The formidable growth of Textile Sector in mushrooming the number of employment generation opportunities and providing economic stability is exemplary. Textile industry in India is a structural wonder, as it has proven crucial for the country since it was established back in 1991.
Textile is one of the oldest industries and has a considerable presence in the national economy as it contributes a major portion to the GDP of the country. It also contributes about 15 per cent of manufacturing value-addition, accounts for around one-third of our gross export earnings and provides gainful employment to millions of people. It also contributes to nearly 30% of the total exports and is the second largest employment generator after agriculture. Government initiatives has played a key role in symbolizing and establishing this industry as a primary monetary institution and contributor.
The blog discusses some of the crucial initiative that government has taken to boost this industry in the recent years.
· Other than allowing 100% FDI (Foreign Direct Investment) in textiles under the automatic route. The Government introduced Welfare schemes, under which the Government provides Health and Life insurance coverage to 161.10 million weavers and ancillary workers under the hand loom weaver s comprehensive welfare scheme, while 73000artisans were provided health coverage under the Rajiv Gandhi Shilpi Swasthya Bima Yojana.
· The Credit Guarantee program introduced by the Government has applied credit cards to more than 25,000 artisans to promote and enable them with necessary supplies. More than 16.5 million applications were received for issuing Credit cards which are under banks' consideration with regards to the credit linkage program.
· The Government of India has taken an extraordinary step to waive a package of US$ 605 Million which remain as an overdue loan on Textile industry. This is expected to benefit more than 300,000 hand loom weavers of the industry and 15,000 cooperative societies.
· The newly announced 40 Textile Parks all across the country that as per expectation would be functional in next 36 months would leverage employment o more than 400,000 textile workers. The product mix of these parks would include garment, silk, technical, textile, carpet, processing and power loom parks.
Other than these schemes a great Memphis is laid upon skill development. The E-marketing platforms too have been introduced for the same.