Frontier India Current Affairs

Written on July 8, 2008 – 8:35 pm | by FICA |

Indian Silk exports have risen from Rs.2,359 crore in 2001-02 to Rs.3,338 crore in 2006-07, with a growth rate of 8.3 per cent. Addressing the Press conference in Hyderabad today after releasing the booklet tilted “Indian Textiles- The Sunrise Sector, highlighting the achievements of Textiles sector during the four year tenure of the Government, the Union Minister for Textiles said that fabrics and made ups constitute the bulk of the silk exports. He said that USA remains the largest destination for India’s exports of silk fabrics and readymade garments, with a share of 25.8 per cent and UK was the second largest destination with a share of 11.1 per cent in 2006-07. India is exporting silk goods to more than 100 countries and the silk export earnings are growing steadily due to increasing demand of Indian silk goods particularly from the USA and European countries, the Minister added.

The minister claimed that the Investments in the textiles sector are expected to reach Rs. 1,50,600 crore by 2012 and this enhanced investment will generate 17.37 million new jobs in the textiles sector. He said that the biggest achievement of the UPA Government was to turn around the Indian Textiles Sector from Sunset to Sunrise sector.

The Plan allocation for textiles was increased by 66.21% in 2007-08 (Rs.2,275 crore), and by 11.45% in 2008-09(Rs.2,500 crore). The textiles exports which were on a downward trajectory due to rupee appreciation are on the upswing due to timely remedial measures. The textiles exports were US $ 20.5 billion in 2007-08, and are expected to increase by 20 per cent during this fiscal year.

The Minister informed that thirty Integrated Textiles Parks had been sanctioned under the Scheme for Integrated Textiles Park (SITP), and 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 will 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 five Integrated Textiles Park are coming up at Mahboob Nagar, Ananthpur, Pochampally, Vishakapatnam and Nellore in Andhra Pradesh will be completed by March 2009.

The minister also claimed that the country is witnessing a record production of cotton and the Government is considering the demand of the Cotton Textiles Industry to cut import duty on the cotton. However, before any decision is taken the interest of the farmers will kept in mind.

The Minister 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 XIth 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.

The Minister said that Rs. 60 crore has been provided for the Scheme for setting up of Jute Parks under the Mini-Mission IV of the Jute Technology Mission (JTM). The Scheme will provide entrepreneurs with facilities similar to those available in the Export Processing Zones. During the XIth Five Year Plan Period, six Jute Parks will be set up in non-special category States and four Parks will be set up in the North Eastern States. Four Parks in non- special category States are proposed to be set up at Rezinagar, Murshidabad; Chackchaka, Cooch Behar and Shaktigarh, Burdhaman all in West Bengal, and Shrinagar in Rajasthan.

The Textiles Minister informed that three centers 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.

The Minister said that the Technology Mission on Technical Textiles will be implemented during the XIth Five Year Plan to build capacity, upgrade skills, create domestic and export market and standardize product development. Besides, India may implement Development and Growth of Technical Textiles” Scheme during the XIth Five Year Plan at an estimated cost of Rs. 44 crore. Four Centres of Excellence (COE) for Meditech, Geotech, Agritech and Buildtech group of technical textiles will be setup under the scheme.