Lok Sabha Question No. 2423 (UNSTARRED), answered on 2022-12-21
Subject: FDI in Textile Industry
Ministry: TEXTILES
Asked by: Unmesh Bhaiyyasaheb Patil, Sujay Radhakrishna Vikhepatil, Vincent H Pala, Heena Vijaykumar Gavit, Rita Bahuguna Joshi, Shrikant Eknath Shinde, Jagdambika Pal, Krishna Pal Singh Yadav

## LOK SABHA UNSTARRED QUESTION NO. 2423

## TO BE ANSWERED ON 21.12.2022

## FDI IN TEXTILE INDUSTRY

## 2423. SHRI UNMESH BHAIYYASAHEB PATIL:

DR. SUJAY RADHAKRISHNA VIKHE PATIL:

SHRI VINCENT H. PALA:

DR. HEENA GAVIT:

PROF. RITA BAHUGUNA JOSHI:

DR. SHRIKANT EKNATH SHINDE:

SHRI JAGDAMBIKA PAL:

DR. KRISHNA PAL SINGH YADAV:

Will the Minister of TEXTILES वस्त्र मंत्री

be pleased to state :

- (a) the details of the number of unorganized labourers employed in the country, State-wise;
- (b) the details of the steps taken by the Government to modernize the textile industry in the country;
- (c) the details of the steps taken by the Government to increase the export of the textile in the country and also to increase Foreign Direct Investment (FDI) in the textile industry;
- (d) the details of the amount of investment brought through FDI in the textile sector during the last five years;
- (e) whether the Government has signed any MoUs with other countries to boost textile industry in the country and if so, the details thereof and if not, the reasons therefor; and
- (f)  whether  the  Government  intends  to  undertake  numerous  technology  centric  approaches  for increasing production in the textile sector and if so, the details thereof?

उत्तर

ANSWER

## वस्त्र राज् य मंत्री ( श्रीमती दर्शना जरदोर् )

## THE MINISTER OF STATE FOR TEXTILES (SMT. DARSHANA JARDOSH)

- (a): As per Economic Survey 2021-22, the employment in unorganized sector in 2019-20 was 43.99 Crore.
- (b) to (d): The Government has taken following steps to modernize the textile industry, enhance export and to promote FDI in textile sector on pan-India basis:
- i) Government has approved setting up of Seven Pradhan Mantri Mega Integrated Textile Region and Apparel (PM MITRA) Parks in Greenfield/Brownfield sites with an outlay of Rs. 4,445 crore for a period of seven years upto 2027-28. These parks will enable the textile industry to become globally competitive, attract large investment and boost employment generation.
- ii) Government has approved the Production Linked Incentive (PLI) Scheme for Textiles, with an approved outlay of Rs 10,683 crore, to promote production of Man Made Fibre (MMF) Apparel, MMF

Fabrics and Products of Technical Textiles in the country to enable Textile sector to achieve size and scale and to become competitive.

- iii) Government  has  allocated  an  outlay  of  Rs  1480  crore  for  the  National  Technical  Textiles Mission (NTTM) to promote and develop technical textiles sector in India.
- iv) Silk Samagra-2  scheme  is  being  implemented  from  the  year  2021-22  to  2025-26  for development of sericulture industry in the country .
- v) Government is also implementing various schemes/ programmes such as SAMARTH- Scheme for Capacity Building in Textile Sector, National Handloom Development Programme, Raw Material Supply  Scheme,  National  Handicraft  Development  Programme,  Comprehensive  Handicrafts  Cluster Development  Scheme,  Integrated  Wool  Development  Programme  etc.  to  promote  and  develop indigenous textile sector.
- vi) India  has  so  far  signed  13  Free  Trade  Agreements  (FTAs)  including  recently  concluded Comprehensive  Economic  Partnership  Agreement with  UAE  and  Economic  Cooperation  and  Trade Agreement  with  Australia;  and  6  Preferential  Trade  Agreements  with  various  trading  partners. Government has entered into negotiations for FTA with trading partners such as the United Kingdom, European Union, Canada for enhancing market access of Indian products, including textiles, keeping in mind the national interest and domestic sensitivities.
- vii) Market  Access  Initiative  scheme  provides  financial  support  to  various  Export  Promotion Councils and Trade Bodies engaged in promotion of textiles and garments exports, for organising and participating in trade fairs, exhibitions, buyer-seller meets etc.

viii) Government has put in place liberal and transparent investor-friendly Foreign Direct Investment (FDI)  policy.  100%  FDI  is  allowed  in  the  textile  sector  under  the  automatic  route.  The  amount  of investment brought through FDI in the textile sector from 2017-2022 was US $ 1522.23 million.

(e): Following MoUs have been signed with other countries to boost textile industry in the country:

-  MoU with National Agriculture Food Research Organization, Japan to promote collaborative research in the field of silkworm and silk industry.
-  MoU signed between Central Silk Board and 'Uzbekipaksanoat', Uzbekistan on cooperation in Sericulture and Silk industry.
-  MoU signed between M/o Textiles, Govt. of India and Department of Agriculture, Fisheries and Forestry,  Govt.  of  Australia  for  establishing  a  Joint  Working  Group  on  cooperation  in  the  field  of Wool and Woolen products.
-  MoU between India and Sri Lanka on procedural arrangements for import of apparel articles from Sri Lanka to India on Tariff Rate Quota under India Sri Lanka Free Trade Agreement.
-  MoU between India and Sri Lanka on cooperation in the development of Small and Mediumsized Enterprises in handloom, powerloom and textiles.
-  MoU signed between Textiles Committee, Govt. of India and M/s Nissenken Quality Evaluation Centre, Japan.

(f): Government  is  implementing  various  schemes  such  as  PM-MITRA,  PLI,  NTTM  etc.  for undertaking numerous technology centric approaches for increasing production in the textile sector all over the country.

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