As Many As 682 Textile Mills Closed Down As On June 2017, States Textile Minister

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As Many As 682 Textile Mills Closed Down As On June 2017, States Textile Minister

Union Textile Minister Smriti Irani told the Lok Sabha that as many as 682 textile mills were closed as on June end this year, out of which 232 are in Tamil Nadu, the government has stated.

She also stated that 1,399 textile mills are operational and all of them are in the non-small scale sector, as on June 30.

Out of the mills which closed down, 232 mills are in Tamil Nadu, 85 are in Maharashtra, 60 mills are in Uttar Pradesh and as many as 42 mills are in Haryana, she stated, giving a state wise break-up. Among the 1,399 operational textile mills which are operational, 752 are in Tamil Nadu, followed by Maharashtra (135) and Andhra Pradesh (112), she said.

She stated that under the Amended Technology Upgradation Fund Scheme (ATUFS), launched last year, there are benefits in terms of one-time capital subsidy of 15% for the garmenting and technical textiles segments, with a cap of Rs 30 crore.

There is also a 10% capital subsidy for segments like weaving, processing, jute, silk and handloom with a subsidy cap of Rs 20 crore for setting up new textile units or for expansion of existing units with benchmarked technology, she stated.

Responding to a query related to closed textile mills in Maharashtra, the minister said the centre would fully support initiatives for the industry taken by the state government.

She stated that the textiles industry witnessed the largest amount of Foreign Direct Investment (FDI), adding that the Goods and Services Tax (GST) as well as labour reforms have been welcomed by the industry.

The government has also formulated schemes to set up new textile mills, she stated.