News Briefs : Indian Textile Industry

8/14/2019 News Briefs : Indian Textile Industry

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Textiles Minister K S RaoInaugurates AEPC-ATDC Smart BhawanThe Union Minister of Textiles Dr. K SRao inaugurated the AEPC-ATDCSmart Bhawan in Faridabad on Sep-tember 26 . The AEPC-ATDC Bhawanand the new concept Knitwear Spe-cialty Centre launched is a speakingexample of Apparel Training and De-sign Centre (ATDC)s commitment tothe textiles industry.

While inaugurating the Centre, Dr. Raosaid that the ATDC facilities createdhere for short and long-term trainingprogrammes and setting-up of theATDC Knitwear Specialty TrainingCentre and the Textile Testing Lab isa very timely and significant step andwill go a long way in improving thequality of training programmes alongwith helping this robust cluster in fu-ture strategies and growth. Acknowl-edging the presence of domestic andexport apparel manufacturing clustersin Faridabad, notching up around Rs.

3000 crore exports, the Ministeremphasised the need for product di-versification and skill development inthe sector which at present lacks sup-ply of skilled hands.

The AEPC-ATDC Smart Bhawan situ-ated amidst a cluster of Apparel Ex-

port Units in Faridabad, which aloneboast of Rs 3,000 crore worth apparel export potential, has over 50 apparel export units and 30 fabric processing units employing over 60,000 people inthe cluster.

In his keynote address, Dr. A.Sakthivel, Chairman, AEPC, ATDC &IAM, said, "I am happy to point outthat at the AEPC-ATDC SmartBhawan, India's 1st Knitwear Spe-cialty Training Centre and 1st ATDCTextile Testing Lab in the NCR arebeing launched and this will serve theyouth by giving them access to newlyapproved NCVT Curricula and state-

of-the-art training infrastructure whileextending services to the nearby ap-

The Union Minis ter for Textiles, Dr. Kavuru Sambasiva Rao u nveiling the plaque to in augur ate the AEPC-ATDC Smart Bhaw an, in Faridabad on Septemb er 26, 2013. The Secretary, Ministry of Textiles , Ms. Zohra Chatterjee and th e Chairm an, AEPC, Dr. A. Sakthiv el and Dr. Darlie O.Kos hy, Director General IAM & ATDC, are also seen.

parel industry cluster."

Ms. Zohra Chatterji, Secretary, MoT,later released the NCVT approvedcurricula for knitwear course, trainersmanual and trainers handbook.

Ms. Chatterji observed that Indiasknitwear export market is growing rap-idly as the knitwear production com-prises of about 45% of the total ex-ported volume of apparel. With around5,000 knitwear factories already setup in India and many more forayinginto knitwear production, numerousskilled hands will be required.

In this regard, ATDC has taken timelysteps to launch NCVT approvedKnitwear Courses, Trainers manualand Trainees handbook, which will seta new direction and help apparel ex-

porters with Industry readyworkforce.

In a bid to motivate the apparel facto-ries in India for the adoption of train-ing and implementation of AEPCDISHA, Dr. Rao distributed the DISHAadoption Certificates to the DISHAChampions.

As of now, 320 units have beenreached out for the training and imple-mentation under project DISHA. 167companies have completed the firstphase of training and are ready forassessment. The six days trainingprogramme/ workshop aims at capac-ity building and greater awareness forthe effective implementation of theprogramme.

DISHA Champions are the manag-ers of the companies who are chosenfrom the employee pool which in-cludes professionals from human re-

source, administration, sourcing andtesting departments.

The cluster of Apparel Export Units in Faridabad alone boasts of Rs3,000 crore worth apparel export potential, has over 50 apparel ex-port units and 30 fabric processing units employing over 60,000people. Indias knitwear export market is growing rapidly. Theknitwear production comprises of about 45% of the total exported

volume of apparel. With around 5,000 knitwear factories already setup in India and many more foraying into knitwear production, nu-merous skilled hands will be required.


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The Scheme for Inte-grated Textile Parks toContinue in the 12th Plan

The Cabinet Committee on EconomicAffairs has approved continuation ofthe scheme for Integrated Textile Parks(SITP) in the 12th Five Year Plan andsanction of new projects for utilizingRs. 717 crore the balance left in the12th Five Year Plan allocation, aftermeeting committed liabilities of thesanctioned 61 parks.

The CCEA also approved additionalgrant of Rs. 10 crore to be given toexisting parks for setting up apparelmanufacturing units. Rs. 50 crore hasbeen allocated for this purpose.

