Question : DECLARATION OF TEXTILE INDUSTRY AS PUBLIC UTILITY SERVICES



(a) whether the Government propose to declare textile industry and sectors such as utility services as main industries;

(b) if not, the reasons therefor;

(c) whether the Government propose to enact separate labour laws for the new industrial units, export promotion sectors and cent per cent export oriented units;

(d) if not, the reasons therefor;

(e) whether the huge investment is not taking place in the textile units in the absence of separate labour laws; and

(f) if so, the steps being taken by the Government to augment investment in this sector?

Answer given by the minister


MINISTER OF STATE FOR LABOUR AND EMPLOYMENT ( SHRI MUNI LALL )

(a) & (b) `Cotton Textiles` industry could be declared to be a Public Utility Service under Sub-clause (vi) of Clause (n) of Section 2 of the Industrial Disputes Act by the appropriate Government.

(c) & (d): The existing Labour Laws of the land are applicable to all industrial units, export promotion zones and cent per cent export oriented units.

(e) & (f): Investment in any industry depends to a large extent, on supply-demand conditions for the product prevailing in domestic and international markets. The cumulative disbursement of All India Financial Institutions to the Textile Industry upto and March, 1997 is estimated at Rs.25,929 crore constituting a share of 11.3% vis-a-vis all industries. These figures do not indicate that existing labour laws are coming in the way of attracting investments in the Textile Sector.