SGCCI Pushes for Rs.500 Crore Subsidy Clearance for Textile Entrepreneurs Before Diwali
In its written representation, SGCCI highlighted the urgent need for clearance before Diwali, stressing that such a step would provide much-needed relief to industrialists battling tight liquidity.
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Surat | Gujarat — In a significant move just ahead of the festive season, the Southern Gujarat Chamber of Commerce and Industry (SGCCI) has pressed the Gujarat Industries Commissioner to urgently allocate nearly ₹500 crore worth of pending claims under the Gujarat Scheme for Assistance to Specific Sectors of Textile Value Chain – 2019.
The Chamber stated that the claims, already approved under the scheme, have been awaiting disbursement for months, leaving hundreds of textile entrepreneurs in limbo. In its written representation, SGCCI highlighted the urgent need for clearance before Diwali, stressing that such a step would provide much-needed relief to industrialists battling tight liquidity.
SGCCI President Nikhil Madrasi voiced the concerns of the sector, saying, “Every year before Diwali, the Industries Department clears the backlog of subsidy files under various industrial policies. But this time, no allocation has been made for claims approved after February 2025. The outstanding claims amount to nearly ₹500 crore. Clearing these subsidies before Diwali will bring great relief to entrepreneurs struggling to keep operations running.”
Textile entrepreneurs in Surat and across Gujarat have repeatedly pointed out that the delay in subsidy release impacts their ability to reinvest, manage cash flow, and prepare for the seasonal surge in demand. Industry experts note that the textile sector, one of Gujarat’s largest employers, is already grappling with global market slowdowns, and withheld subsidies only add to the strain.
According to SGCCI, timely disbursal of funds will not only support individual entrepreneurs but also strengthen Gujarat’s position as a textile hub. The Chamber has urged Industries Commissioner Swaroop P. (IAS) to take swift action, reminding that government support schemes are meaningful only when implemented within a practical timeframe.
As Diwali approaches, all eyes are now on the Industries Department. For thousands of textile entrepreneurs, the release of this ₹500 crore could determine whether the festive season brings relief or yet another round of financial stress.
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