Govt expects Rs 30,000 crore investment in 74 textile parks

Mumbai, Feb 18: The government is expecting Rs 30,000 crore investment in 74 textile parks and is planning to announce a new textile policy by April this year.

"This is a good time for textile. We are planning to launch the new textile policy by April. We are mainly focusing on manufacturing of value-added products and export-oriented goods that will benefit the economy," Minister of State for Textile Santosh Gangwar told reporters at 'Make in India' Week here today.

"Our government has given approval to 24 Textile Parks in the last one year, the rest were cleared by the previous government. So in total we are setting up 74 textile parks, which will attract an investment of Rs 30,000 crore," he said.

He further said the government will not sell the National Textile Corporation (NTC) lands located in various cities. "We have decided not to sell the NTC lands spread across the country. We are looking at starting some other non-polluting industry on them," he added.

Stating that India is the highest producer of cotton in the world, the minister said during the current cotton season, farmers have got prices, which are more than the Minimum Support Price (MSP).

The cotton marketing year runs from October to September. Textile Secretary Rashmi Verma said the government has come up with revised TUF(Textile Upgradation Fund Scheme) to give capital subsidy to the new units that will be set up and also to the existing ones which want to bring in modern machinery and increase their output.

"We will notify the guidelines for the new scheme by the end of the month. It will be used to bring in more investment in the sector," she added.

The government will also give incentives to the eastern states, including Bihar, Jharkhand and the north eastern states for setting up textile units.

In the upcoming Budget, she said, the Textile Ministry proposes to set up two mega textile parks in the coastal areas.

PTI