The Apparel Export Promotion Council has offered to conduct a special training programme in apparel making for the beneficiaries of the National Rural Employment Guarantee (NREGA) scheme if the Government can route part of the scheme's fund to it.
AEPC said the textile industry is facing a huge shortage of skilled labour, and it could set up manufacturing units in the backward regions where NREGA beneficiaries are located. The Government has allocated Rs 40,000 crore for NREGA in this Budget.
AEPC is the apex body of about 8,800 apparel makers who collectively export garments and made-ups worth about Rs 50,000 crore a year. Over 12 million people are directly and indirectly employed in the sector.
Mr Premal Udani, Chairman, AEPC, said some States such as Tamil Nadu and Karnataka are already running training programmes through AEPC-promoted Apparel Training and Design Centre (ATDC). The ATDC tie-up with the Tamil Nadu Government plans to train 5,000 people by March end.
Allaying fears that the Government would be subsidising the private sector by entering into an agreement with AEPC, Mr Udani said in the long run both the Government and the industry would benefit as the move would create a permanent job opportunity for the beneficiary and reduce Government burden.
For instance, if a NREGA beneficiary gets Rs 150 a day, the Government can allocate Rs 75 to AEPC for training the beneficiary. Later, the Government can reduce the allocation when the beneficiary starts earning on his own, he said.
The 3-7 week programme costs about Rs 700 per head. On completion of the training, one can find a job for Rs 20,000 a month, he added.
ATDC plans to train 50,000 people across the country. AEPC has a tie-up with the Clothing Industrial Training Authority, Hong Kong for faculty training and development of course modules for ATDC.
The domestic textile industry is expected to grow to $60 billion by 2015 with exports touching $50 billion, according to an industry study.
The employment to be generated by this sector including textiles, apparel, handicrafts, handlooms, sericulture and jute is expected to grow to 45 million by next fiscal against 33 million current.
Of the additional 12 million job openings, about five million will be in the core technological area of textile and apparel production and the remaining in support and auxiliary services.