MINISTER OF TEXTILES
(SMT. SMRITI ZUBIN IRANI)
(a) to (g):- A statement is laid on the Table of the House.
STATEMENT REFERRED TO IN REPLY TO PART (a) to (g) OF LOK SABHA STARRED QUESTION NO. *241 DUE FOR ANSWERED ON 12.03.2021 RAISED BY SHRIMATI SANGEETA KUMARI SINGH DEO AND SHRIMATI SUNITA DUGGAL REGARDING TEXTILE PARKS
(a): State wise list of completed, ongoing and cancelled park is given in Annexure. There is received a proposal for setting up M/s Vedhaa Apparel Park at Vedaranyam Taluk, Nagapatttinam, Tamil Nadu under Scheme for Integrated Textile Parks (SITP) .
(b) & (c): In the Union Budget 2021-22, it has been announced that a scheme of Mega Investment Textile Park will be launched. It will enable the textile industry to become globally competitive, attract large investments and boost employment generation. Under the scheme, seven Mega Textile Parks will be set up in the country over 3 years. These mega textile parks will enable creation of global champions in exports. The proposed scheme is awaiting the approval of the Cabinet.
(d): Yes, India faces competition from countries which are enjoying duty free access in the key market such as European Union (EU).
(e) & (f): With a view to increase investments, generating employment opportunities and boosting exports in textile sector, Ministry of Textiles is implementing Scheme for Integrated Textile Park (SITP) to provide subsidy for setting up textile parks with world-class, state-of-the-art infrastructure in textile hubs across the country for a period of three years i.e. 01.04.2017 to 31.03.2020. The scheme is scaled-up upto 31.03.2021. The primary objective of the Scheme is to provide financial assistance to a group of entrepreneurs to establish state-of-the-art infrastructure facilities in a cluster for setting up their textile units, common infrastructure, factory building, building for common facilities like testing laboratory, design centre, ware-housing facilities, raw material depot, packaging unit, workers'' hostel and marketing support system(backward/forward linkages) etc. conforming to international environmental and social standards and thereby mobilize private investment in the textile sector and generate fresh employment opportunities. The Scheme targets industrial clusters and locations with high growth potential, which require strategic interventions for developing world-class infrastructure support. Further, in the Union Budget 2021-22, it has been announced that a scheme of Mega Investment Textile Park will be launched. Under the scheme, seven Mega Textile Parks will be set up in the country over 3 years.
The Union Cabinet approved the Scheme for Production and Employment Linked Support for Garmenting Units (SPELSGU) under ATUFS to incentivize production and employment generation in the garmenting sector. The additional incentive of 10% is provided to the garmenting units which would be availing the 15% Capital Investment Subsidy (CIS) under ATUFS for the installation of benchmarked eligible machinery. The cap on capital investment subsidy for the eligible machines in the garmenting units has therefore been enhanced from Rs. 30 crore which was the cap under ATUFS, to Rs.50 crore. This additional subsidy of 10% will be on achievement of the projected production and employment generation, as stated by the unit in the Detailed Project Report (DPR).
To boost exports, Government has announced a scheme namely “Scheme for Remission of Duties and Taxes on Exported Products” (RoDTEP) to all export goods, including textiles and garments with effect from 1st January, 2021. Further, in order to boost exports in Man-Made Fibre (MMF) sector, Government has removed anti-dumping duty on PTA, a key raw material for the manufacture of MMF fibre and yarn. Government has also removed anti-dumping duty on acrylic fibre, raw material for yarn and knitwear industry. Assistance is also provided to exporters under Market Access Initiative (MAI) Scheme. Government has enhanced interest equalization rate for pre and post shipment credit for exports done by MSMEs including textiles sector from 3% to 5% w.e.f. 02.11.2018. Benefits of Interest Equalization Scheme have been extended to merchant exporters from 02.01.2019 which was earlier limited to only manufacturer exporters.
Union Cabinet has approved Production-Linked Incentive (PLI) Scheme in the 10 key sectors for enhancing India’s manufacturing capabilities and enhancing exports- Atmanirbhar Bharat. Textiles products: MMF segment and technical textiles has been figured out among the 10 key sectors with approved financial outlay of Rs 10,683 crore over a five year period. Accordingly this Ministry is formulating a scheme to promote MMF Apparel and Technical Textile to capture substantial share in global trade.
(g): Under SITP, each park should have a minimum of 25 acres of land. In the case of North Eastern and other special category states, the requirement will be 10 acres. However, under the proposed Mega Investment Textile Park scheme, the modalities of which are to be decided by the Cabinet while approving the scheme, the land would be 1000+ acres in size, to achieve economies of scale and size.
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