Textiles sector to get Rs 1,50,600 cr investment: Vaghela

New Delhi, May 11 (UNI) The Indian textile sector is expected to attract an investment of Rs 1,50,600 crore and generate employment to 17.35 million people by the end of the 11th Five Year Plan, Ministry of Textiles said today.

Informing the Members of Parliamentary Consultative Committee attached to this Ministry, Textiles Minister Shankersingh Vaghela said investment in the sector had picked up with the textiles and clothing industry getting Rs 72,542 crore between 2003-07.

He said the growth of industry has now accelerated by 9-10 per cent per annum and it is expected to rise to 16 per cent in the coming years.

Textile exports are expected to grow 22 per cent and reach 55 billion dollars by 2012, he added.

Talking about the Scheme for Integrated Textiles Parks (SITP) launched in 2005, Mr Vaghela said 30 Integrated Textiles Parks would be set up by 2008 with an investment of Rs 15,700 crore.

These parks would generate an annual production of Rs 23,600 crore, and create half a million new jobs. The allocation for the scheme has been enhanced from Rs 189 crore in 2006-07 to Rs 425 crore in 2007-08, the minister said.

The National Textiles Policy, 2000 had envisaged that textiles and apparel exports will reach 50 billion dollars by 2010. The share of garments was envisaged to be 25 billion dollars.

Technology Upgradation Fund Scheme (TUFS) has already been extended till 2012 and in the 10th Five Year Plan, Rs 1,270 crore were allocated and Rs 2,044.19 crore were disbursed, which exceeded the plan target, Mr Vaghela said.

From its inception in April 1, 1999 till February 28, 2007, 8,595 applications were received involving, a project cost of Rs 81,371 crore, 8,312 applications were sanctioned at an estimated cost of Rs 73,532 crore and Rs 20,953 crore was disbursed against 5,956 applications.

The allocation on account of interest support was increased from Rs 485 crore to Rs 535 crore in 2006-07, registering an increase of about 10 per cent and Rs 911 crore has been provided for 2007-08.

UNI