The Hindu Business Line : Maharashtra Minister seeks task force for textile sector

THE Maharashtra Minister for Textiles, Mr Satish Chaturvedi, on Thursday invited the industry and FICCI to set up a task force to revive the industry in the State. He also offered to help exporters approach the Union Finance Minister to resolve concerns over taxes that made their exports uncompetitive.

Admitting that the government needed to liberalise labour policies, he said that a start had been made in the special economic zones coming up in Nagpur and Vashi.

Mr Premal Udani, President, CMAI, said that the dismantling of the quota regime had opened up global opportunities and would give a major thrust to textile industries. The performance of the export industry during the last five months of the non-quota regime was an eye-opener, he said. As against China's 500-plus per cent growth, India was a minuscule 15-20 per cent. Even during the quota regime India's growth was 5-7 per cent. However, a combination of high land prices, high cost of power and amenities had driven many big manufacturers out of the state.

In his welcome address Mr Sushil Jiwarajka, Chairman, FICCI-WRC, said that exporters should increase their scale of operations and improve the quality of finished products.

Mr Oommen Kutty, Senior Merchandiser, JC Penney Purchasing Corp, said India figured among the most important outsourcing destinations for textile and garments. JC Penney, a world-class player with a $28 billion turnover, outsources $115 million worth of textiles and garments from India. This is likely to increase to $800 million, Mr Kutty said. He also stated that many retail giants in the US and Europe now showed increasing interest in the Indian textile industry.

Mr Ravi Vaidyanathan, of KSA Technopak, presented a study on `International Markets and Domestic Markets — a Cutting Edge' that pegged the Indian textile industry at $40 billion ($28 billion domestic and $14 billion export market). The Indian market is likely to grow to $70 billion by 2010. Of this, the domestic share will account for $40 billion and exports, $30 billion.

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page