Special Package for Textile Industry
5.1 Special Package for Textile Industry
The Madhya Pradesh Government has set the following targets for promoting the textile industry:
- Ensuring maximum value addition in utilizing available resources and materials.
- Strengthening the different components of textile industry to meet the challenges posed by globalization.
- Providing maximum employment opportunities.
Following schemes would be implemented to achieve the said targets.
5.1.1 Readymade garment and made-up garment industries offer maximum value addition. To promote these industries, the state government would ensure maximum benefits of Government of India’s schemes like Apparel Park Scheme, Textile Centre Infrastructure Development Scheme (TCIDS) and establish Apparel Park/Garment Complex at strategic locations. According to provisions of such schemes, the required share capital would be arranged by Commerce, Industry & Employment Department, Audyogik Kendra Vikas Nigams & or Private Investors.
5.1.2 Ready-made garment, made-up garment and power loom sectors offer immense employment opportunities. Therefore modernization of units of this sector and to organize them to the extent possible and also to develop essential infrastructure would be necessary. For this, maximum benefit from various schemes of Government of India e.g. Apparel Park, TCIDS, Technology up gradation fund scheme (TUFS), Group work shed scheme, would be accessed and accordingly infrastructure will be developed at various places in the State.
5.1.3 Keeping in view of the immense potential of textile industry, maximum capital investment would be encouraged.
5.1.4 An Apparel Park and Garment Complex would be set up at Indore and Jabalpur. The concessions and facilities provided in Industrial Promotion Policy – 2004 would be made available to the industries established in the Apparel Park and Government complexes.
5.1.5 An Apparel Training Institute would be set up with the assistance of Apparel Export Promotion Council in the State, so that maximum number of trained worker could get employment in the Ready-made Garment industry. More number of women would be encouraged for training.
5.1.6 Efforts would be made to establish a national level fashion designing Technology Institute in the State in order to facilitate textile industry of the State regarding the information for design development and to provide forecast, so that the Ready-made garment industry could withstand the global competition. The Technical education department will function as the coordinating department.
5.1.7 Power loom sector would be brought under the control of Commerce, Industry & Employment Department for over-all development of this sector and Director, (Small Scale Industries) would also be designated as Director, Power Loom.
5.1.8 In order to accelerate the pace of modernization of the unorganized power-loom sector, modern power loom clusters would be developed at Burhanpur, Indore and Ujjain with financial assistance sought under Government of India’s Group Shed Scheme.
5.1.9 Infrastructure in power-loom cluster would be built up through Audyogik Kendra Vikas Nigams seeking financial support from the Government of India under T.C.I.D.S. The credit facilities available under Government of India’s T.U.F.S would be fully utilized by the units set up in the clusters to get modern power-looms.
5.1.10 Madhya Pradesh does not have processing house facility for printing and dying of textile as per latest fashion needs and demands. As such, presently grey cloths manufactured in the state are sent to other states for processing. Therefore there is a need to establish a modern process house in the State. In order to meet this requirement, private sector would be encouraged for establishing the process house by providing necessary facilities and if required their cases would be considered by the committee ment for considering Mega Projects.
5.1.11 The provision related to labour laws declared for Special Economic Zone vide State Govt. notification No.28-38-01-Sixteen –B (I) B(II) B(III)B(IV) B(V) dated 19.05.2003 will be made applicable to the projects / special areas established /being developed such as Apparel Park, Garment Complex and unit established/being transferred under group work shade scheme.
5.1.12 Considering the nature of the functioning of the power loom, ready-made garments and knitwear units and their ancillaries would be exempted from the binding of minimum wage fixation on a daily basis. They would be allowed to fix wages on piece basis, by exempting from related labour laws.
5.1.13 Cotton ginning and pressing units would be provided high quality cotton and they would be encouraged for modernization under centrally sponsored schemes with the help of their recognized associations. Construction of tar roads for smooth transportation to Cotton Mandi and construction of cement platform for storage of cotton, using Mandi Board's fund would be taken up on priority basis.
5.1.14 In order to encourage textile industry for the purchase of yarn produced within the State, a "set off" of 2% (Two percent) on Commercial Tax would be given. An entry tax of two percent would be levied on the purchase of yarn for manufacturing, from out side the State.
5.1.15 A textile cell would be constituted in the Directorate of Industries in which related field experts would be included. Industries Commissioner would also be declared as Textile Commissioner.
5.1.16 Malwa region of the state would be specially developed as Textile Zone in which Apparel Park, Garment Complex; Power-loom Clusters etc. would be set up under Centre and State Government – sponsored schemes. The Textile Commissioner would specifically focus on the development of organic farming, development of infrastructure and modernization in this field.
5.1.17 Textile Commissioner would identify new market for marketing of the product; produced by apparel and garment industry. He would take necessary steps for increasing the share of the State's produce in the national and international market. Backward linkage would be set up for convenience of these industries.
5.1.18 An empowered state level textile promotion committee headed by the Chief Secretary would be set up to coordinate and review various activities and to resolve problems faced by the textile industry. The Members of the committee would be as under: -
- Principal Secretary, Commerce, Industry & – Member
- Principal Secretary, Rural Industries Department – Member
- Principal Secretary, Finance Department – Member
- Principal Secretary, Agriculture Department – Member
- Principal Secretary, Commercial Taxes Department – Member
- Industries/Textile Commissioner _ Member Secretary
The Committee may also invite officers from other Departments and experts from Textile sector in its meetings as special invitees.