Lok Sabha Question No. 1175 (UNSTARRED), answered on 2019-06-28
Subject: Growth Rate in Textile Sector
Ministry: TEXTILES
Asked by: Ramcharan Bohra

## LOK SABHA STARRED QUESTION NO.1175 TO BE ANSWERED ON 28.06.2019

## GROWTH RATE IN TEXTILE SECTOR

## 1175. SHRI RAMCHARAN BOHRA:

Will the Minister of TEXTILES वस्त्र मंरी be pleased to state:

- (a) the growth rate of the textile sector during the last three years and the current year, year wise;
- (b) whether the Government has achieved the targeted growth rate in the  textile sector in the country;
- (c) if so, the details thereof;
- (d) if not, the reasons therefor; and
- (e) the steps taken by the Government for promotion and growth of textile sector in the country?

## उत्तर

## ANSWER

## वस्त्र मंरी ( श्रीमती स्त्म ृ तत  ज़ू बिन इरानी )

MINISTER OF TEXTILES (SMT. SMRITI ZUBIN IRANI)

(a): During    the  period  from  2015-16  to  2018-19,  the  compound  annual growth Rate(CAGR) of production  of  textile yarn  is in the range of 2.53% to 4.82% while that of Man-made filament yarn is (-)2.71%. The CAGR of overall cloth sector is 16.61% while that of  Mill  Sector cloth is  (-)  7.72  during  the  said  period.  The  details  are  given  in  a  table-I  at Annex.  Exports  of  textiles  and  clothing  products  including  handicrafts  from  India  have increased to US$ 40.4 billion during the year 2018-19 from US$ 39.2 billion during 2017-18, registering a growth of 3%. The share of textiles & apparel in overall export basket of India was 12% in 2018-19 as compared to 13% in 2017-18. The details are given in a table-II at Annex.

(b) to (d): Textile Sector has been steadily growing during the period from  2015-16 to 201718 as per production of major textiles items as can be seen from Table-I of Annex. The share of textiles and clothing (T&C) in India's total exports stands at 12 % in 2018-19.   India has a share of 5% of the global trade in Textiles and Apparel.

(e): Government  has  launched  a  special  package  of  Rs.6000  crore  in  2016  to  boost investment,  employment  and  exports  in  the  garmenting  and  made-ups  sector  with  the following  components  viz.,  (i)  full  refund  is  provided  under  Remission  of  State  Levies (ROSL) to the exporters for the State level taxes; (ii) production linked additional incentive of 10%  is provided under the Amended Technology Upgradation Fund Scheme (ATUFS); (iii)  Government  is  providing  the  entire  12%  of    the  employer's  contribution  of  the  EPF under Pradhan Mantri Paridhan Rozgar Protsahan Yojana (PMPRPY) for a period of three years w.e.f 1 st April,2018  to employees of garment industry who are earning less than Rs. 15,000 per month. Further a new Scheme for Rebate of State and Central Taxes and Levies (RoSCTL)  has  been  approved  by  Government  to  rebate  all  embedded  state  as  well  as central  taxes/levies  with  a  view  to  improve  the  competitiveness  of  value-added  textile apparel and made ups sector. Government has also launched a new scheme for development of  Knitting  and  Knitwear  Sector  in  January  2019  with  an  outlay  of  Rs.47.72  crore  for  a period  upto  31.3.2020  in  order  to  boost  production  in  knitting  and  knitwear  clusters  at Ludhiana, Kolkata, and Tirupur which will provide employment to nearly 24 lakh persons. Apart  from  the  above,  Government  has  been  taking  various  initiatives  for  promotion  of textile manufacturing by building the best-in-class manufacturing infrastructure, upgradation of technology, fostering innovation and enhancing skills in the textile sector. These  include  Amended  Technology  Upgradation  Funds  Scheme  (ATUFS),  PowerTex India  Scheme  for  Powerloom  Sector  Development,  Scheme  of  Integrated  Textile  Parks, SAMARTH-  the  Scheme  for  Capacity  Building  in  textile  sector,  Silk  Samagra-  the integrated silk development scheme,  Integrated Processing Development Scheme (IPDS), North  Eastern  Region  Textile  Promotion  Scheme  (NERTPS),    Incentive  Scheme  for Acquisition  of  Plants  and  Machinery  (ISAPM)  for  Jute  Industry  and  Jute  Diversified Products  Manufacturing  Units,  innovation  and  expansion  under  Technology  Mission  on Technical Textiles- for Promoting Usage of Agro textiles, Focus Incubation Centre,  etc. Furthermore, Government has been encouraging and supporting the traditional handloom and handicraft sectors including silk, wool and jute sectors for enhancing production and employment generation in these segments.

Annex Table-I:  Estimated Growth of Production of major Textile items(Man-made fibre, filament yarn, spun yarn and cloth) from 2015-16 to 2018-19

|             |                 |                          |             | Blended &100%    | Total Spun Yarn   | Cloth         | Cloth                    | Cloth       |
|-------------|-----------------|--------------------------|-------------|------------------|-------------------|---------------|--------------------------|-------------|
| Year        | Man- made fibre | Man- made filamen t yarn | Cotton yarn | Non- cotton yarn |                   | Mill sector * | Decentrali zed sector ** | Grand Total |
| Unit        | Kg              | Kg                       | Kg          | Kg               | Kg                | Sq. mtr       | Sq. mtr                  | Sq. mtr     |
| 2015-16     | 1347            | 1164                     | 4138        | 1527             | 5665              | 2315          | 62269                    | 64584       |
| 2016-17     | 1364            | 1159                     | 4055        | 1604             | 5659              | 2264          | 61216                    | 63480       |
| 2017-18     | 1319            | 1187                     | 4064        | 1616             | 5680              | 2157          | 64688                    | 66845       |
| 2018-19 (P) | 1443            | 1159                     | 4182        | 1680             | 5862              | 2012          | 68034                    | 70046       |
| CAGR        | 3.58            | -2.71                    | 2.53        | 4.35             | 4.82              | -7.72         | 16.93                    | 16.61       |

Source; Office of the Textile Commissioner, Mumbai.

## Table-II: Export of major Textiles and Clothing including handicrafts from India from 2015-16 to 2018-19:

| Values in mn usd                | 2015-16   | 2016-17   | 2017-18   | 2018-19   |
|---------------------------------|-----------|-----------|-----------|-----------|
| India Textile &Apparel          | 35,995    | 35,372    | 35,366    | 36,627    |
| Handicrafts                     | 3,293     | 3,639     | 3,573     | 3,804     |
| Total T &Cincluding Handicrafts | 39,288    | 39,011    | 39,239    | 40,431    |
| India's overall exports         | 262,290   | 275,852   | 303,376   | 329,536   |
| %T&CExports of overall exports  | 15%       | 14%       | 13%       | 12%       |

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