New textile policy of Tamil Nadu to entice investment at GIM

The Handlooms and Textiles Department of Tamil Nadu is studying the textile policies of various other states like Maharashtra, Gujarat and Madhya Pradesh and evaluating the financial and legal aspects before coming up with a new textile policy in the next few days to entice more investments ahead of the Global Investors Meet.

On Wednesday, the Ministers concerned and representatives from the textile sector had a meeting in which requests were made to have a policy on a par with recent trends in the sector.

Sources who attended the meeting said that the revised policy could come before the commencement of the Global Investor Meet scheduled for September 9 and 10. As part of the GIM, 12 focus sectors have been identified, one of which is the textiles and apparels sector.

Minister for Handlooms and Textiles S. Gokula Indira said that the government was planning to introduce suitable tax concessions and the single window system for the approval of the investment proposals.

According to official data, the textile industry in Tamil Nadu accounts for 17 percent of the total invested capital in all the industries.
Tamil Nadu is one of the leading States in the textile sector and it houses the country’s largest spinning industry accounting for almost 80 percent of the total installed capacity in India.

The State contributes 40 percent of the total yarn production in the country. There are 2,614 Hand Processing Units (25 percent of total units in the country) and 985 Power Processing Units (40 percent of total units in the country) in Tamil Nadu.

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