Govt will extend only policy support, act as a facilitator: Roop Rashi, Textile Commissioner

Our Bureau Coimbatore | Updated on September 24, 2020

‘India should grab the space left by China’

While stating that the problems faced by the textile industry due to Covid-19 would be shorter, Textile Commissioner Roop Rashi said, “the structural issues on the raw material front would be addressed soon. But, it is for the industry to utilise the opportunities, diversify, innovate, scale-up and build global brands.”

Speaking at the 14th CEO Conference of the Southern India Mills Association (SIMA) – SIMA TEXPIN 2020, (held virtually), Rashi, while affirming that the government would extend support to the industry, categorically stated “as a facilitator”.

Reiterating that the government would extend only policy support, the Textile Commissioner observed that the domestic market is strong and that the industry should gear itself on the value addition front.

Also read: ITF urges TN apparel sector to focus on US market ‘aggressively’

Bangladesh and Vietnam are emerging stronger despite India having large production base, the Commissioner observed, before adding “India should grab the space left by China’.

Highlighting some of the issues confronting the textile industry, Ashwin Chandran, Chairman, SIMA, appealed for release of a major portion of the TUF subsidy against bank guarantee. “Over ₹10,000 crore of TUF subsidy under various schemes are blocked due to procedural issues,” he said, requesting for simplification of guidelines and protocols and making the scheme industry-friendly.

Covid challenges

While hailing the relief measures announced by the government to mitigate Covid-19 challenges, “the debt restructuring facilities for non-MSMEs are available only when the accounts are standard as on March 1, 2020. As the textile and clothing has been facing long drawn recession, the government should take a relook and extension of the moratorium.

The association has impressed upon the need for a special package to boost cotton consumption by including all the cotton textile products under IES, MEIS and RoSCTL/ RoDTEP, besides announcing special incentive of 4 per cent for cotton yarn, 5 per cent for fabric and 6 per cent for garments and made-ups to boost exports and increase cotton consumption.

Earlier, Chinmaya Goyal, Senior Manager, Ernst & Young LLP, Gurgaon made a presentation on “Competitiveness of the Indian Textile Industry in the Global Market.

Published on September 24, 2020

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