Union Minister for Textiles Kavuri Sambasiva Rao announced that the state government has decided to set up a All India Handloom Technology Institute with a project cost of Rs 35 crore, in Krishna district headquarters of Machilipatnam.

The announcement came in last night, after inaugurating a training programme of Jamdani saree weaving under integrated skill development scheme in Kappaladoddi village of Guduru Mandal in Krishna district by Rao. All India Handicrafts Commissioner S Gupta and Krishna District Collector M Raghunandana Rao were also present on the occasion.

At present, only four handloom technology institutions are functioning in the country.

Rao said that the central government has decided to abolish the outstandings of handloom weavers' loans, including interest.

They have sanctioned Rs 45 crore subsidy for Siricilla constituency handloom weavers, the minister said, adding that the amount under Rajiv Arogya Yojna has also been increased.

Rao also inaugurated a handloom exhibition in Pedana town and laid the foundation stone of a Common Production Centre costing Rs 3 crore.