Coimbatore: The textile industry in the region on Thursday hailed the Union Budget 2018 presented by finance minister Arun Jaitley.

Tirupur Exporters Association president Raja M. Shanmugham welcomed the announcement of allocation of Rs7,148 crore for textile sector of which Rs2,300 crore has been allotted to Amended Technology Upgradation Fund Scheme and Rs2,164 Crore for Remission of State Levies.

In a statement, he also welcomed the extension of corporate tax at 25% to the companies turnover up to Rs250 crore in the financial year 2016-17 which is beneficial particularly to the medium enterprises.

He lauded the announcement on launching of flagship National Health Protection Scheme to cover over 10 crore poor and vulnerable families providing coverage up to Rs5 lakh per family per year for secondary and tertiary care hospitalization and added this will be beneficial to the employees in Tirupur cluster also.

In a separate statement, Southern India Mills Association chairman P. Nataraj also welcomed the increased allocation of Rs7,148 crores. Extending 12% EPF employer’s contribution for the first three years of employment and also the fixed term employment for all the sectors of the industry would encourage job creation in the textile industry, he pointed out.