ALL GOVERNMENT INITIATIVES FOR TEXTILE SECTOR DURING THIS LOCKDOWN MENTION IN THIS PRESENTATION

1. GOVERNMENT
INITIATIVE FOR
TEXTILE AND
APPAREL SECTOR

2. • India’s textiles sector is one of the oldest industries in Indian economy
dating back several centuries. Even today, textiles sector is one of the
largest contributors to India’s exports with approximately 13 per cent
of total exports.
• The textiles industry is also labor intensive and is one of the largest
employers.
• The textile industry has two broad segments. First, the unorganized
sector consists of handloom, handicrafts and sericulture, which are
operated on a small scale and through traditional tools and methods.
The second is the organized sector consisting of spinning, apparel and
garments segment which apply modern machinery and techniques
such as economies of scale.

4. GOVERNMENT INITIATIVES

5. HANDLOOM SCHEMES

6. POWERLOOM INDUSTRY

7. HANDICRAFT INDUSTRY

8. MILLSECTOR

9. GOVERNMENT INITIATIVE

10. GOVERNMENT INITIATIVE FOR MANUFACTURER

11. GOVERNMENT INITIATIVE FOR EXPORTER

12. GOVERNMENT INITIATIVE FOR WORKER

13. GOVERNMENT INITIATIVE FOR CONSUMER

14. TECHNOLOGY UPGRADATION
Facilitating Technology up- gradation:
• The Government has modified the Revised Restructured
Technology up gradation Fund Scheme (RRTUFS) and has
launched the Amended Technology Up gradation Fund
Scheme (ATUFS), which provides a one-time capital subsidy
for ‘eligible machinery’ for a period of seven years (starting
January 13, 2016).
• The scheme has a budget provision of INR 17,822 crore for
seven years. INR 3,277 crore have been released in the form
of subsidy over the last two years. An additional incentive of
10% subsidy is provided to garmenting units which avail the
Capital Investment Subsidy (CIS) under ATUFS

15. INFRASTRUCTURE DEVELOPMENT
Scheme for
Integrated Textile
Park (SITP)
Integrated Proce
-ssing Developm
-ent Scheme
Mega Textile
Clusters

16. GOVERNMENT INITIATIVE FOR FIBER
(COTTON,SILK,WOOL,JUTE,TECHNICAL TEXTILE)

21. CURRENT RUNNING SCHEMES

22. COMPLETED SCHEMES

23. Government initiatives to strengthen textile production

24. EXPORT PROMOTION SCHEMES FOR TEXTILE SECTOR

25. ATUFS (Amended Technology Up gradation
Funding Scheme)
• In pursuance of Ministry of Textiles amid Covid-19
outbreak all the units can excise there options in
iTUFS portal which needs a Bank Guarantee to
get the subsidy release through bank
• Textile raw materials and mask, ventilators can be
exported without any limitation or restrictions
amid the crisis period

26. Export of major commodities
Source : http://dgft.gov.in

27. Exports growth of last 4 years
Source : http://dgft.gov.in

28. •As of November 2018, Odisha is planning to build three textiles parks with the aim to promote investments in the textile sector.
•Since 2014, 19 Textile Park projects have been sanctioned under Scheme for Integrated Textile Park (SITP) under Public Private
Partnership mode (PPP) with 40 per cent government assistance of upto Rs 40 crore (US$ 6 million).
Textile Parks
•With the expiry of MFA in January 2005, cotton prices in India are now fully integrated with international rates.
•The Ministry of Textiles commenced an initiative to establish institutes under the Public-Private Partnership (PPP) model to
encourage private sector participation in the development of the industry.
Public-Private
Partnership (PPP)
•Technical textiles industry, which has a market size of Rs 116,000 crore (US$ 18 billion) in 2017-18 is projected to grow at the rate
of 20 per cent year-on-year supported by various flagship schemes by the government to promote full potential.
•US$ 70.83 million has been allocated to promote the use of geotechnical textiles in the North East states.
Technical
textiles
•The Government of India plans to connect around 50 million women in Indian villages to charkha (spinning wheel) in the next five
years with the aim of providing employment and promoting the khadi brand.
•Indian khadi sales grew three-fold between FY15-18 to reach Rs 2,509 crore (US$ 389.29 billion).
Promotion of
Khadi
Note: TUFS - Technology Upgradation Fund Scheme
Source: Ministry of Textiles, Geotechnical

