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Textile ministry rules out licence raj

Shankarsinh Vaghela says policy will not hamper sector growth

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Our Regional Bureau Ahmedabad
Last Updated : Mar 01 2013 | 2:40 PM IST
The Union textile ministry has clarified that there will be no license raj in the post-quota regime. A contrary news has been reported by certain section of media.
 
"Our ministry is working as a facilitator for the textile sector and there will not be any policy hampering the interest of the sector," said Shankarsinh Vaghela, Union textile minister, to Business Standard on Monday.
 
He was in Ahmedabad to attend an interactive session at Gujarat Chamber of Commerce and Industries (GCCI).
 
Ruling out the possibility of the Textile Development and Consumer Protection Bill (TDCPB), a new bill expected to be announced in the forthcoming budget, R Poornalingam, secretary, ministry of textiles, said, "No such bill is expected to be announced in the budget which will have an element of license quota regime as reported by certain section of media. The government has enough powers to regulate the industry and the government does not want to control the industry like in a communist country."
 
According to a media report, the draft TDCPB is expected to give sweeping powers to the government to direct textile manufacturers on production and quality norms.
 
By virtue of the bill, the government is expected to have the right to ask any textile company to produce designated varieties of textiles and also decide the quantity to be produced.
 
The bill is also expected to include strictures on the production quantities and packaging specifications.
 
However, the ministry is working for the replacement of the Textile Control Order and Textile Development and Regulation Order, in vogue since the 1950s.
 
Even Atul Chaturvedi, joint secretary, ministry of textiles, was not aware of TDCPB or any such bill expected to be announced in the coming budget.

 
 

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First Published: Feb 15 2005 | 12:00 AM IST

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