Textile ministry wants charge of m/c industry

In a three-pronged strategy aimed at increasing availability of textile machinery, a working group in the textiles ministry has suggested the transfer of the textile machinery industry from the Ministry of Heavy Industries to the textile ministry, aggressive wooing of foreign direct investment in the sector and allowing import of second hand machinery.

It has also suggested a scheme, on the lines of Technology Upgradation Fund Scheme (TUFS), to support the domestic textiles machinery manufacturing industry. The new scheme would provide 5 per cent interest reimbursement and 10 per cent capital subsidy to encourage modernisation in the sector.

"The transfer of the machinery division would help the domestic textiles machinery manufacturing industry to implement a time-bound action plan to increase the availability of indigenous machinery and meet the demand from different segments of the industry," said a textile ministry official.

Reacting to the proposal, DK Nair, secretary general, Confederation of Indian Textiles Industry, said: "If the transfer happens, it would be a welcome development as the Ministry of Heavy Industries has been unable to take care of our interests."

The group has also suggested that global manufactures of textiles machinery "" spinning, weaving and processing "" be encouraged to set up facilities in India to meet the growing requirements of the domestic industry.

"The biggest factors that triggered the growth of the Chinese industry is the domestic availability of the textiles machinery. Globally reputed textiles machinery manufacturers have set up units in China, and have developed models which are suitable to the Chinese industry," the report states.

During the Eleventh Five Year Plan, the incremental spindle requirement is expected to be 29.25 million (21 million incremental + 8.25 million for replacement), at the rate of 5.85 million spindles per year. However, the indigenous textiles machinery industry has projected a capacity of 3.85 million spindles per year by the end of Plan.

Similarly, an incremental 1.09 lakh shuttleless looms are required to be installed by the industry (20,000 by the organised sector + 88,851 by powerloom sector).

Against this requirement, the textiles machinery industry has projected a capacity of 20,000 shuttleless looms by the terminal year of the Eleventh Plan.