Lok Sabha Question No. 3303 (UNSTARRED), answered on 2019-07-12
Subject: Textile Production
Ministry: TEXTILES
Asked by: Giridhari Yadav, Sadashiv Kisan Lokhande

## LOK SABHA UNSTARRED QUESTION NO. 3303

## TO BE ANSWERED ON 12/07/2019

## 'TEXTILE PRODUCTION'

## 3303.  SHRI GIRIDHARI YADAV: SHRI SADASHIV LOKHANDE:

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

- (a)  whether  textiles  produced  by  Indian  textile  industry  is  lagging  behind  in  competition  with textile produced by other countries in the world;
- (b) if not, the response of the Government thereto;
- (c) the share of India in overall textile production in the world as on date; and
- (d) the response of the Government on the aforementioned position?

## उत्तर

ANSWER

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

MINISTER OF TEXTILES (SMT. SMRITI ZUBIN IRANI)

- (a) to (d): The performance of textile industry in terms of Production & export during last three years is given below :

| Item                              |   2016-17 |   2017-18 |   2018-19 (Prov.) |
|-----------------------------------|-----------|-----------|-------------------|
| Spun Yarn (Mn Kg)                 |      5659 |      5680 |              5862 |
| Man madefibre (Mn Kg)             |      1364 |      1319 |              1443 |
| Man made filament yarn (Mn Kg)    |      1159 |      1187 |              1159 |
| Cloth Production (MnSq.Mtr)       |     64421 |     67779 |             70980 |
| Exports of textile items (Mn. Rs) |   2457511 |   2367493 |           2618701 |

The  government  is  implementing  various  schemes/programmes  and  has  taken  several policy initiatives to promote textiles industry and help it becoming globally competitive. The details of the textiles schemes are Annexure .

Various steps/initiatives taken have helped Indian Textile Industry become the 2 nd largest manufacturer and exporter in the world, after China. India has a share  of 5 % of the global trade in textiles and apparel.

## ANNEXURE

- i. 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.
- ii. Enhanced  Customs  Duty  to  boost  domestic  manufacturing :  To  boost  indigenous  production  and Make  in  India,  Government  has  increased  Basic  Customs  Duty  from  10%  to  20%  on  501  textile products.
- iii. Special Package for Textile and Apparel sector: Rs 6000 crores package was launched in June 2016 to boost employment and export potential in the apparel and made up segments.  This package consists of  Remission  of  State  Levies  for  garmenting  and  made-ups;  additional  production  and  employment linked  subsidy  of  10%  under  ATUFS  for  garmenting;  assistance  for  the  entire  12%  employers' contribution towards EPF; fixed term employment in garmenting, increasing overtime caps; and income tax concessions under section 80JJAA for the garmenting sector.
- iv. Enhanced Duty Drawback Coverage / Rebate of State Levies (ROSL) on Export of Garments/Madeups: This scheme is in operation from 20th September 2016 for a period of three (3) years. In accordance with the recognized economic principle of zero rating of export products and in recognition of the fact that  only  Central  Levies  are  rebated  by  way  of  the  drawback  scheme,  the  Central  Government  has decided to provide remission of State Levies in  addition to the Duty Drawback Scheme through the Scheme for Rebate of State Levies on Export of Garments on an average basis only.
- v. Amended Technology Up-gradation Fund Scheme (ATUFS): The amended Scheme was launched in January 2016 with an outlay of Rs 17822 Crores for technology upgradation of textiles industry with one  time  capital  subsidy  for  eligible  machinery.    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.
- vi. 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 to provide skilling and skill-upgradation in the traditional sectors. 10.00 lakh persons will be trained under the scheme by March, 2020.
- vii. 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 Powerlooms,

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

- viii. 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.
- ix. 'India Handloom Brand' Scheme has been launched by the Government in 2015 to enhance the quality in weaving, designing and defect free handloom products for safeguarding the interest of the buyers in the domestic and international markets. It will promote production of niche handloom products with high quality, authentic traditional designs with zero defect and zero effect on environment. Since its launch, 1232  registrations  have  been  issued  under  122  product  categories  and  sale  of  Rs.  689.72  crore  as reported on 31-03-2019.
- x. 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  organisations,  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.
- xi. Scheme for Integrated Textile Park (SITP): This scheme is implemented in Public Private Partnership mode to attract private investments in developing new clusters of textiles manufacturing. Government of India provides financial assistance up to 40% of the project within a ceiling of Rs 40 crores.
- xii. 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.
- xiii. 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.
- xiv. Enhancement of rates under Merchandise Exports from India Scheme (MEIS): To further boost exports  of  apparel  &  made-up  sectors,  interest  rates  under  Merchandise  Exports  from  India  Scheme (MEIS)  has  been  enhanced  from  2%  to  4%  for  apparel,  5%  to  7%  for  made-ups,  handloom  and handicrafts w.e.f. Ist November,  2017.
- xv. Textiles India 2017: The Ministry of Textiles organized a 3 day mega textile exhibition namely, Textiles India 2017 from 30 th June to 2 nd July 2017 at Gujarat. The Principal objective of organizing the said  mega event was to bring all segments of the Textiles sector under one umbrella trade event and showcase the strength of the Indian Textiles sector to the world. This event witnessed participation of buyers from 105 countries, international delegates and representatives and artisans and weavers.
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