Manmade and Technical Textiles Export Promotion Council (MATEXIL)

ATUFS – Proposal to replace with a new Scheme - “Textile Technology Development Scheme (TTDS)” Comments/suggestions invited

Circular No. ES/225/2021-22                     12th January, 2022     




To: Members of the Council          


Sub: ATUFS – Proposal to replace with a new Scheme - “Textile Technology Development Scheme (TTDS)” Comments/suggestions invited 


Dear Member,  


This is to inform you that the Amended Technology Upgradation Scheme (ATUFS) is valid only upto 31st March 2022. As you may be aware, the TUF Scheme was introduced by the Ministry of Textiles (MoT) and later this Original TUFS was upgraded to MTUFS, RTUFS, RRTUFS and ATUFS to facilitate modernization/ technology upgradation of textiles sector, and the scheme has yielded the intended results since its inception on 1st April 1999 by way of enhanced investment in textile sector, increased production volume, enhanced employment, increased exports, cost reduction and improvement in product quality. 


The Council has been requesting the Ministry to bring an alternative scheme for technology upgradation and modernization in place of ATUFS Scheme as the present scheme is valid upto 31st March, 2022 and to cover the entire MMF textile value chain under the new scheme.


Accordingly, the MoT is now in the process of formulating a new scheme, Textile Technology Development Scheme (TTDS), based on the studies conducted by the Development Monitoring and Evaluation Office (DMEO), Niti Aayog and Kalam Institute. The recommendations have been communicated to the Textile Industry Associations/EPCs by the MoT on 11th January 2022. The proposed TTDS is oriented towards the following, with concentration on capital investment and R&D: 


Scheme Part-1 

Promotion of Textile Machinery Manufacturing to support indigenous manufacturing of state-of-the art Machines 

Scheme Part-2(a) 

Support for New Integrated Manufacturing Units 

Scheme Part-2(b) 

Continuation of technology upgradation as per ATUF with higher % of capital subsidy support 


In this connection, a virtual stakeholder’s meeting has been scheduled by the MoT at 11.30 AM on 13th January 2022 with Textile Industry Associations/ Chamber of Commerce. The powerpoint presentation sent by the MoT is attached for your kind perusal and suggestions. 


Members are therefore, requested to kindly send their suggestions/comments to the Council immediately at, and in the below format so as to analyse and seek the required supportive measures during the virtual meeting. 


Sr. No. 

Name of the Company & IEC No. 

Contact details 

Suggestions/ Comments 














We solicit for your kind co-operation. 


Thanking you,            


Yours faithfully,    


S. BALARAJU