Paper mills propose to get subsidy like textile industry

With the view of growth and expansion, TUFS (Technology Up gradation Fund Scheme) has given support to the textile industry to gain subsidy for buying technical equipments such as advanced machinery and tools for better production and manufacturing and overall all performance of the companies dealing with the sector. This scheme is being implemented under strict control of textile ministry. Modernization and development is the main objective.

Similar objective is being proposed by the paper industry. A proposal for the grant of subsidy has been given by the department of industrial policy and promotion. Idea behind this proposal is similar to that of the former (textile industry) that adequate funds should be allotted to the paper mills to facilitate them the act of buying equipments. To improve the efficiency in working and productivity of the companies dealing with the industry is the purpose behind. Paper sector is worth Rs 25,000crores and feeds up to 55, 00, 000 employment needs of the country both in direct and indirect ways. Process of finalization is likely to get through by 2010-2011. Quantum of subsidy by the government that it is required to bear on loan is still being finalized by the concerned department. DIPP is focusing over objective of sorting the raw material. It has been proposed that the forest land should be cultivated for growing agro based raw material while maintaining ecological balance.