Apparel Online India 1-15 July' 17 | Page 32

TEX-FILE APPAREL RESOURCES NEWSLETTERS FACEBOOK FRIENDS To subscribe, send us an email at [email protected] Join more than 10,000 people who are already fans of Apparel Resources on facebook. Search for Apparel Resources at https://www.facebook.com/apparelresources/ UP: Industry gets draft approved on textile policy without much knowledge After more than a decade, Uttar Pradesh – the highest populated state in India – seems to be active for the textile industry as Yogi Adityanath-led State Government has approved the draft of UP Textiles, Handicrafts and Sericulture Policy 2017. He also gave approval for the establishment of private textile parks on expressways and national highways and has directed officials to identify suitable locations on these, including Lucknow-Kanpur, Kanpur-Allahabad, Chitrakoot- Jhansi-Lalitpur, Varanasi-Allahabad, Delhi-Meerut, Delhi-Moradabad, Bareilly-Moradabad-Bijnor, Meerut- Nazibabad, Gorakhpur-Varanasi and Gorakhpur-Faizabad. “Our aim is to attract FDIs and private investors to boost the textile industry in Uttar Pradesh. Those who are willing to invest in this sector will be given tax benefit and other sops. The Government has already made provisions for the same in its draft policy,” the CM was quoted as saying. The new policy has provision of offering 100 per cent stamp duty exemption to those investors who buy 50 acres and above land to develop textile parks in the state. Waiver on interest on loans taken for buying land and construction of staff quarters and hostels will also be offered. The draft is not available in the public domain and the industry across the state is not aware about this move, except for what is being said in media. Apparel Online approached various stake holders of the State textile and apparel industry, but most of them were not aware in detail about this initiative. As the draft focuses on establishment of private textile parks on expressways and national highway, previous experience of UP- based companies was not positive in this regard. One of the biggest names in UP’s textile industry, Shri Lakshmi Cotsyn Limited, Kanpur – a leading Indian home furnishing exporter with focus on terry towels and bed sheets along with denim fabric export to some of the top brands across the US and Europe – when initiated for a textile park during the last Government’s regime, had a very bitter experience to share with team Apparel Online. The company’s ED (Operation), Alok Agarwal shared, “It is good that the State Government wishes to support new textile parks, but its nitty gritties have not been cleared as yet. We insist that if State Government is Yogi Adityanath, Chief Minister, Uttar Pradesh Alok Agarwal, ED (Operation), Shri Lakshmi Cotsyn, Kanpur keen to focus on textile parks, it has to first develop infrastructure on a priority basis. The earlier Government of UP ignored it as we did have our textile park sanctioned, but struggled a lot till one-and-a-half years. We requested the then State Government to develop basic infrastructures like power and roads there, but all went in vain. Finally, the project got cancelled and our Rs. 25 crore got stuck in this project. We hope that the same story would not be repeated now and Yogi Adityanath- led State Government will support the textile industry. The Government should work rapidly so that results should reflect on ground level not just on papers.” Alok confirmed that no discussion was done so far with them. Lalit Thukral, President, Noida Apparel Export Cluster (NAEC) Whatever information he received, was through the media only. However, Lalit Thukral, President, Noida Apparel Export Cluster (NAEC), who is also associated with UP Export Promotion Council, very frankly admitted to AO and said, “Yes, the State Government officials did meet and discuss with us and we highlighted to them the need of setting up apparel parks. After listening, they assured us that they will work on our demand.” Though Lalit admitted that so far he has not seen or heard about the draft of the policy. It is pertinent to mention here that despite having textile and apparel hubs like Noida, Kanpur, Varanasi, Ghaziabad, Meerut, Moradabad, the previous Government did not focus on the textile industry. Telangana allocates Rs. 1,200 crore for textile industry The Telangana Government has allocated Rs. 1,200 crore to the textile sector for FY 2017-18. Of the total budget, Rs. 373 crore is for handlooms and Rs. 827 crore for powerlooms, their modernization and other schemes. This was disclosed by State Information Technology and Industries Minister K. T. Rama Rao. It is pertinent to note that Telangana Government has also initiated the process to formulate textile and apparel policy to facilitate loans 32 Apparel Online India | JULY 1-15, 2017 | www.apparelresources.com for weavers. The Government is yet to take a final call on the matter. A number of national and international textile entrepreneurs are waiting for the policy as they will accordingly decide their investment plans in spinning, weaving, processing and garment sectors at Kakatiya Integrated Mega Textiles Park and Sircilla Apparel Park in the state. According to media reports, at least 10 industrialists from Tirupur have also committed to invest in Telangana.