29. STRATEGIES ADOPTED

30. 1. FDI Policy:
100% FDI is allowed under the automatic
route in the sector.
2. FDI Inflow:
FDI inflow grew by 41% from USD 303 million
in
year 2012-14 to USD 428 million in year 2014-
16. Between April 2016 and December 2016
the FDI equity inflows in the Textiles sector
was USD 563.75 million.
3. Exports:
In 2015-16, the share of textiles and apparel in
total exports increased to 15% from 13% in
2013-14. The categories that had the most
growth were readymade garments, wool &
woolen textiles, silk,
FDI POLICIES FOR TEXTILE SECTOR

31. Road Ahead
• The future for the Indian textile industry looks promising, buoyed by both
strong domestic consumption as well as export demand. With
consumerism and disposable income on the rise, the retail sector has
experienced a rapid growth in the past decade with the entry of several
international players like Marks & Spencer, Guess and Next into the Indian
market.
• High economic growth has resulted in higher disposable income. This has
led to rise in demand for products creating a huge domestic market. The
domestic market for apparel and lifestyle products, currently estimated at
US$ 85 billion, is expected to reach US$ 160 billion by 2025.
• The Indian cotton textile industry is expected to showcase a stable growth
in FY2017-18, supported by stable input prices, healthy capacity utilization
and steady domestic demand

32. Vision 2024-25
• The Indian textile industry has strength across the entire value chain from natural
to man-made fiber to apparel to home furnishings. Its share in the nation’s GDP is
6% and in exports is 13%. The sector is the second largest employer after
agriculture. After the phasing out of export quotas in 2005
• India’s export performance has been below expectations. Its share of global
exports is around 5% whereas it was expected to rise quickly towards China’s level.
The Chinese share in global exports is 39%. Vietnam and Bangladesh have shown
remarkable success. Vietnam could achieve a peak export growth rate of 30%
while Bangladesh could achieve a growth rate of 18%.
• Taking innovative measures in partnership with the industry and learning from
experience, India could aspire to achieve 20% growth in exports over the next
decade. In any case the achievement of 15% growth rate in exports should be
feasible. In the domestic market, sustaining an annual growth rate of 12% should
also not be difficult.

33. • With a 20% CAGR in exports India would be exporting about US$ 300
billion of textile and apparel by 2024-25 while with the lower15% CAGR in
exports, India would be exporting about US$ 185 billion of textile and
apparel by 2024-
• 25.Considering the targeted growth in exports, India should by then have a
market share of 15% to 20% of the global textile and apparel trade from
the present level of 5%.
• During this period India should also attempt a structural transformation
whereby it becomes a net exporter of finished products. This would imply
that growth rates in exports of fibre and yarn should start declining and
growth rates of apparel, homes furnishing, technical textiles and other
finished products should grow very rapidly. This would maximize
employment generation and value creation within the country and the
fulfillment of the Prime Minister’s Vision of “Make of India”.
• In the process, investment of about US$ 180 billion to US$ 200 billion
would take place and about 35 million additional jobs would get created.

34. • http://texmin.nic.in/sites/default/files/Revised%20CPCDS%20guidelines.pdf
• http://texmin.nic.in/sites/default/files/Textiles-ATUFS-BGOption.pdf
• http://www.technotex.gov.in/Agrotech_scheme_in_rest_of_india.2-9.pdf
• http://www.technotex.gov.in/Geotextile-NER%2001092017.pdf
• https://pib.gov.in/newsite/PrintRelease.aspx?relid=103029
• http://texmin.nic.in/sites/default/files/scheme_technical_textile_070116.pdf
• http://handlooms.nic.in/writereaddata/1230.pdf
• http://handlooms.nic.in/User_Panel/UserView.aspx?TypeID=1194
• http://texmin.nic.in/schemes
• http://texmin.nic.in/sites/default/files/PowerTex%20India%20Brochure%20English.pdf
• http://texmin.nic.in/sites/default/files/Export%20Promotion%20Schemes-MoT_0.pdf
• https://www.makeinindia.com/article/-/v/nurturing-textiles-policy-ecosystem-for-the-textile-
sector
• https://pib.gov.in/newsite/PrintRelease.aspx?relid=200127
• https://pib.gov.in/newsite/PrintRelease.aspx?relid=192321
• http://texmin.nic.in/sites/default/files/GuidelinesforKnittingandKnitwearSector.pdf

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