Lok Sabha Question No. 4020 (UNSTARRED), answered on 2025-03-25
Subject: Restart National Textile Corporation Mills
Ministry: TEXTILES
Asked by: Shri Asaduddin Owaisi

## RESTART NATIONAL TEXTILE CORPORATION MILLS

## 4020. SHRI ASADUDDIN OWAISI:

## Will the Minister of TEXTILES वस्त्र मंत्री be pleased to state :

(a) whether the Government is aware of the challenges faced by the powerloom sector, particularly in Malegaon, Maharashtra;

(b) if so, whether the Ministry has assessed the impact of raw cotton and yarn price fluctuations on the sector  and  the  viability  of  imposing  anti-dumping  duties  on  Chinese  fabrics  entering  via  SAARC countries;

(c)  whether  the  Government  plans  to  restart  the  23  closed  National  Textile  Corporation  Mills  and establish a Mega Investment Textile Park in Malegaon to support powerloom weavers;

(d)  whether  the  Government  is  considering  measures  such  as  including  cotton  and  yarn  under  the Essential  Commodities  Act,  simplifying  MSME  Schemes  for  weavers  and  making  powerloom  fabric procurement mandatory in Government tenders; and

(e) the steps taken by the Government to provide financial assistance to weavers and labourers affected by recession and whether it plans to extend benefits such as free ration or targeted incentives for microscale powerloom exporters?

## उत्तर ANSWER )

## वस्त्र राज्  य मंत्री ( श्री पबित्र मार्घेररटा

## THE MINISTER OF STATE FOR TEXTILES (SHRI PABITRA MARGHERITA)

(a) to (e): Government has taken a number of initiatives in order to ensure holistic development of the entire textile sector including powerloom across the country including Malegaon, Maharashtra. The major  schemes/initiatives  include  PM  Mega  Integrated  Textile  Regions  and  Apparel  (PM  MITRA) Parks Scheme which seeks to create a modern, integrated large scale, world class industrial ecosystem, which will help in attracting investments and boosting employment; Production Linked Incentive (PLI) Scheme  focusing  on  Man  Made  Fibre  &  Apparel,  and  Technical  Textiles  to  boost  large  scale manufacturing  and  enhancing  competitiveness;  National  Technical  Textiles  Mission  focusing  on Research  Innovation  &  Development,  Promotion  and  Market  Development,  Skilling  and  Export Promotion; SAMARTH - Scheme for Capacity Building in Textile Sector with the objective providing demand driven,  placement  oriented,  skilling  program;  ATUFS  to  incentivize  technology  upgradation and modernization through capital  investment  subsidy  for  eligible  investment  in  benchmarked  textile machinery;  Silk  Samagra-2  for  comprehensive  development  of  sericulture  value  chain;  National Handloom Development Program (NHDP) and National Handicraft Development Program (NHDP) for end to end support for handloom and handicraft sectors etc.

In  addition,  the  Government  of  Maharashtra  is  implementing  the  Integrated  and  Sustainable Textile  Policy  2023-2028  to  support  various  components  of  the  textile  value  chain  in  Maharashtra including Powerlooms. The Maharashtra Technology Upgradation Fund Scheme (MAHA\_TUFS) seeks to facilitate Powerlooms in Maharashtra including Malegaon in augmenting investments, productivity, quality,  employment  and  exports  through  various  incentives  to  the  eligible  units  for  technology upgradation as per specified guidelines.

Trade remedy mechanism is available for addressing issues of dumping and cheap imports and domestic  industry  is  eligible  to  file  applications  to  seek  relief  against  such  imports  to  Directorate General of Trade Remedies (DGTR).  After detailed investigations, preliminary/final findings are issued by DGTR based on which, Department of Revenue imposes provisional/definitive anti-dumping duties.

Production  activity  in  all  23  operational  NTC  Mills  was  suspended  due  to  Covid-19  and nationwide  lockdown  imposed  by  Central/States  governments  from  March,  2020.  Normal  operations were  resumed  in  some  of  the  NTC  Mills  from  January,  2021,  which  could  not  continue  due  to unavailability of working capital and other financial constraints.

There is no such proposal under consideration for the establishment of Mega Investment Textile Park in Malegaon to support power loom weavers.

Government had been also implementing a Group Insurance Scheme against death/disability for Powerloom weavers. Financial assistance of Rs.15.69 crore for 3,148 death claims were provided from 2003-2019 under Group Insurance Scheme (GIS) in the state of Maharashtra. Besides social security benefits through scholarship of Rs. 48.65 lakh for 5,539 children of powerloom workers were provided under Shiksha Sahayog Yojana in the state of Maharashtra since inception. Since 1.4.2020, the Group Insurance Scheme has been converged with Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) and Pradhan Mantri Suraksha Bima Yojana (PMSBY).

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