Lok Sabha Question No. 5523 (UNSTARRED), answered on 2019-07-26
Subject: Make in India Campaign
Ministry: TEXTILES
Asked by: Chandra Sekhar Sahu, Shrirang Appa Barne, Shrikant Eknath Shinde, Sangeeta Kumari Singh Deo

## LOK SABHA UNSTARRED QUESTION NO. 5523 TO BE ANSWERED ON 26/07/2019

## 'MAKE IN INDIA CAMPAIGN'

5523. SHRI CHANDRA SEKHAR SAHU: SHRI SHRIRANG APPA BARNE: DR. SHRIKANT EKNATH SHINDE: SHRIMATI SANGEETA KUMARI SINGH DEO.

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

- (a) whether the Government is aware that despite its efforts to attract investment under its Make in India
- campaign, sales of manufactured goods particularly textiles continuously declined since 2016-17;
- (b) if so, the details thereof along with the reasons therefor;
- (c) whether the demand of textiles goods was declining even before the demonetization, if so, the details thereof;
- (d) whether the Government has examined the reasons for such decline, if so, the findings thereof;
- (e) whether the textiles companies were reported to have cut down on their workforce in 2016, if so, the details thereof; and
- (f) the measures taken by the Government to support the manufacturing sector, which constitutes 15-16 per cent of the Gross Domestic Product (GDP) and supports 12 per cent of the workforce?

## उत्तर

## ANSWER

## वस्त्र मंरी ( श्रीमती स्मृ तत ज़ूबिन इरानी )

MINISTER OF TEXTILES (SMT. SMRITI ZUBIN IRANI)

- (a) to (e): Sir, no such decline is evident. The overall production and Employment in the Textile Sector is showing an increasing trend during the period. This can be seen from the following data relating to some of the textile sector components:-
- i. The details of Production  of various textile items:
- ii. The details of number of persons employed/engaged in the organized Manufacturing Sector and Textiles & Wearing Apparel Sector:-
- (f): In keeping with goal of making India's development inclusive and participative, the Government's central focus has been on increasing textile manufacturing by building the best-in-class manufacturing  infrastructure,  upgradation  of  technology  fostering  innovation,  enhancing  skills  and traditional strengths in the textile sector. Some of the major initiatives and highlights are listed below:
- i. Amended Technology Up-gradation Fund Scheme (ATUFS): With a view to promote ease of doing business in the country and achieve the vision of generating employment and promoting exports by way of technology upgradation in textile sector through 'Make in India'' with "Zero effect and Zero defect" Amended Technology Upgradation Fund Scheme (ATUFS) was launched in  January  2016  with  the  objective  to  facilitate  augmenting  of  investment,  productivity,  quality, employment,  exports  along  with  import  substitution  in  textile  industry  and  also  to  indirectly promote investment in textile machinery manufacturing  The scheme has been designed to mobilize new investment of about Rs 95 000 cr and employment for 35 lakh persons by the year 2022.
- ii. Scheme  for  Integrated  Textile  Park  (SITP): provides  support  for  creation  of  world-class infrastructure facilities for setting up of textile units, with a Government of India grant upto 40% of the project cost with ceiling limit of Rs. 40.00 crores for each park.  The scheme is a demand driven scheme. There are a total of 59 textile parks approved under SITP.
- iii. Rebate of State and Central Taxes and Levies (ROSCTL) : With effect from 07.03.2019, the Central Government has launched a new scheme viz. Rebate of State and Central Taxes and Levies (ROSCTL) on Export of Garments/Made-ups.  The ROSCTL Scheme provides rebate of State and Central Taxes and Levies in addition to the Duty Drawback Scheme, through the Scheme on Export of Garments/Made-ups at notified rates and value caps and will remain in force upto 31.01.2020.
- iv. SAMARTH- The Scheme for Capacity Building in Textile Sector (SCBTS) for the entire value chain of textile sector, excluding Spinning and Weaving in the organized sector, for a period of three years from 2017-18 to 2019-20 with an outlay of Rs. 1300 crore. The objectives of the scheme inter  alia  include  providing  demand  driven,  placement  oriented  National  Skills  Qualifications Framework (NSQF) compliant skilling programmes to incentivize and supplement the efforts of the industry in creating jobs in the organised textile and related sectors and to provide skilling and skillupgradation in the traditional sectors. 10.00 lakh persons will be trained under the scheme by March, 2020.
- v. PowerTex India: A  comprehensive scheme for development of Powerloom sector has been launched w.e.f 01.04.2017  to 31.03.2020  with components  like Insitu-upgradation of plain

