Industry seeks working capital at 4 per cent interest subvention to purchase cotton

The Union Ministry of Textiles is considering a series of measures that will revive the industry and increase production. Union Textile Minister K. S. Rao told presspersons here, after meeting stakeholders of the textile industry, that textile production in the country was to the tune of $85 billion and textile exports were about $35 billion.

At the meeting here, industry representatives expressed their problems and suggested measures that would enable them to overcome the difficulties they faced.

For instance, every segment of the textile value chain said that they were affected by power shortages. They also sought stability in cotton and cotton yarn prices. The units would be able to increase production and exports if they were given assistance (capital investment subsidy) to go in for solar projects.

They could also be supported to set up dedicated power plant for the textile industry in Tamil Nadu. Similarly, the units also sought working capital at four per cent interest subvention to purchase cotton at the beginning of the cotton season, the Minister said.