Question : Closure of Textile Mills

(a) the details of textile mills operating and closed at present in the country including Karnataka and Rajasthan;

(b) whether the textile mills have been closed due to absence of proper guidelines;

(c) if so, whether the Union Government proposes to start these mills and safeguard the interests of the workers rendered unemployed due to closure of these mills; and

(d) if so, the details thereof?

Answer given by the minister

MINISTER OF STATE (INDEPENDENT CHARGE)
IN THE MINISTRY OF TEXTILES
(SHRI SANTOSH KUMAR GANGWAR)

(a) & (b): As per available information, there are 1399 Cotton/ Man-Made Fibre Textile Mills (Non SSI) operating and 578 closed Mills in the country. A statement indicating state-wise position of operational textile mills is at Annexure-I. The statement indicating closed textile mills alongwith reasons for closure is at Annexure-II.

(c) & (d): Closure of companies including textile mills are guided by Sick Industrial Companies (Special Provisions) Act under which the Board for Industrial & Financial Reconstruction (BIFR) has been set up with a view to arrange timely detection of sick and potentially sick companies and for the speedy determination of preventive, ameliorative and remedial measures in respect of such companies including closed textile mills.

For rehabilitation of Textile workers rendered un-employed due to permanent closure of a textile mills in the private non-SSI Sector, the Textile Workers Rehabilitation Fund Scheme (TWRFS) has been introduced with effect from 15-9-1986. Relief under the scheme is provided for three years @ 75% wages in the first year, 50% wages in the second year and 25% wages in the third year. So far, 1,17,316 workers have benefitted under the scheme and an amount of Rs. 317.12 crores has been distributed upto 31st October 2015.

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