CM calls weavers’ pride of AP, says GST to be borne by State Govt.
In a bid to proactively support the state’s handloom sector and assist weavers, the government of Andhra Pradesh has taken a slew of key decisions to boost this sector.
Addressing a recent review meeting with the Textile department, the Chief Minister, Mr N. Chandrababu Naidu, stressed how handloom weavers can be best supported and stated that handlooms are the most important sector after agriculture. The CM emphasized the need to stand by those who depend on it for their livelihoods.
He referred to issues brought to his attention during his recent visit to Jammalamadugu, where he interacted with members of a weaver family.
As a part of the decisions taken, 200 units of free electricity will be provided for handlooms and 500 units for power looms.
Our weavers are not just preserving the past; they are weaving the future of Andhra Pradesh. – CM, Naidu
Another major decision taken during the review was regarding GST on handloom fabrics.
The state government has agreed to fully bear the GST on handloom fabrics. The government will pay the GST levied on handloom products directly to the Centre. This decision also fulfills a promise made during the elections regarding GST relief on handloom goods.
Initially, this benefit will be applied to APCO and primary handloom cooperative societies. This, as per the government, will cost about Rs. 15 crores.
Officials explained that this move would revive the handloom sector, make products more affordable, boost sales, and ultimately benefit the weavers.
And, to increase savings habits among all weavers, through the “Thrift Fund” scheme, 8% from their wages plus another 8% from the government, totaling 16% fund will be deposited.
For the past few years, adequate funds could not be released due to budget constraints. So the state government has allocated Rs. 5 crores in the 2025-26 budget. If the pending arrears of Rs. 17.17 crores from 2017 to 2025 are released, weavers’ financial condition will improve, informed the government.
The state government has allocated Rs. 648.59 crores for the implementation of all these schemes.
This includes the electricity waiver, GST reimbursement, thrift fund, Netanna Nestam, and NTR Bharosa schemes. With all these measures, the handloom sector in the state is likely to strengthen further. With proper support from the government, weavers will be able to create modern designs and stand in the modern competitive world.
The National Handloom Day was observed on August 7th.
