Govt expects Rs 30,000 crore investment in 74 textile parks

The government is expecting Rs 30,000 crore investment in 74 textile parks and is planning to announce a new textile policy by April this year.
"This is a good time for textile. We are planning to launch the new textile policy by April. We are mainly focusing on manufacturing of value-added products and export-oriented goods that will benefit the economy," Minister of State for Textile Santosh Gangwar told reporters at 'Make in India' Week here today.
"Our government has given approval to 24 Textile Parks in the last one year, the rest were cleared by the previous government. So in total we are setting up 74 textile parks, which will attract an investment of Rs 30,000 crore," he said.

He further said the government will not sell the National Textile Corporation (NTC) lands located in various cities.
"We have decided not to sell the NTC lands spread across the country. We are looking at starting some other non-polluting industry on them," he added.
Stating that India is the highest producer of cotton in the world, the minister said during the current cotton season, farmers have got prices, which are more than the Minimum Support Price (MSP).

The cotton marketing year runs from October to September.
Textile Secretary Rashmi Verma said the government has come up with revised TUF(Textile Upgradation Fund Scheme) to give capital subsidy to the new units that will be set up and also to the existing ones which want to bring in modern machinery and increase their output.

"We will notify the guidelines for the new scheme by the end of the month. It will be used to bring in more investment in the sector," she added.
The government will also give incentives to the eastern states, including Bihar, Jharkhand and the north eastern states for setting up textile units.
Further, Verma said companies should look at penetrating
in other emerging markets like South America, Russia and Africa.
"With China's textile sector slowing down, countries like Russia, which were completely dependent on China have left a vacuum. Indian companies can take advantage of this," she said.
Other emerging markets like Vietnam and Bangladesh have already overtaken India, she pointed out.

"We are facing some teething problems, but it will be cleared soon. We are also concerned of reverse FDI as some of the big players are moving to countries like Ethiopia, Vietnam and Bangladesh to set up units," she said.
Verma said lack of branding, quality control and mandatory zero liquid discharge are some of the issues that concern the textile industry.
"A lot of work needs to be done. Zero liquid discharge being made mandatory is leading to closure of some units besides rise in cost of operations. We have taken up the matter with the environment ministry to relook at the clause," she said.

She said the Ministry is on the threshold of coming up with important changes in labour laws.
"We have taken up the matter with the labour ministry. A notification will be issued before March 31 on women being employed for night duty. Labour ministry is writing to all secretaries of states to allow women to work in night shifts," she added.
The Textile Ministry along with the Labour Ministry is also working on rationalisation of wages for contract workers, she said.
"We will issue a notification in this regard by March 31," she added.