U.P GOVT OFFERS NEW PERKS FOR TEXTILE INVESTORS

India News

U.P GOVT OFFERS NEW PERKS FOR TEXTILE INVESTORS


August 18, 2017



Uttar Pradesh government is working on offering a slew of incentives to investors in the textile sector, which Chief Minister Yogi Adityanath says will be the state’s second-largest employment provider after agriculture.

According to the draft policy, it will provide special incentives to investors in Bundelkhand, eastern UP and central UP as well as the west UP areas barring areas under the Noida, Greater Noida and Yamuna Expressway Development authorities.

The government will facilitate private or government land to investors for setting up their units. It will also provide assistance in setting up textile complexes, clusters for units of small and medium sizes, as well as textile parks, the draft says.

The government is likely to announce its list of incentives in the form a policy for textile, handloom and silk in the coming weeks. Textile Minister Satyadev Pachauri said the policy is being finalized and state cabinet is working towards giving a thumbs up to it as soon as possible.

Chief minister of U.P has stressed in most his public statements that the textile sector has much potential to create jobs. “We need to sign Memorandums of Understanding (MoUs) with textile mills in the state so that they can train youths. The mills that are not running need to be re-started. This can be done by the government or through PPP(Public Private Partnership) model,” he said at a state government programme on skill development.

At the same programme, he had said his government had set a target of providing jobs to 70 lakh youths in next five years. The draft of textile policy states that UP imports two-third of textile raw material and textile products. The policy aims to promoting all aspects of handloom, textile and sericulture, from the production of raw material to preparation of the final product.

The government is planning to start two silk reeling units in the state so that the farmers could supply their raw materials there instead of selling it to units in other states. He said incentives will also be provided for restarting shut powerlooms.