UP Textile & Garmenting Interest Subsidy

Reimbursement of 60% of annual interest paid on plant and machinery loans for textile and garmenting units in Uttar Pradesh, up to ₹1.5 crore per annum.

The Interest Subsidy on Plant and Machinery program is a pivotal incentive under the Uttar Pradesh Textile and Garmenting Policy 2022. This comprehensive scheme is designed to invigorate and modernize the textile and garment manufacturing sector throughout Uttar Pradesh by significantly alleviating the financial burden on units that undertake substantial capital investments. It specifically targets businesses seeking to purchase advanced plant and machinery, provided these investments are financed through loans from commercial banks and recognized financial institutions. By subsidizing a substantial portion of the annual interest paid on these eligible loans, the policy actively encourages technological upgradation, expansion of production capacities, and enhancement of overall competitiveness within the sector. This strategic support aims to foster robust industrial growth, create employment opportunities, and establish Uttar Pradesh as a leading hub for textile and garment manufacturing in India.