Govt expects to generate 50K jobs in new textile policy

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Aiming to establish Haryana as a preferred destination for textile manufacturing, the State Government has chalked out a new textile policy that seeks to generate 50000 new jobs by attracting investment in the textile sector to the tune of Rs 5000 crore.

For the growth and modernisation of the textile industry, the policy proposes fiscal incentives, infrastructure augmentation, establishing textile parks and providing skill training.

The policy has been formulated keeping the cotton belt of Haryana. Haryana is one of the leading cotton producers in the country with Sirsa, Fatehabad, Bhiwani, Hisar and JInd being the main cotton producing districts. The sector provides employment to around 1 million people with readymade garments worth USD 2 billion being exported from the state annually.

The State Government has proposed capital subsidy at 10 percent for the eligible new projects of all textile enterprises across the state.

“The draft policy aims at positioning Haryana as a preferred destination for global textile majors. It aims to boost textile export by Compound Annual Growth Rate of 20 percent during 2017,” said a senior government official.

As per the policy, which is yet to get Cabinet's  approval, HSIIDC will offer industrial parcel for a lease of 33 years with 5% increase in annual lease rent and Panchayat land will also be made available on lease for industrial development

Textile enterprises acquiring technology will be provided financial assistance upto 50% of cost for adopting technology from recognised National Institutes, maximum up to Rs 25 lakh. Also, 100% electricity duty exemption for 10 years from the date of release of electricity connection is proposed for new enterprises in ‘B’, ‘C’ and ‘D’ category blocks and for 5 years only for new enterprises in ‘A’ category block

Apart from this, 100% exemption of external development charges in ‘C’ & ‘D’ category blocks for all categories of enterprises is proposed.

Under the draft policy, the State Government will facilitate the setting up of textile parks exclusively for garmenting units with provision of labor housing and built up sheds(to be provided on lease basis) to facilitate expansion of the garmenting industry in the state, said the official.

The Government under its land aggregation scheme shall facilitate rehabilitation of dyers & processors by making available land for units at affordable rates as well as facilitating clearances like ClU clearances under single window clearance mechanism.

Besides, the State Government will create infrastructure in form of water pipeline network for supply of tertiary treated water (with subsequent Ultra Filtration and RO treatment) from Sewerage Treatment Plants to cluster of textile industries for processing and industrial use. This initiative will reduce the usage of fresh/underground water by industrial establishment.

To meet the demand of an International Quality Testing Centre at Panipat, the existing Quality Marking Centre for Textile Goods at Old Industrial Area, Panipat shall be upgraded to world class standards.

The State Government would also facilitate setting up of a Textile Park at Hansi in district Hisar. The Textile Park shall house Weaving, Sizing and Garmenting enterprises to augment the already strong infrastructure for ginning, spinning that already exists in that region.

The official said that a Centre of Excellence for Textiles in collaboration with TITS is proposed to be established at Bhiwani. The centre shall have facilities for Research and Development, Testing and Evaluation of Textiles, Quality Certification, Technical Services and Consultancy.

The Centre of Excellence will also establish an Information Centre to facilitate dissemination of information through sample exhibits, awareness programmes, e-library, video conferencing and publication of books, journals and technical know-how to the manufacturers and users of textile products.

To address the shortfall of skilled manpower in the textile sector, the State Government has proposed to encourage private players to conduct skill development training programmes by reimbursing 75% of the total cost of these programmes (balance 25% would be met by the private player) subject to a maximum cost of Rs 10,000 per trainee

For Khadi industry, the State Government has planned to facilitate retail space at nominal rates for Khadi institutions. locations such as famous tourist spots, places with heavy footfall such as airports, retail hubs etc. is proposed to be explored for such opportunities.

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