The Hindu Business Line : Vaghela to present textile industry's case to Chidambaram

THE Union Textiles Minister, Mr Shankersinh Vaghela, on Saturday assured the textile industry that suggestions made by the Synthetic and Rayon Textiles Export Promotion Council (SRTEPC) to the Union Finance Minister, Mr P. Chidambaram, would be taken up with the Finance Ministry.

He was addressing the members of the industry at an export award function organised by SRTEPC on Saturday. Appreciating the prowess of Indian textile exporters, Mr Vaghela said the industry had undergone a paradigm shift in the last three years.

"The Government has also continued to give assistance to exporters for developing trade and upgrading products. The Market Development Assistance scheme, by which individual exporters are reimbursed their expenses towards export promotion, has encouraged many exporters to venture out into new markets," Mr Vaghela said.

He said that the textile industry has come out of the doldrums of yesteryear. The textile sector, which was earlier a sunset industry, is now a sunrise industry. Bankers, who were earlier reluctant to lend money, are now looking positively towards the textile business and nearly Rs 18,000 crore has been disbursed to the sector in the last 20 months, he said.

Mr Vaghela also assured to take up with Mr Chidambaram problems such as the Duty Entitlement Passbook scheme and the withdrawal of Rule 12 (B) of Central excise, which have plagued the sector.

He said that the Government is committed to creating an enabling and conducive atmosphere for the Indian textile industry to modernise and expand capacities. Rationalising various duties is part of the Government's commitment, he said.

He said that there is scope for an integrated textile park in Maharashtra and called upon the SRTEPC to work towards this goal.