Andhra Pradesh will announce a Rs 125 crores loan waiver scheme to benefit weavers. This will benefit about 2.80 lakh weavers from the state. Andhra Pradesh is an important handloom producing state. AP is also considering a plan to provide interest-free loans to weavers to promote the traditional handloom sector. It may re-introduce the Janata cloth scheme for the poor at an expenditure of Rs 550 crores to supply a dhoti and a sari to all poor people in the state.

The central government has decided to set up mega clusters with an investment of Rs 26 crores in Guntur and Prakasam. Andhra Pradesh is renowned for its fine range of silk brocades and cottons. Each range has a unique blend of designs, colors and textures. The state also has a cooperative society for handloom weavers and assists them in purchasing raw materials and appliances, tools and machinery. It organises exhibitions and sales units for the purchase and receipt of finished products of the member societies. It assists in establishing and hiring processing units to undertake and provide processing services including dyeing, mercerising, printing and furnishing. It arranges for the training of weavers in improved methods of weaving and the latest techniques.