---
title: "Telangana Unveils Multi-Million Rupee Aid Package to Reinvigorate Handloom Craft"
url: https://projectchintan.com/article/telangana-handloom-revival-funding-welfare-initiatives-m58tn
publisher: Project Chintan
author: Project Chintan Newsroom
section: India
published: 2026-08-07T14:59:51.000Z
modified: 2026-08-07T17:01:25.474Z
language: en-IN
---

# Telangana Unveils Multi-Million Rupee Aid Package to Reinvigorate Handloom Craft

Agriculture and Textiles Minister Tummala Nageswara Rao announced extensive funding and training initiatives to modernize Telangana's traditional weaving industry. The government is deploying 49.27 crore rupees for loan waivers alongside new ergonomic technology to support aging artisans.

## Key takeaways

- Telangana has allocated over 300 crore rupees to the Nethannaku Cheyutha scheme and 49.27 crore for loan waivers.
- The state government cleared 500 crore rupees in pending dues inherited from the previous administration to stabilize the sector.
- Training at the Indian Institute of Handloom Technology is focusing on ergonomic innovations to support the next generation of weavers.
- Opposition leaders claim the current administration has discontinued several effective welfare programs for the textile industry.

## Reviving a Global Heritage

Telangana is intensifying efforts to integrate agricultural and weaving welfare programs, framing handloom production as both an economic necessity and a cultural legacy. During the National Handlooms Day celebrations in Hyderabad, Minister Tummala Nageswara Rao emphasized the state's obligation to preserve traditional techniques that are currently facing a decline. The minister opened a large-scale exhibition featuring 100 stalls at People’s Plaza, which will showcase local craftsmanship until August 16.

## Financial Relief and Welfare Measures

The state government has cleared substantial financial hurdles for the weaving community, including the release of 500 crore rupees in arrears inherited from the previous administration. Current funding allocations include:
- 49.27 crore rupees dedicated to writing off outstanding handloom loans.
- 304 crore rupees disbursed through the Nethannaku Cheyutha initiative.
- 15 crore rupees allocated for the Nethanna Bharosa scheme.
- 44 crore rupees provided to support powerloom operators.
- A 5 lakh rupee insurance cover for the families of weavers.

## Technological Advancement and Training

To ensure the industry remains competitive, the government is utilizing the Indian Institute of Handloom Technology (IIHT) to train a new generation of artisans. A primary focus involves merging traditional skills with modern efficiency. The minister highlighted the success of Vaggu Sriram, an IIHT-trained innovator who received national recognition for developing an ergonomic back-support system designed to improve weaver health. Furthermore, a yarn depot in Vemulawada has already distributed 3,096 tonnes of material to local producers to maintain supply chain stability.

## Global Reputation and Political Friction

Telangana continues to lead in geo-tagging its weaving workforce, ensuring the authenticity of world-renowned products such as Gadwal and Pochampally sarees, Warangal durries, and Karimnagar linens. However, the government's strategy faces criticism from the opposition. BRS working president K.T. Rama Rao recently petitioned the Chief Minister, alleging that current officials have halted successful programs established by the prior government and failed to meet new promises made to the weaving community.

Source: The Hindu — National

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Canonical: https://projectchintan.com/article/telangana-handloom-revival-funding-welfare-initiatives-m58tn
Reported from: The Hindu — National