Textile industry to grow at 7-8 percent: Maran (Second Lead)June 12th, 2009 - 8:16 pm ICT by IANS
New Delhi, June 12 (IANS) The textile industry will regain lost ground to grow at 7-8 percent in the current fiscal, Textiles Minister Dayanidhi Maran said here Friday.
“Industry is quite optimistic and I am also quite optimistic we will be able to achieve that growth,” Maran told reporters on the sidelines of a conference here.
He said as part of a short-term strategy for the textile industry, the government will try to rationalise fiscal structure, exempt it from service tax, reduce interest rates on credit and facilitate faster clearance of arrears.
“I also urge the banks to give credit and help us,” Maran said.
Referring to the minimum support price for cotton that was hiked by 33-40 percent last October, the minister said: “We will be working closely with the agriculture ministry to ensure we do not tilt the balance (between industry and farmers) in any way.”
Maran said he had no objection to higher minimum support price for cotton as long as it did not hurt the textile sector, which he estimated would create one crore jobs in the next few years.
Over 600,000 textile sector workers are estimated to have lost their jobs after exports plummeted drastically after the global economic downturn. Merchandise exports, particularly textiles, witnessed almost flat growth during 2008-09.
“The main contributory factors were appreciation of Indian rupee, and a perceptible slowdown of economies of the US, Europe and Japan, major markets for Indian textiles and clothing exports,” Maran said.
The textiles and clothing exports contribute around 12 percent to India’s foreign exchange.
- Handicrafts exports recorded a growth of 18 percent: Maran - Feb 04, 2011
- Government to exempt textile sector from service tax - Jun 12, 2009
- Government mulls fiscal relief for textile industry (Lead) - Jun 12, 2009
- Cotton exports will not exceed 55 lakh bales: Maran - Jan 22, 2011
- Government confident of meeting 20 percent export growth target - Jul 26, 2012
- Foreign trade policy to be reviewed Monday - Aug 20, 2010
- India exports registered an increase amid global economic meltdown: Maran - Jun 09, 2010
- Maharashtra cotton farmers to meet Sonia on export ban - May 15, 2011
- Textile workers demand ban on cotton yarn export - Nov 20, 2010
- Textiles sector calls for stable growth policy - Jan 19, 2011
- Continue incentives for textile sector: minister - Feb 23, 2010
- Roll back excise duty on branded garments: Buddhadeb - Mar 08, 2011
- Textile sector remains core to the Indian economy: Minister - Aug 26, 2011
- Cotton farmers demand lifting ban on exports - May 02, 2011
- Linking my 2006 letter with current scenario wrong: Maran - Nov 20, 2010
Tags: agriculture ministry, arrears, clothing exports, contributory factors, dayanidhi maran, economic downturn, farmers, fiscal structure, foreign exchange, indian rupee, indian textiles, merchandise exports, New Delhi, objection, sector workers, sidelines, slowdown, term strategy, textile industry, textile sector