Gujarat Textile Policy: Assistance to SHG for Job Work (Fiscal Incentives to Labour Intensive Unit)Scheme StatusScheme Status

The “Gujarat Textile Policy” is an umbrella scheme launched by the Industries and Mines Department, Gujarat. Effective from October 1, 2024, to September 29, 2029, the policy aims to boost investments across the textile value chain—particularly in garments, apparel, and technical textiles—while promoting green growth and reducing the carbon footprint.
Under this, the component “Assistance to SHG for Job Work” provides financial incentives to Self-Help Groups (SHGs), specifically encouraging women-led participation in textile-related job work activities for industrial units.

Benefits

  • Training Assistance: ₹5,000/- per month per member for 3 months
  • Payroll Assistance: 25% of job work value turnover, limited to ₹5,000/- per month per member for up to 5 years

Eligibility

  • SHG must consist of at least 25 female members

  • Assistance is applicable only to female workers of the SHG

  • The associated industrial unit must pay ₹5,000/- per month per female worker, in addition to job work charges

  • SHG must be engaged in job work for industrial units

Exclusions

  • SHGs independently engaged in manufacturing (not doing job work) as defined under the resolution are not eligible for assistance under this component

Application Process

Offline Registration:
Step 1: Apply to the Industries Commissioner in the prescribed format within one year of loan disbursement, production start, or policy operative date (whichever is later)
Step 2: After document scrutiny and verification, a registration certificate will be issued by the Industries Commissioner

Application for Provisional/Final Eligibility Certificate (Post-DoCP):

  • MSME (GFCI up to ₹10 Cr): Apply to General Manager, District Industries Center

  • MSME (GFCI above ₹10 Cr to ₹50 Cr): Apply to MSME Commissioner

  • Other than MSMEs: Apply to Industries Commissioner within one year from DoCP or registration certificate issuance

Contact Us
Industries Commissionerate
District Industries Center

Documents Required

  • Industrial registration certificate and IEM, if applicable

  • Land possession documents with NA permission or lease deed; for GIDC plots, possession letter

  • Consent to Establish from GPCB (if applicable)

  • Detailed Project Report including executive summary, background, business details, land/shed info, manpower, raw material procurement, TEV analysis, and financials

  • Term loan sanction letter

  • Board Resolution / Authority Letter / Power of Attorney

  • PAN Card (Enterprise and Authorized Person)

  • GST registration with attachments

  • First sale bill (if commercial production has started)

  • Audit report (for expansion projects)

Frequently Asked Questions

Q: What is the “Gujarat Textile Policy”?
It is a government initiative aimed at promoting investment, sustainability, and competitiveness in Gujarat’s textile sector.

Q: What is the operative period of the “Gujarat Textile Policy”?
From October 1, 2024, to September 29, 2029.

Q: How does the policy contribute to employment generation?
By supporting labour-intensive units and incentivizing SHGs for job work, especially female employment.

Q: What incentives are provided under the policy?
Training assistance, payroll incentives, and support for job work through SHGs.

Q: What is the objective of the “Assistance to SHG for Job Work” component?
To financially support SHGs performing job work for industrial units and promote female workforce participation.

Q: What is the maximum payroll assistance an SHG member can receive under this scheme?
₹5,000 per month for a maximum period of 5 years.

Q: Is training assistance available under this scheme?
Yes, ₹5,000 per month per member for a 3-month period.

Q: Are SHGs engaged in manufacturing eligible for this scheme?
No, only SHGs engaged in job work are eligible. Manufacturing SHGs are excluded.

Q: What will happen if the industrial unit does not pay ₹5,000 per month per female worker?
The SHG may become ineligible to claim payroll assistance under the scheme.

Q: Can male members of an SHG receive financial assistance under this scheme?
No, the scheme is applicable only to female members of the SHG.

Q: Can an SHG receive both training assistance and payroll assistance?
Yes, both benefits can be availed as per scheme guidelines.

Q: Can an SHG with fewer than 25 female members apply for the scheme?
No, a minimum of 25 female members is mandatory for eligibility.

Sources and References

Guidelines

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