Speaking at a function on the textile sector titled -- Indian Textiles, The Sunrise Sector, which showcased the development in the textile sector in the last four years of UPA government, Mr Vaghela said that the country has been doing well in the textile sector and many reforms have taken place, which have benefited the industry to a very large extent.
''The sector was facing hardships, but with some reforms and government policies, the sector is witnessing a boost and is growing,'' Mr Vaghela said.
The government had increased the capital subsidy to textile manufacturers to 10 per cent from 5 per cent, which has helped the industry.
The Union Minister said that the government has fully supported the technical team behind the technical textiles, which is a specially treated material and demand for which is increasing in the country and worldwide.
''The material used in the seat belts is a technical textile, which is imported in India and will soon be produced in India,'' Mr Vaghela said.
Mr Vaghela also stated that the textile materials will be exported only when the nation is having surplus production. The Union government will be investing Rs 530 crore for the modernisation of the 52 National Textile Corporation mills by 2009, Mr Vaghela added.
Mr R Pillai, the executive chairman of NTC, elaborated the scheme and said that the government will develop 22 mills on its own and 32 in a joint venture with the help of private companies, which will have 49 per cent stake in the mills.
''The board control will be with the NTC and the management control will be with the private bodies in the joint venture''' Mr Pillai said.
So far, five of the NTC mills have entered into a joint venture with private bodies, which are Apollo mills, New City mills, Gold Mohur mills, Hindu mills, all in Mumbai and Aurangabad mills in Aurangabad.
The government has also started a policy for the hand loom workers and artisans from the industries alongwith their family members, which are more than 70 lakhs, which will be paid by the government, Mr Vaghela added.