UPSC Articles
2021- A Year of Game Changing Reforms for Ministry of Textiles
Part of: Prelims
India has the unique advantage of the entire value chain for textile production present within the country vis-à-vis other competing nations which have to import fibre, yarn and fabric to meet their requirement for garment production. It has a large market, which is growing rapidly with affordable manpower.
- The domestic textile and apparel production is approx US$ 140 Bn including US$ 40 Bn of Textiles and Apparel export.
- The textile and apparel industry contributed 2% in the overall GDP of India in 2019 and 11% to total manufacturing in GVA.
- Widely referred to as a change agent owing to its transformative powers, this industry alone has the capacity to generate around 70 jobs in garmenting and an average of 30 jobs overall for every INR 1 crore (USD 132,426) invested as compared to 12 jobs created on an average in other industries.
- With direct and indirect employment of close to 105 million people, this industry is the second largest employment generator in the country, next only to agriculture.
- More significantly, women constitute 70% of the workforce in garment manufacturing and about 73% in Handloom.
Supporting Factors
- Availability of almost all types of raw materials
- Existence of total value chain
- Young demography of India
- Entrepreneurial mindset of industry leaders
- Continuous support of Government
- Technology up gradation
- Focus on innovation
- Strong presence of support industries will help this sector grow at a healthy pace in coming decade.
Game changing Reforms
- Government approved setting up of 7 Pradhan Mantri Mega Integrated Textile Region and Apparel (MITRA) Parks with a total outlay of Rs. 4445 Crores
- PM MITRA Park will encompass all ‘5F’ components: Farm to Fibre; Fibre to Factory; Factory to Fashion; Fashion to Foreign.
- Under PM MITRA Parks World-class Industrial infrastructure would attract cutting age technology/scale and FDI / local investment in the sector
- PM MITRA Parks to generate around 1 Lakh direct and 2 lakh indirect employment per park
- Production Linked Incentive (PLI) Scheme for Textiles is specially focused at high value and expanding MMF and Technical Textiles segments of Textiles Value Chain
- Government approved continuation of RoSCTL scheme up to March 2024 to boost export competitiveness of Indian apparel and made-ups
- Under SAMARTH Scheme, a total of 71 textile manufacturers, 10 industry associations, 13 state government agencies and 4 sectoral organizations on-boarded with an allocated target of 3.45 lakh beneficiaries. Samarth is a placement oriented programme targeting skill development of unemployed youth in the value chain of textiles for gainful employment in organized sector and skill upgradation of weavers & artisans in traditional sector.
- Ministry of Textiles approved rationalization and continuance of Integrated Wool Development Programme (IWDP) from 2021-22 to 2025-26 with total financial allocation of Rs. 126 Crore
- A National Action Plan for Indian Toy Story has been made with collaboration of 14 Ministries/Departments of Government of India.
News Source: PIB