Textile units to register online and provide production data

The Government has made another move post demonetization.They have made it mandatory for all textile units across the value chain, except handloom, khadi and jute, will have to register online and provide data on production.

While the registration will be one-time, production details should be shared by the units every month. Units can do this online from their premises or make use of the infrastructure available at the Regional Offices of the Textile Commissioner or powerloom service centres.

According to a senior official in the Ministry of Textiles, the information will be collected, not for regulation, but for the development of the textile industry. He said that while they have had data on exports, there was no information related to the domestic textile and clothing sector.

They did not know how many units are MSMEs, how many are mills or the kinds of products they make. This system will help them know which segment is strong, those that need support, and the quality standards adopted.

They will start from January 1. The systems are almost in place. The units will have to register first. There is a proforma and details such as the size of the unit, the number of workers, production, product type, fibre used and standards adopted will be collected. This will be mandatory for all the units.

The industry has welcomed these developments. Manickam Ramaswamy, former chairman of the association, adds that if data is available, better decisions can be made for the benefit of the industry. Prabhu Damodaran, secretary of Indian Texpreneurs Federation, says the industry needs data as it will give clarity on production.

According to M. Senthil Kumar, chairman of Southern India Mills’ Association, business intelligence is needed to come up with strategies for development of the industry.

Apart from this, following demonetisation of Rs. 500 and Rs. 1,000 notes, the Ministry is giving a thrust on opening bank accounts for textile workers. The estimate is that there are 60 lakh workers in the textile industry. In the last 10 days, accounts have been opened for two lakh workers.

Each industrial association has been asked to enroll specific number of workers and the exercise is expected to be completed by the end of the financial year. Master trainers are developed to train the workers to use the payment transfer applications.