Question : Closure of Spinning Mills

(a) whether many spinning mills have been closed in the country and if so, the details thereof;
(b) whether Government has conducted any enquiry to ascertain the reasons for the closure of the such mills and if so, the details thereof and the follow-up action taken thereon;
(c) whether Government has set up Board for Industrial and Financial Infrastructure(BIFI) and if so, the details thereof and the objective behind the move;
(d) the number of companies registered with BIFI since its inception;
(e) whether the Government has also started Textile Workers Rehabilitation Funds Scheme; and
(f) if so, the number of textile workers who have been unemployed have been provided interim relief?

MINISTER OF STATE FOR TEXTILES
(SHRI AJAY TAMTA)

(a): As per records maintained by the Office of Textile Commissioner, Mumbai, a total of 612 number of cotton / Man-Made Fibre Textile Mills (Non SSI) have been closed in the Country since 1983. State-wise details are at Annexure.

(b): No, Madam, No enquiry has been conducted on the closure of spinning mills. However, according to closure reports, the mills have been closed over the years mainly owing to labour related issues and financial problems.

(c) & (d): Information relating to Board for Industrial and Financial Infrastructure (BIFI) is not available. However, the Board for Industrial and Financial Reconstruction(BIFR) and its appellate body, the Appellate Authority for Industrial Finance and Reconstruction(AAIFR), which were entrusted with the revival and rehabilitation of sick industrial companies under the Sick Industrial Companies (Special Provision)Act, 1985 have been dissolved.

(e) & (f): The Textile Workers Rehabilitation Fund Scheme (TWRFS) was introduced with effect from 15.09.1986 to provide interim relief to the workers rendered jobless due to permanent closure of Non-SSI Textile Mills. With effect from 01.04.2017, the scheme has been merged with Rajiv Gandhi Shramik Kalyan Yojana of Ministry of Labour & Employment. Since inception, an amount of Rs. 326.98 crores has been disbursed to 1.20 lakhs workers of 96 Mills under TWRFS, up to January, 2018.