At a meeting called by the Chief Minister Yogi Adityanath, to discuss the draft textile policy for the State. Chairman LK Jhunjhunwala and Co-Chairman SK Khandelia who attended the meeting recently welcomed the draft Textiles Policy of UP, claiming in a statement that this policy will uplift the sector in the State. Prior to the release of the draft policy, FICCI had submitted detailed suggestions to the UP Government for formulation of a vibrant and competitive Textiles Policy.
Khandelia commenting on the draft Policy said that it is heartening to see that many of the suggestions submitted by FICCI like Open access for existing as well as new units, capital subsidy for new and existing units over and above TUFS, interest subsidy over and above Central Government’s subsidy for technology upgradation have been included in the draft Policy.
There were other suggestions also made by FICCI like higher subsidy on electricity tariff: 1.5 per unit power subsidy in tier 1 cities/ areas, 2 per unit power subsidy in tier 2 cities / areas and 2.5 per unit power subsidy in tier 3 cities/areas. Subsidy of Rs. 20 cr for each cluster/park in addition to the Central Government’s subsidy of Rs. 40 cr under Scheme for Integrated Textiles Park (SITP). Capital Subsidy by State Government for Technical Textiles sector. The State Government to provide 50 per cent of the CETP project cost or Rs. 20 cr whichever is less for setting up a CETP in new or existing textile parks/ clusters which the State Government may like to consider in their textile policy.
According to Jhunjhunwala, UP has abundant labour force that currently is largely employed in the industry outside the State. This policy has the potential to provide jobs to millions of natives as it is a labour intensive sector