Punjab News/Punjab unveils new policy to attract investments in textile sector
Author(s): City Air NewsPunjab CM with Daniele Mancini Ambassador of Italy on Tuesday. Mohali, December 10, 2013 : The Progressive Punjab Summit 2013 today saw a lively interaction between the top brass from the Textile Industry, Representatives...
cityairnews
Dec 10, 2013 12:30
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Punjab CM with Daniele Mancini Ambassador of Italy on Tuesday.
Mohali, December 10, 2013 : The Progressive Punjab Summit 2013 today saw a lively interaction between the top brass from the Textile Industry, Representatives of Govt. of Punjab and the delegates from all over India during a brain storming session on “ Textile sector in Punjab : from Fibre 2 Fashion. ”
Vikas Partap Singh Director, Industries & Commerce, Punjab informed that textiles is a star product of Punjab with 14% of total cotton yarn in India being produced in Punjab. He said that with a strong cotton base, ample power supply and skilled labour, Punjab has great opportunities to grow.
Giving details of the Package of incentives offered by govt. of Punjab for setting up Integrated Textile Units (ITUs) in the defined Textile Zones in Punjab, Vikas Pratap said that ITUs with Fixed Capital Investment of Rs.150cr to Rs. 500cr would be provided retention up to 80% of the quantum of VAT & CST payable per annum, 100% exemption from payment of Electricity Duty on Power, 100% Exemption from stamp duty on purchase/lease of land, 100% Exemption from Property Tax, 50%exemption from payment of Market Fee, Rural Development Fund and Infrastructure Development Cess on the purchase of cotton and all the incentives would prevail up to 11 years where as ITUs with investment over Rs. 500cr would avail the same for a period of 13 years and VAT & CST retention for them is 90%. The ITUs shall be eligible for incentives in the Textile Zones in Mansa, Bathinda, Muktsar, Fazilka, Ferozepur, Faridkot, Moga, Barnala, Sangrur, Patiala, Amritsar and Tarn Taran districts and all the approved Industrial Parks, Industrial Focal Points and Industrial Estates in all districts of the State.
Answering queries of delegates, he informed that to facilitate the processing units, 2 Common Effluent Treatment Plants (CTPs) of the capacity of 50 MLD each are coming up in Ludhiana and government would continue to play the role of a catalyst in Textile Sector. The Panel discussion was carried out by Rajinder Gupta, MD Trident Group, Kamal Oswal, MD, CEO and Vice Chairman Nahar International, Ness Wadia, MD Bombay Burmah Trading Corporation, Amar Choudhary, Head, Corporate Strategy, Arvind Mills, DL Sharma, MD Vardhman Group and SS Arora, CEO, Rainbow Denim. The panelists spoke on various aspects of Textile Industry including Evolution of Textile Industry, Fabric Manufacturing, Converting Commodity into Brand and Technical Textiles.
The participants in unison agreed that there are ample opportunities of growth & investment in Textile Sector in Punjab especially in the processing of Value Added Products, Fabric, Design and Technical Textile. They agreed that Punjab is doing well on spinning front and is second in country after Tamil Nadu and 95% of the hosiery is manufactured in Ludhiana but production of Value added Products is negligible and more thrust needs to be laid on it.
The Session ended on a positive note of Govt. incentives attracting more investment in Textile Sector and tapping of production of Value Added Products along with the demand for more financial incentives for small and medium units.
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