Indian Leather Development Programme (ILDP) approved for implementation during 12th Five Year Plan 2012-2017

No. CLE-HO / ILDP / XII Plan / 2013-14

To: Members of the Council

Dear Members,

.

January 29, 2014

Sub: Indian Leather Development Programme (ILDP) approved for implementation during 12th Five Year Plan 2012-2017

Members are kindly aware of the Indian Leather Development Programme (ILDP), which is being implemented by the Government of India in the 11th Plan Period 2007-2012 and many of the members have already availed assistance under this programme for technology upgradation, modernization of the units.

We are happy to inform you that through the persistent efforts of the Council, the Government of India has approved the continuation of the Indian Leather Development Programme (ILDP) for the 12th Five Year Plan 2012-2017 with an outlay of Rs.990.36 crore.

Accordingly, the Integrated Development of Leather Sector (IDLS) Scheme which provides assistance to buildup capacities, upgrade technologies and modernize the production facilities in all segments of the leather industry will also be continued in the 12th Five Year Plan period with the same level of financial assistance @ 30% of the cost of plant and machinery for SSI and 20% for non-SSI units, subject to a ceiling of Rs.2 Crores per product line. The investments made on or after 01.01.2011 are eligible for assistance under the scheme. The Guidelines of the IDLS Scheme for XII Plan as approved by the Government of India is attached herewith for kind reference.

One of the major highlights of the IDLS Scheme approved under the 12th Five Year Plan is that the disbursement of investment grant above Rs.25 lakhs, which were hitherto released in 4 equal annual installments, will henceforth be released in one single payment. The Council had earlier taken up with the Government for releasing the grant above Rs.25 lakh in one single payment which has now been favourably considered by the Government.

Please note that the second hand machinery would not be eligible for assistance since the scheme is essentially to support modernization and technology upgradation of the units.

The Council being the Facilitation Agency for the IDLS Scheme, will continue to provide the guidance to the members from the stage of preparation of applications to submission of application and for expeditious processing. Applications in prescribed format along with necessary supporting documents may be submitted in CLE offices. The CLE will undertake preliminary scrutiny and will send the application to the FDDI (for Products segment) and to the CLRI (for tanneries) for technical appraisal and further processing. For more details of the IDLS Scheme, the members are requested to attend the Open House Meetings at CLE offices every Wednesday.

The guidelines of all the sub-schemes of the ILDP viz., IDLS Scheme, Mega Leather Clusters, Leather Technology, Innovation and Environmental issues, HRD, Support to Artisans etc may kindly be perused by visiting the website of DIPP (www.dipp.nic.in) and CLE www.leatherindia.org.

With regards
Yours sincerely

R Ramesh Kumar I.A.S
Executive Director

Guideliness-IDLS Scheme,X11 Plan