Covid-19 affected the Textile And Clothing Sector

Mar 16: The global pandemic of Covid-19 affected the textile sector initially due to restriction of social gathering. However, the situation has improved in recent months and production and exports have looked up. The export of textiles and apparel during April-January 2021-22 is USD 34.459 billion, posting a growth of 49% over the same period in 2020-21(USD 23.137 billion). The performance of major textile sectors in terms of production is at Annexure.

In order to overcome the above challenges faced during the pandemic, the government has taken the following major initiatives/ measures in the textile sector to boost exports, production, demand and job opportunities in the sector on a pan-India basis: To boost exports in the Man-Made Fibre(MMF) sector, the Government has removed anti-dumping duty on PTA (Purified Terephthalic Acid), Viscose Staple Fibre and Acrylic.

The Government has approved the setting up of Seven PradhanMantri Mega Integrated Textile Region and Apparel (PM MITRA) Parks in Greenfield/Brownfield sites with an outlay of Rs. 4,445 crore for a period of seven years up to 2027-28. These parks will enable the textile industry to become globally competitive, attract large investments and boost employment generation.

The Government has approved the Production Linked Incentive (PLI) Scheme for Textiles, with an approved outlay of Rs 10,683 crore, to promote the production of MMF Apparel, MMF Fabrics and Products of Technical Textiles in the country to enable the Textile sector to achieve size and scale and to become competitive. 

The scheme of Rebate of State and central Taxes and Levies (RoSCTL) effective from March 2019 has been continued till 31st March 2024 for Exports of Apparel / Garments and made-ups in order to make the textile sector competitive in the international market. 

The government has allocated an outlay of Rs.1000 Crores for advanced research and innovation in Technical Textiles at par with the best in the world. Research topics in 94 categories covering; especially fibres and composites, geotextiles, agro textiles, protective textiles, medical textiles, defence textiles, sports textiles, and environmentally friendly/biodegradable technical textiles have been identified and research proposals have been invited. Thirty-One (31) research projects have been approved, so far, to various research institutes covering IITs, DRDO (Defence Research & Development Organization) CSIR (Council of Scientific and Industrial Research) and Textiles Research Associations, with a total estimated cost of Rs.110 Crore.

In addition, the Government is implementing various schemes viz the Amended Technology Upgradation Fund Scheme (A-TUFS), Schemes for the development of the Powerloom Sector(Power-Tex), Scheme for Integrated Textile Parks (SITP), SAMARTH- The Scheme for Capacity Building in Textile Sector, Jute (ICARE- Improved Cultivation and Advanced Retting Exercise), Integrated Processing Development Scheme (IPDS), Silk Samagra, National Handloom Development Programme, National Handicraft Development Programme, Integrated Wool Development Programme (IWDP) etc. catering exclusively for promotion and development of textile sector on pan-India basis.

The export of handicrafts products including handmade carpets in the current year has shown positive growth as compared to last three years. The Government has taken several steps in promoting the export of handicrafts. In addition to several standard International Marketing events, virtual marketing events have been also organised to provide an international marketing platform to the artisans. Domestic marketing events like Gandhi Shilp Bazaar, Craft Bazaar and Exhibitions are organized to provide domestic marketing platforms to the artisans.

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