India Budget FY25: Funds for textile sector up 27.6% to ₹4,392 cr

01 Feb '24

2 min read

Nirmala Sitharaman with ministers of state for finance Pankaj Chaudhary and Dr Bhagwat Kishanrao Karad at the Parliament House. Pic: PIB

Insights

Indian government has raised the budget allocation by 27.60 per cent to ₹4,392.85 crore for FY25, with a significant focus on the textile sector.
Research and capacity building in textiles have nearly doubled to ₹646 crore, and various textile schemes have received increased funding.
The budget breakdown includes ₹4,373.70 crore for revenue expenditure.

Indian finance minister Nirmala Sitharaman has increased the budget allocation by 27.60 per cent to ₹4,392.85 crore for the next fiscal 2024-25. More funds have been allocated for various textile schemes and programmes. The budget for research and capacity building in the textile sector has almost been doubled to ₹646 crore for the next fiscal from ₹380.50 crore in the current fiscal.

According to the budget proposals submitted by the finance minister in the Parliament, the government has allocated ₹4,373.70 crore for revenue expenditure and ₹19.15 crore for capital expenditure in the coming fiscal. The revised revenue and capital expenditure were ₹3,424.53 crore and ₹18.56 crore for the current fiscal, totalling the amount to ₹3,443.09 crore.

The Indian government has given tremendous focus to research and capacity building in the sector. It has increased the budget for R&D in textiles, the National Institute of Fashion Technology (NIFT), the National Technical Textile Mission, and textile cluster development schemes. The total budget for research and capacity building has increased by 70 per cent to ₹646 crore for the next fiscal from ₹380.50 crore in the current fiscal.

Sitharaman has also multiplied the budget allocation for the PM-MITRA scheme. Its budget has increased to ₹300 crore from ₹52.30 crore. The budget allocation for the National Handloom Development Programme has increased to ₹200 crore from ₹190 crore, and the National Handicraft Development Programme has been allocated ₹236 crore, up from ₹171.19 crore for the next fiscal year. Out of this, the budget for the Handicraft Cluster Development Program-Handicraft has increased to ₹30 crore from ₹15.70 crore.

Fibre2Fashion News Desk (KUL)

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