He said that the textiles industry is increasingly embracing modern technology and work processes, becoming more competitive, building strong brand equity for its products, and consistently achieving higher growth rates than ever before.
The Plan allocation for textiles was increased by 66.21 per cent in 2007-08, and by 11.45 per cent in 2008-09. The textiles exports were $ 20.5 billion in 2007-08, and are expected to increase by 20 per cent during this fiscal year. The textiles exports which were on a downward trajectory due to rupee appreciation, are on the upswing due to remedial measures undertaken by the central government, Vaghela said.
The Minister said that thirty Integrated Textiles Parks had been sanctioned under the Scheme for Integrated Textiles Park (SITP). These parks on operationalisation will attract an investment of Rs.17, 000 crore, will create employment for 5.75 lakh worker and would produce textiles product worth Rs. 27,400 crore annually.
All these parks are expected to start operations by the end of 2008-09. He said that ten additional parks will be set up by 2012 under SITP. He said that Doddabalapur Integrated Textiles Park in Karnataka would be completed by March next year.
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Vaghela said that the government had imparted a new momentum to the implementation of the Technology Up-gradation Fund Scheme (TUFS) and, on the persistent demand of the industry, the scheme has been extended up to the end of the 11th five year Plan.
He said imported second hand machinery is ineligible for assistance under the TUFS, except automatic shuttleless looms, with a value cap of Rs. 8 lakh and of 10 years vintage and with residual life of 10 years. "The efforts of the government have borne results and the TUFS has attracted 17,043 applications, involving an investment of Rs.1,21,396 crore," he added.
The Textiles Minister also said that three centres of National Institute of Fashion Technology (NIFT) will be set up shortly at Patna, Bhopal and Shillong. Recently two centres of NIIFT opened at Rae Bareli, Uttar Pradesh and at Kannur, Kerala.