| Item                           |   2016-17 |   2017-18 |   2018-19 (Prov.) |
|--------------------------------|-----------|-----------|-------------------|
| Spun Yarn (Mn Kg)              |      5659 |      5680 |              5862 |
| Man made fibre (Mn Kg)         |      1364 |      1319 |              1443 |
| Man made filament yarn (Mn Kg) |      1159 |      1187 |              1159 |
| Cloth (Mn Sq. Mtr)             |     64421 |     67779 |             70980 |

| Year    | Number of persons employed in   | Number of persons employed in   | Number of persons employed in   |
|---------|---------------------------------|---------------------------------|---------------------------------|
|         | Total Manufacturing sector      | Textiles and Apparel Sector     | Wearing                         |
| 2013-14 | 1,35,38,114                     |                                 | 24,74,903                       |
| 2014-15 | 1,38,81,386                     |                                 | 25,26,610                       |
| 2015-16 | 1,42,99,710                     |                                 | 26,48,238                       |
| 2016-17 | 1,49,11,189                     |                                 | 26,97,123                       |

Powerlooms, Group Work Shed Scheme, Yarn Bank Scheme, Common Facility Centre (CFC), Solar Energy Scheme, Pradhan Mantri Credit Scheme, etc.

- vi. National  Handloom  Development  Programme  and  National  Handicrafts  Development Programme : These programmes aim at holistic development of handloom and handicrafts clusters through  integrated  approach.  The  strategic  interventions  under  the  programme  include  financial assistance  for  new  upgraded  looms  and  accessories,  design  innovation,  product  and  infrastructure development, skill upgradation, training, setting up of Mega clusters for increasing manufacturing and  exports,  easy  access  to  working  capital  through  customized  Mudra  loans  for  weavers  and artisans and direct marketing support to weavers and artisans.

vii. Silk  Samagra :  Government  of  India  has  been  implementing  a  Central  Sector  Scheme  'Silk Samagra'  for  development  of  sericulture  in  the  country  with  components  such  as  Research  & Development, Training, Transfer of Technology and I.T Initiatives, support to seed organizations, coordination  and  market  development  and,  quality  certification  Systems  (QCS)/  Export  Brand Promotion  and  Technology  Upgradation.  R&D  efforts  have  also  been  initiated  to  evolve  new products by blending silk with other fibres such as wool, coir, cotton etc., which have demand in international markets.

- viii. Jute (ICARE): A project Jute ICARE (Improved Cultivation and Advanced Retting Exercise) was  introduced  in  2015  for  improving  productivity  and  quality  of  raw  jute  through  carefully designed interventions. The project has benefitted more than 1.9 lakhs farmers in various states in the country.
- ix. North  East  Region  Textile  Promotion  Scheme  (NERTPS): This  scheme  promotes  textiles industry in the North Eastern Region by providing infrastructure, capacity building and marketing support to all segments of textile industry. The scheme has an outlay of Rs. 500 crores during 201718 to 2019-20.
- x. Integrated  Wool  Development  Programme  (IWDP): Government  of  India  has  recently approved IWDP for implementation during 2017-18 to 2019-20 after integrating and rationalization of various schemes for holistic growth of wool sector by providing support to entire chain of wool sector from wool rearer to end consumer to increase the wool production as well as its quality.

The above initiatives/ schemes are also aimed at encouraging entrepreneurs for setting up of new  units  as  well  as  expansion  of  the  existing  units  which  have  potential  for  generating  large employment opportunities.

*******