The Scheme For Waiver Of Loans To Handloom And Powerloom Sector is an initiative by the Industries and Commerce Department of the Government of Andhra Pradesh. This loan waiver scheme is designed to redeem the debt accrued by farmers, self-help groups, and weavers—including those operating power loom units below 5 HP—by Scheduled Commercial Banks, Cooperative Banks, Urban Cooperative Banks, and Regional Rural Banks (RRBs) within the state. In addition to debt redemption, the scheme suggests measures to enhance livelihood opportunities and overall prosperity for the weaving community.
Benefits
- Debt Redemption:
- Waives off eligible loan amounts, easing the financial burden on individual weavers and weaver groups.
- Renewed Financial Support:
- Post-waiver, beneficiaries can access new loans to support further weaving activities.
- Enhanced Livelihood Opportunities:
- The scheme is part of a broader strategy to improve the socio-economic conditions of the handloom and powerloom sectors.
Eligibility
The scheme covers loans disbursed for weaving purposes that were outstanding as of 31.03.2014. Eligible borrowers include:
- Individual Weavers:
- Those who have directly availed loans for weaving purposes.
- Weaver Groups:
- Groups where loans are taken on a pro-rata basis, with the aggregate amount subject to the overall ceiling.
- Credit Card Holders:
- Holders of Weaver Credit Cards.
- Power Loom Operators:
- Weavers with power loom units below 5 HP who are availing the 50% power subsidy scheme.
Note: The total loan amount across all banks for an individual must not exceed the prescribed ceiling. Additionally, to prevent dual benefits, any member of a Weaver Group who has already availed debt redemption under DWACRA/MEPMA or SHG schemes is ineligible.
Application Process
Online Process
- Identification of Beneficiaries:
- The Assistant Director (H&T) obtains a list of potential beneficiaries from the banks.
- A meeting of the District Level Committee (DLC) is convened with the approval of the District Collector, in coordination with the Local District Manager (LDM) of the concerned district.
- Timeframe: Within 7 days after scrutiny by the bankers and Handlooms & Textiles Department officers.
- Disbursal of Benefits:
- The DLC scrutinizes the beneficiary list for genuineness.
- Once approved, the list is forwarded to the Commissioner of Handlooms and Textiles, who releases the waiver funds directly to the respective banks from a central account.
- Timeframe: Within 7 days following the DLC’s scrutiny.
- Noting of Benefits:
- The details of the waived loans are recorded in the Loan Pass Books or Weaver Credit Cards on the day the benefit is released.
- Grievance Redressal:
- Any aggrieved weaver may make a representation through the bank branch or directly to the Grievance Redressing Officer of the lending institution.
- Timeframe: All grievances are to be resolved within 30 days of receipt.
Documents Required
- Domicile/Residential Certificate or other Proof of Address.
- Income Certificate.
- Aadhaar Card.
- Passport-size Photograph.
- Loan Statement.
- Land Documents.
- Sanction Letter issued by the bank.
- Bank Account Details.
Frequently Asked Questions
Q1: When was the Government Order for the Scheme Guidelines first issued?
A1: Please refer to the official guidelines for the exact issuance date.
Q2: What are the objectives of this scheme?
A2: The scheme aims to redeem the debt of farmers, self-help groups, and weavers, thereby alleviating their financial burden and increasing livelihood opportunities.
Q3: Does this scheme have a special focus on a particular type of loan?
A3: Yes, it focuses on loans taken for weaving purposes, including individual weaver loans, group loans, and loans for power loom units below 5 HP.
Q4: Are loans taken from RRBs also included under this scheme?
A4: Yes, loans from Regional Rural Banks (RRBs) are included.
Q5: Are loans taken from banks outside Andhra Pradesh eligible?
A5: No, only loans from banks operating within the state of Andhra Pradesh are eligible.
Q6: Are individual weavers covered under this scheme?
A6: Yes, individual weavers who have directly availed loans for weaving purposes are eligible.
Q7: What is the upper ceiling prescribed for an individual weaver?
A7: The maximum loan waiver for an individual weaver is ₹1,00,000.
Q8: What is the upper ceiling prescribed for weaver groups?
A8: The total waiver for a weaver group is capped at ₹5,00,000, with each member’s eligibility limited to ₹1,00,000.
Q9: How will the eligible beneficiaries be identified for this scheme?
A9: Beneficiaries are identified by the Assistant Director (H&T) through a review of loan records from banks, followed by scrutiny by the District Level Committee.
Q10: How is the waiver amount provided to individual beneficiaries?
A10: The waived loan amount is credited directly to the banks, and the benefit is recorded in the beneficiary’s Loan Pass Book or Weaver Credit Card.
Q11: How is the waiver amount provided for weaver groups?
A11: For groups, the total waiver is apportioned on a pro-rata basis, subject to the individual ceiling of ₹1,00,000 per member.
Q12: Can I find the Telugu translation of the scheme guidelines?
A12: Yes, the official guidelines include a Telugu translation.
Q13: Is there an income cap for applicants? For example, can I apply if my family income exceeds ₹8,00,000?
A13: Applicants must adhere to the income criteria specified in the guidelines; please consult the official documentation for details.
Q14: Are there any age-related criteria for this scheme?
A14: There are no specific age-related criteria mentioned; the focus is on loan redemption for weaving purposes.
Q15: Can a domicile of Telangana also apply for this scheme?
A15: No, the scheme is applicable only to beneficiaries in Andhra Pradesh.
Q16: Is this scheme state-sponsored or centrally sponsored?
A16: The scheme is a state initiative sponsored by the Government of Andhra Pradesh through its Industries and Commerce Department.
Q17: Where can I find the link to the scheme guidelines?
A17: The scheme guidelines are available on the official website of the Industries and Commerce Department, Government of Andhra Pradesh.