Union Textiles Secretary, Rashmi Verma said that the Ministry of Textiles has set a target of extending MUDRA loans to five lakh handloom weavers in the next three years, as per the government release.
The government is paying special attention to skill upgradation of weavers, loom upgradation, ensuring availability of good quality raw material, providing better access to credit and branding of good quality handloom products, added the release.
The Minister added that the government has formulated a new model under MUDRA scheme for providing credit to handloom sector.
The new model combines elements of concessional credit such as margin money, interest subvention and credit guarantee cover.
Moreover, the Ministry of Textiles has requested every state and UT to prepare a three-year action plan to achieve the five lakh target. The plan would cover all handloom clusters, with the aim of extending MUDRA loans to all eligible, willing, non-defaulting handloom weavers.