Maharashtra state’s new textile policy to offer capital, power subsidy

The Magnetic Maharashtra, the three day long Convergence 2018 conclave that began on Sunday, the state government will be announcing its new textile policy which will be for the 2018-2023 period. Chief Minister of Maharashtra, Devendra Fadnavis said that the policy will cover the spinning, weaving, processing, garmenting, knitting and ginning industries, among others.

Senior officers in the Chief Minister’s Office (CMO) said that the policy will offer capital subsidy between 25% and 40% to the textile sector. Under the new textile policy, subsidised power will be available at Rs3 per unit for cooperative spinning units, while power looms with capacity below 200 horsepower can get electricity for Rs2 per unit, as will spinning mills. Subsidy given to power looms can be availed by other textile value chain units like processing, garment-making and knitting as well.

Additional capital subsidy of 10% will be given to industries taking green initiatives. Entrepreneurs interested in setting up shop in underdeveloped regions like Marathwada and Vidarbha will be given an additional 20% subsidy on capital investment. The regional subsidy is being offered to maintain a balance of growth between rural and urban, developed and undeveloped areas of the State.

The government has invited proposals from private parties to build and operate a textile university, for which it will provide land and bear the construction cost. The government also plans to open textile research and development centres across the State.

The policy is aimed at generating 10 lakh new employments in the next five years and doubling the farmers’ income by 2022. It is also expected to attract investments worth Rs36,000 crore.

The policy lays a special focus on strengthening the knitting, garmenting and hosiery sector, which will create ample employment opportunities for women. This will prove to be an important step forward towards women empowerment and development of women entrepreneurs.

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