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Govt to set up private textile parks to curb China imports

November 16, 2024 22:04 IST

To curb raw material imports from China and promote textiles, the Uttar Pradesh government is looking to set up nearly a dozen private textile parks in the state.

Textile

Garment workers cut fabric to make shirts at a textile factory of Texport Industries in Hindupur town in Andhra Pradesh. Photograph: Samuel Rajkumar/Reuters

The textile parks would be established under the UP Textile and Garmenting Policy 2022.

Districts where these parks will come up include Gorakhpur, Mau, Bhadohi, Aligarh, Baghpat and Shamli.

The first private textile park will be set up in Shamli district with an investment of Rs 726 crore.

 

The Shamli project--Lonex Textile Park, spanning 27 acres, will be operational by December 2025.

This will provide 5,000 direct and indirect jobs.

It will comprise 17 production units, including for weaving, dyeing, printing and garmenting.

India’s textile industry is expected to grow at a compound annual growth rate (CAGR) of 8.9 per cent during 2023–2032 and the domestic textile and apparel market, valued at around $165 billion in 2022, is expected to touch $350 billion by 2030.

In the backdrop of this, the Yogi Adityanath government is positioning the state as a potential textile and garment hub in South Asia.

Traditionally, Uttar Pradesh boasts of major textile hubs of Varanasi, Lucknow, Bhadohi, Gorakhpur, Kanpur among others.

According to UP handloom and textile principal secretary Alok Kumar, the proposed private textile parks will not only boost local production but also reduce reliance on raw materials from China and other states.

Moreover, the textile parks will capitalise on disruption in the textile sector in Bangladesh following political unrest, which reportedly forced the closure of almost 1,000 small and medium textile units in that country.

As India is targeting garment exports of $100 billion in the next five years, the state is strengthening its textile value chain.

At the same time, under the central government’s PM Mega Integrated Textiles and Apparel (PM Mitra) scheme, a mega Textile Park is being developed covering Lucknow and Hardoi districts over 1,162 acres.

With investment of about Rs 10,000 crore, the project will generate 300,000 direct and indirect jobs.

About 400 big and small textile manufacturing and processing plants are likely to come up under the project.

Leading companies like Reliance Industries, Arvind Mills, Vardhman, Ahuja Textile Mills among others are expected to set up their units under this.

The textile sector is among the largest employment generators in UP and the government is propelling it with policy interventions.

 

Earlier, the Centre had announced seven PM Mitra parks located in Tamil Nadu, Telangana, Gujarat, Karnataka, Madhya Pradesh, UP and Maharashtra.

Virendra Singh Rawat
Source: source image