Investments in textile sector likely to touch Rs 1,50,600 cr by 2012

Kolkata, Aug 12 (UNI) Investments in the textiles sector are expected to reach Rs 1,50,600 crore by 2012 and this would help generate 17.37 million new jobs in the industry, Union Textiles Minister Shankersinh Vaghela said today.

Addressing mediapersons here, the Minister said the industry, which was growing at 3-4 per cent during the last six decades, has now accelerated to an annual growth rate of 16 per cent in value terms and would reach USD 115 billion (exports USD 55 billion, domestic market USD 60 billion) by 2012.

" The catalyst for this exponential growth is a buoyant domestic economy, substantial increase in cotton production, the conducive policy environment provided by the Government and the expiration of the Multi Fibre Arrangement (MFA),'' Mr Vaghela observed.

He said rationalisation of fiscal duties undertaken during the last three years has also provided a level playing field in all segments of the industry, resulting in the holistic growth of the industry.

Mr Vaghela informed that the exports of textiles during 2004-05, 2005-06 and 2006-07 were USD 14 billion, USD 17.52 billion and USD 18.73 billion respectively and these were USD 21.46 billion in 2007-08, registering a growth of 12.10 per cent in dollar terms.

He said the Government has launched the Scheme for Integrated Textiles Parks (SITP) and so far 40 ITPs had been sanctioned.

" These parks when operationalised, will attract an investment of Rs 21,502 crore, create employment for 5.75 lakh workers and produce goods worth Rs 38,115 crore annually,'' Mr Vaghela maintained.

He said ten jute parks would be set up across the state out of which three were shortlisted for West Bengal.

UNI ADG KK RD 1828