Following financial incentives are applicable for MSME enterprises.
1. Investment Subsidy
a) Quantum of incentive that can be claimed by MSME enterprises in the form of
Investment subsidy is tabulated below
Category General Category Special Category
Micro 30% of eFCI (Cap - Rs. 3 Cr) 45% of eFCI (Cap - Rs. 3 Cr)
Small 30% of eFCI (Cap - Rs. 3 Cr) 45% of eFCI (Cap - Rs. 3 Cr)
Medium 30% of eFCI (Cap - Rs.10 Cr) 45% of eFCI (Cap - Rs.10 Cr)
Value Added
40% of eFCI (Cap – Rs. 20 Cr) 55% of eFCI (Cap – Rs. 20 Cr)
activity
eFCI – eligible FCI
b) For Value added manufacturing activities the investment subsidy shall be 40%
of eFCI for all MSMEs.
c) An additional subsidy of 15% of eFCI is applicable for enterprises owned by
women, BC, SC, ST, Minorities, specially abled and transgender investors
having domicile in AP.
d) The subsidy is applicable for new enterprises only.
e) The approved Incentives shall be disbursed in 2 equal instalments for Micro-
enterprises, 3 equal instalments for Small Enterprises and 4 equal instalments
for Medium Enterprises, from the date of commercial production.
2. Technology Upgradation Subsidy
a) For the purpose of upgrading equipment or expansion/diversification by an
existing enterprise, the policy is extending Technology Upgradation Subsidy.
b) Quantum of incentive that can be claimed by MSME enterprises in the form of
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Technology upgradation is tabulated below.
Category General Category Special Category
Micro 30% of eFCI (Cap - Rs. 2 Cr) 45% of eFCI (Cap - Rs. 2 Cr)
Small 30% of eFCI (Cap - Rs. 2 Cr) 45% of eFCI (Cap - Rs. 2 Cr)
Medium 30% of eFCI (Cap - Rs.7.5 Cr) 45% of eFCI (Cap - Rs.7.5 Cr)
c) An additional subsidy of 15% of FCI is applicable for enterprises owned by
women, BC, SC, ST, Minorities, specially abled and transgender investors
having domicile in AP.
d) The subsidy is applicable for existing enterprises only for the purpose of
technology upgradation or expansion or diversification of the unit.
e) The approved Incentives shall be disbursed in 2 equal instalments for Micro-
enterprises, 3 equal instalments for Small Enterprises and 4 equal instalments
for Medium Enterprises, from the date of commercial production.
3. Support for energy/water audits and green tech adoption
a) To encourage MSMEs move towards more cleaner production measures,
government is incentivizing units to get water and energy audits, for effective
utilization of power and water sources.
b) Quantum of incentive that can be claimed by MSME enterprises in the form of
Energy/Water cost subsidy is tabulated below
Type of Micro Enterprises Small Enterprises Medium Enterprises
Support
1. 75% of cost of 1. 75% of cost of 1. 75% of cost of
Energy &
Water audit, Water audit, Water audit,
Water capped at INR 1 capped at INR 1 capped at INR 1
Audit Lakh Lakh Lakh
Cost 2. 75% of cost of 2. 75% of cost of 2. 75% of cost of
energy audit, energy audit, energy audit,
capped at INR 2 capped at INR 2 capped at INR 2
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Type of Micro Enterprises Small Enterprises Medium Enterprises
Support
Lakhs, during Lakhs, during Lakhs, during policy
policy period. policy period. period.
3. 25% of cost of 3. 25% of cost of 3. 25% of cost of
equipment as per equipment as per equipment as per
auditing, Capped auditing, Capped at auditing, Capped at
at INR 20 Lakhs INR 40 Lakhs INR 50 Lakhs
4. Power Cost Reimbursement
a) MSME enterprises shall be able to claim power cost subsidy at INR 2 per unit
with maximum caps as tabulated below.
Category Subsidy Time-Period
Micro Rs. 2 per unit (Cap- Rs. 2 Lakhs) For Six (6) Years from DCP
Small Rs. 2 per unit (Cap- Rs. 10 Lakhs) For Six (6) Years from DCP
Medium Rs. 2 per unit (Cap- Rs. 30 Lakhs) For Six (6) Years from DCP
5. Electricity Duty Exemption
a) MSME enterprises shall be eligible for 50% exemption on electricity duty cost
for 6 years from the DCP.
