Textile sector to attract ₹95,000 crore investment in 4-6 years: Top official - Hindustan Times
close_game
close_game

Textile sector to attract 95,000 crore investment in 4-6 years: Top official

ByRajeev Jayaswal
Feb 23, 2024 03:38 PM IST

Textiles secretary Rachna Shah said 64 PLI proposals have been already approved and 12 more applications are under evaluation

NEW DELHI: India’s textile sector is expected to attract 95,000 crore investments in the next four to six years on account of the production-linked incentive (PLI) scheme and the proposed seven PM Mega Integrated Textile Regions and Apparel (PM MITRA) parks and generate over 2.25 million additional jobs, a senior official said.

Rachna Shah said the government was taking policy measures to boost the textile industry to make it a $350 billion sector by 2030, up from the current level of $154 billion. (File Photo:X/ISEPC1)
Rachna Shah said the government was taking policy measures to boost the textile industry to make it a $350 billion sector by 2030, up from the current level of $154 billion. (File Photo:X/ISEPC1)

“While the seven PM Mega Integrated Textile Regions and Apparel (PM MITRA) parks are expected to attract 70,000 crore in four-six years with 20 lakh direct and indirect employments, the PLI scheme is likely to attract investments worth 25,000 crore with 2.5 lakh additional jobs,” textiles secretary Rachna Shah said on Friday.

Unlock exclusive access to the story of India's general elections, only on the HT App. Download Now!

Shah said 64 PLI proposals have been already approved and 12 more applications are under evaluation. The performance of units will be evaluated soon after the gestation period is over on March 31, 2024, she added.

According to the scheme, the government will start giving incentives from 2025-26. “In case of fast-paced investment when threshold investment and threshold turnover is achieved by 2023-24, the incentive may be payable in 2024-25 itself,” the scheme document said.

The PLI scheme for the textile sector is focused on man-made fibre (MMF) fabric, MMF apparel and technical textiles to boost large-scale manufacturing and enhance competitiveness. Launched in September 2021, the 10,683 crore PLI scheme for the textile sector is expected to result in a cumulative turnover of over 3 lakh crore. It is part of the 1.97 lakh crore PLI schemes for 14 sectors including automobile, pharmaceuticals, telecom, steel, white goods and solar modules.

The other scheme -- the 4,445 crore PM MITRA parks -- was notified by the government in October 2021. The parks are aimed at creating a modern, integrated large-scale, world-class industrial ecosystem that will help in attracting investments and boosting employment, she said. The seven sites are Virudhnagar in Tamil Nadu, Warangal in Telangana, Navsari in Gujarat, Kalaburagi in Karnataka, Dhar in Madhya Pradesh, Lucknow in Uttar Pradesh, and Amravati Maharashtra. It is estimated that each park will attract investment worth 10,000 crore from both foreign and domestic investors.

Shah said the government was taking several policy measures to boost the textile industry to make it a $350 billion sector by 2030, up from the current level of $154 billion. “One such effort is Bharat Tex, which is set to be the largest global textile event in India. The four-day event is beginning on Monday in New Delhi and will be inaugurated by Prime Minister Narendra Modi.

“Besides China, India is the only country to have the entire textile value chain (from fibre to fabric and apparel), and Bharat Tex will project this strength before an international audience. This will showcase the entire strength of the textile ecosystem which is very unique to India,” she said.

Bharat Tex will have participation from 100 countries and more than 3,000 trade buyers, she added.

Discover the complete story of India's general elections on our exclusive Elections Product! Access all the content absolutely free on the HT App. Download now!
Stay informed on Business News, TCS Q4 Results Live along with Gold Rates Today, India News and other related updates on Hindustan Times Website and APPs
SHARE THIS ARTICLE ON
Share this article
SHARE
Story Saved
Live Score
OPEN APP
Saved Articles
Following
My Reads
Sign out
New Delhi 0C
Tuesday, April 16, 2024
Start 14 Days Free Trial Subscribe Now
Follow Us On