Surat textile units urged to shun sari-dhoti culture

In line with the changing scenario in the global textile industry, the units in Surat will have to stop limiting themselves to the making of saris and dress materials and focus on other fabrics, Union textiles minister Saiyed Shah Nawaz Hussain said.

"You will have come out of the sari-dhoti culture and understand the new preferences across the world," he said at an 'Interactive session with textile associations, trade and industry' organised by the Southern Gujarat Chamber of Commerce and Industry (SGCCI) in Surat on Saturday.

Hussain said he has taken the role of textiles minister of India as a personal challenge. "The textile industry of Surat should also take up the challenge posed by the global forces," he urged.

Citing the example of Tirupur, the textiles minister said a small city like Tirupur, with a population of hardly 50,000, was doing hosiery exports of over Rs 5,000 crore every year.

He advised the captains of the textile industry to ensure that readymade garment manufacturers across the world use fabrics manufactured in Surat for their production. "The time has come when the Surat textile industry comes out of just manufacturing of saris and garments and starts experimenting with other fabric qualities," Hussain said, adding that the textile industry was the growth engine for making India the global guru by the year 2020.

According to the minister, the introduction of Cenvat on the weaving sector in the last budget had led to much opposition. But now everyone has accepted Cenvat in the better interests of the industry. Secondly, the end of the Multi-Fibre Agreement (MFA) in 2004 would see an increase in the responsibility of the textile ministry and the textile industry.

Representatives of different textile bodies informed the minister about the problems faced by them. Surat Art Silk Cloth Manufacturers Association (SASCMA) president Arunbhai Zariwala said that, while the entire textile industry was included in the textile ministry, the spinners "" the manufacturers of yarn (the vital raw material required by the textile industry) "" are included in the petrochemicals ministry. "This was leading to a lot of problems and complexities", Zariwala stated.

According to South Gujarat Textile Exporters Association president Pramod Chaudhary, the four per cent sales tax levied on DEPB (Duty Enrolment Pass Book) Scheme should be scrapped. "The Government provides refund of duties under the DEPB scheme against exports. But when we sell this DEPB, it attracts four per cent sales tax from the state government," he complained.

Former SGCCI president and leading textile machinery manufacturer Rajendra Chokhawala said the 20 per cent subsidy announced by the government for textile machinery has not been marketed properly and neither the textile industry nor the banks and financial institutions were aware of the scheme's modalities.

Textile units seeking to avail of the benefits of the scheme had to approach banks and financial institutions as the subsidy was not available on cash purchases. Secondly, after the installation of the machinery the inspection was being done by a technical team from Mumbai.

"The inspection duty should be allotted to experts from local institutions like MANTRA (Man Made Textiles Research Association)", he demanded.

South Gujarat Texturisers' Association president Dhirubhai Shah said the expensive power in the state was posing a major problem to local texturisers. "We are planning to come together for captive power generation and the government should help us in realising this goal," Shah said.

Former SGCCI president Amarnath Dora called upon the textiles minister to include the texturising units in the small-scale sector as this will help them avail benefits accruing to the sector.