6. Skill Upgradation Cost
a) To enable enterprises to achieve product perfection, it is important for MSMEs
to encourage their workforce get trained on latest equipment and
manufacturing processes.
b) MSMEs shall be made eligible to claim skill upgradation incentive as tabulated
below:
Category Skill Upgradation Cost
Micro INR 5,000 per person for a maximum of 10 persons
Small INR 10,000 per person for a maximum of 20 persons
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100% of Employer contribution to EPF, capped at INR 1 Lakh
Medium
per annum, for 3 years
7. Quality certification Assistance
a) MSMEs will be encouraged to avail quality certification assistance under
various GoI schemes. Any balance amount not exceeding the matching
amount of GoI assistance, incurred for obtaining any quality certifications by
the enterprise shall be reimbursed.
8. Local Procurement Subsidy
a) To encourage domestic sourcing of raw material and to incentivize exporting
units, policy is extending local procurement subsidy.
b) Export units in textiles sector registered in the state, with minimum 60% of
input requirement met through domestically sourced raw material, shall be
eligible to avail the incentive.
c) Quantum of incentive eligible for MSMEs under local procurement subsidy is
tabulated below.
Category Subsidy
1% of annual turnover for 3 years during the policy period, with an
Micro
overall cap of Rs. 15 Lakhs.
1% of annual turnover for 3 years during the policy period, with an
Small
overall cap of Rs. 1.5 Crores.
1% of annual turnover for 3 years during the policy period, with an
Medium
overall cap of Rs. 7 Crores.
5.3 Incentives and Concessions for Sub-Large & Large Units
1. Investment Subsidy
a) New/Expansion/Diversification projects will be able to avail investment
subsidy on the eligible Fixed Capital Investment (eFCI) as per the limits
indicated below:
Category General Category Special Category
Sub-Large 20% of eFCI (Cap - Rs 20 Cr) 25% of eFCI (Cap - Rs 20 Cr)
Large 25% of eFCI (Cap - Rs 50 Cr) 30% of eFCI (Cap - Rs 50 Cr)
b) An additional subsidy of 5% of FCI for Large & Sub-Large units, is applicable
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for enterprises owned by women, BC, SC, ST, Specially abled, Minority or
transgender investors domiciled in AP.
c) The Incentive shall be disbursed in 4 equal instalments for sub-large
enterprises and 5 equal annual instalments for Large Enterprises from the
date of commercial production (DCP).
2. Early Bird Incentive
a) The Manufacturers are eligible to avail incentive under early Brid scheme of
AP Industrial Development Policy 4.0, provided all conditions to qualify as an
early bird applicant under AP IDP 4.0 are met.
b) Weaving, Processing, Garments, Technical textiles will qualify as Category II
projects under early bird scheme of AP IDP 4.0.
c) Under the Early Bird scheme of IDP 4.0, first 200 early applicants (across all
sectors) obtaining CFE within 18 months from effective date of the policy,
shall be eligible to claim investment subsidy of 30% of eFCI and for category
II projects receiving CFE within 24 months shall be eligible for 40% of eFCI.
d) The investment subsidy availed through early bird subsidy of AP IDP 4.0, if
applicable, shall override the investment subsidy under AP TAG 4.0 Policy.
3. Top-up on PLI-approved applicants from the Government of India
a) This incentive is in addition to the investment subsidy, applicable only for
those projects that received GoI approval under the PLI scheme or any other
GoI scheme notified by the state from time to time.
b) The state government will give 10% of the incentives sanctioned under the
GoI Scheme, capped at a maximum of 5% of FCI in the state.
c) The incentive is eligible only to the extent of investment committed to GoI and
proportionate FCI made in AP.
d) Incentives shall be disbursed in 5 equal annual instalments from the DCP.
4. Capital Subsidy for De-carbonization Measures
a) Investment made towards projects that contribute to clean production, waste
reduction, energy efficient, green energy and safety measures for captive use,
will qualify under de-carbonization measures.
b) Quantum of incentive under de-carbonization subsidy shall be as under
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Non-Red category Red category Maximum
# Category (Incentive as % of (Incentive as % of incentive
eligible project cost) eligible project cost) (% of FCI)
1 Sub- Large 10% 15%
6%
2 Large 20% 25%
c) The project cost shown under de-carbonization investment shall not exceed
6% of total FCI.
5. Employment-based Incentive
a) To incentivize higher employment creation, policy extends additional benefit in
the form of employment subsidy.
b) Quantum of Employment subsidy shall be based on the E/I ratio, where “E” is
Employment created & “I” is investment made in INR Cr. The employment
subsidy for various E/I ratios is tabulated below.
