TEX-FILE
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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.