The handloom sector in Andhra Pradesh got a shot in the arm with the National Bank for Agriculture and Rural Development (Nabard) sanctioning Rs 60 crore to Andhra Pradesh Cooperative Bank towards refinance for the handloom weavers sector.

Out of this amount, Rs 50 crore has been earmarked for financing AP State Handloom Weavers cooperative Society Ltd and Rs 10 crore for Primary Weavers Cooperative Societies.

“APCO will be using Rs 5 crore for trading in yard and the remaining Rs 45 crore for procurement and marketing of handloom cloth,” a Nabard statement said.

The bank has suggested that APCO take steps to increase retain sales, apart from trimming administrative costs and settling the dues of PWCS promptly.

The working capital requirement for weavers is a critical component in the development of weaver sector. The revival package announced for this sector by the Centre, which has subsequently been accepted by the State Government, is expected to erase the choked likes of credit flow to the weaver sector.