Related Keywords: boost textile sector, garment companies, global economic slowdown, high cost of finance, interest subvention of three point five, major barrier for growth of textile sector, stiff competition, union textile ministry, working capital loan
The high cost of finance has been a major barrier for growth of the textiles sector, in a bid to counter torpidity in exports due to stiff competition, the Union textile ministry is contemplating interest subvention of 3.5 percent on the working capital loan for garment companies
Rashmi Verma, secretary, Union textiles ministry said that in order to boost the textile sector, they have announced several incentives in the last few months. The major area of concern, however, remains high cost of production because of elevated interest rates on working capital.