Employment to Investment (E/I) ratio Eligible incentive (% of FCI)
5 and above 10% of FCI
> = 3 and < 5 9% of FCI
> = 1 and < 3 8% of FCI
Less than 1 NIL
c) The eligible incentive will be disbursed in equal annual instalments of 5 years
from DCP.
6. Power Cost Reimbursement
a) Sub Large and above category enterprises shall be able to claim power cost
subsidy at INR 2 per unit for 6 years from DCP, limited to maximum incentive
as tabulated below.
Category Subsidy Time-Period
Sub-Large Rs. 2 per unit (Cap- INR 1 Cr) For Six (6) Years from DCP
Large Rs. 2 per unit (Cap- INR 2 Cr) For Six (6) Years from DCP
7. Electricity Duty Exemption
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1. Sub-Large and Large category enterprises shall be eligible for 50% exemption
on electricity duty cost for 6 years from the DCP.
8. Local Procurement Subsidy
1. To encourage domestic sourcing of raw materials, for Sub-Lage & Large
exporting units, registered in the state, the government will reimburse 1% of
annual turnover, accumulated over the financial year, with a Cap of INR 2 Cr
per annum.
2. The incentive is applicable for all exporting units in textile sector. However,
export contribution in turnover during the year of incentive claim should be
more than 60%.
3. Of the total inputs procured by the enterprise, more than 60% of the inputs
should be domestic sourced for becoming eligible for Local Procurement
subsidy.
4. The incentive can be claimed annually for 3 years from the date of
commercial production or within the policy period whichever is earlier.
5.4 Other Incentives
1. Stamp Duty reimbursement
1. 100% stamp duty and transfer duty paid by the industry on purchase of land
meant for industrial use will be reimbursed.
2. 100% stamp duty for lease of land/shed/buildings, mortgages and
hypothecations will be reimbursed.
3. Stamp duty will be reimbursed only one time on the land. Stamp duty will not
be reimbursed on subsequent transactions on the same land.
2. Land conversion charges
100% fee charged for land conversion will be reimbursed.
3. Revival of sick units
1. Government will investigate sick enterprises and on case-to-case basis will
extend support and take measures for reviving of the sick units.
6. Tailor-made Incentives
The Government will extend tailor-made incentives to Projects with an investment of
more than Rs. 200 crores on a case-to-case basis based on the pioneering nature of
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the project, value addition, strategic importance, the project’s importance to the
state’s textile sector growth and its ability to generate large-scale employment.
7. Support to Research institutes
The Government will support the establishment of Textile, Apparel and Garments
Technology and Research Institutes in the state in coordination with leading
educational/research institutions as well as industry, with appropriate financial,
infrastructure and other support mechanism, dovetailing with Government of India
schemes, wherever applicable.
8. Policy Implementation
8.1 State Investment Promotion Board (SIPB)
For creating an enabling structure to expedite decision making pertaining to
industrial projects, SIPB has been constituted with the Chief Minister as the
Chairman and the Chief Secretary to the Government as Member Convener. The
SIPB shall meet once a month for taking final decision on investments/promotion
activities and for approval of Mega projects.
8.2 State Investment Promotion Committee (SIPC)
SIPC chaired by the Chief Secretary to the Government and convened by
Commissioner Industries shall meet every month to monitor and review the following:
1. Performance of single desk system
2. Policy issues relating to investment facilitation and project grounding
3. Implementation of all large/mega ongoing projects
4. Screening of all mega project proposals
5. Scrutiny of all issues/proposals which may merit consideration of the SIPB
6. Any other issue governing industrial environment proposed by
Commissioner Industries
On case-to-case basis, SIPC shall advice SIPB on any changes, amendments,
recommendations for tailor made incentives for eligible investment proposals.
However, the final decision to approve any change will rest with SIPB.
On case-to-case basis, SIPC shall advice SIPB on any changes, amendments.
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9. Operational Guidelines
The Department of Industries will release detailed operational guidelines for the AP
Textile, Apparel & Garments Policy 4.0, which will be in effect from December 2024
to 2029.
Separate operating guidelines will also be issued for industries eligible for incentives
under the previous policy AP Textile, Apparel & Garments Policy 2018-23, to enable
units established and became operative during the policy period (2018-23) to claim
the incentives.
N YUVARAJ
SECRETARY TO GOVERNMENT
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