The overall impact and progress of thescheme for integrated textile parkshad been positive and the scheme hadbeen successful in terms of leverag-ing private sector investment, employ-ment generation and creation of need-based, product based world class in-frastructure for the industry. With theincreasing costs of production in es-tablished clusters and heightenedemphasis on environmental compli-ances, there is a growing need forestablishment of green field textileparks that would address both theseconstraints.

Conference of State Min-isters of Textiles held

The Union Minister of Textiles Dr.Kavuru Sambasiva Rao chaired aConference of State Ministers of Tex-tiles held in Vigyan Bhawan recently.After day-long discussions with theState Ministers and Secretaries ofTextiles, Dr Rao said that the Minis-try has conveyed to the state govern-ment representatives to encourageinvestment in textile sector in varioussectors including handloom, handi-craft etc.

Speaking to media persons after the

Conference, Dr. Rao said that the Tech-nology Upgradation Fund Scheme(TUFS) has been notified. Earlier, inAugust this year, the Cabinet Com-mittee on Economic Affairs gave itsapproval for continuing the TUFS dur-ing the 12th Plan period with a majorfocus on powerlooms in accordancewith the Budget announcement for thefinancial year 2013-14.

A major feature of the Scheme is thatto promote indigenous manufacturingof the textile machinery, Interest Re-imbursement (IR) on second handimported shuttleless looms shall bereduced from 5 percent to 2 percent.

On the other hand, for new shuttlelesslooms capital subsidy would be raisedfrom 10 percent to 15 percent, IR from5 percent to 6 percent, Capital Sub-sidy from 10 percent to 15 percent andmargin money subsidy from 20 per-

cent to 30 percent with an increase insubsidy cap from Rs. 1 crore to Rs.1.5 crore.

Dr. Rao said that the Ministry has de-cided to increase the production insericulture from 23 thousand tons to33 thousand by the end of 12th Plan.He was also happy to inform that theproduction of yarn is beyond the re-quirements of the nation.

The Minister added that in the recentpast the handicrafts exporters con-

veyed to him that they wanted a ware-housing facility in one of the countriesof Latin America costing about 100-200 crores which would be spent inabout five years. He added that hehas taken up this issue with the Fi-nance Minister and they are in sup-port of it and I think we will be verysoon getting budget for that also andconstruct a warehousing facility pos-sibly in Uruguay by which the handi-crafts exporters have assured me willdouble the exports from 17,000 to34,000 crore in less than three years.

Highlighting the issue of skills train-ing, Dr. Rao mentioned that we shouldconcentrate more on skills training.He mentioned that the Ministry is en-couraging private institutions and in-dustries for the same. We told themthat we will give them money for train-ing at the rate of Rs. 10,000 per traineeand they are very happy that they will

undertake the training, informed Dr.Rao.

The Textiles Minister also informed themedia that the Cotton DistributionPolicy has been put before the cabi-net. He was also happy to inform thatUnion Minister for Rural DevelopmentShri Jairam Ramesh has agreed tointegrate sericulture workers, wherethe farmers are marginal and smallscale with the benefits of Mahatma

Gandhi National Rural EmploymentGurantee Act (MNREGA).

The Union Minis ter for Textiles chairin g the Conference of State Minis- ters of Textiles, in New Delhi


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Apparel Exports Grow by14.95% in September 2013 : AEPC

Chairman AEPC, Dr A Sakthivel hasexpressed happiness over the growthof exports. Lauding the efforts of theexporters and Government Dr.Sakthivel said, Apparel Exports forthe month of September 2013 grewby 14.95% registering to the 1.11 bil-lion US $ for September 2013. This isthe sixth consecutive months wheregarment exports grew at an averageof 13%. Even, the Exports led em-ployment grew by 6.5% for the monthof April- June 2013 (Labour BureauQuarterly Reports July 2013.). Wehave organised fairs last month, wewent to BSM New York and Spain andwe got the positive signals of the re-vival of the economy in USA and EU.

Requesting the Government, to putexports in the priority sector - whichwas accepted by the PadmanabhanCommittee - to solve the problem ofcredit crunch for the Industry. DrSakthivel assured that with the sup-port of the Government we would bemeeting the export target.

The central governmentannounces Rs.1,000-crore textile package for Karnataka

Bangalore : The central governmenthas granted Rs.1,000 crore as a spe-cial textile package to Karnataka forthe revival of nine spinning mills andconverting cooperative loans given tobeneficiaries into equity shares.

"Of the total amount, Rs.10 crore willbe paid towards dues raised fromstate run banks to build the integratedtextile park at Doddaballapur nearBangalore and to set up textile parksand skill development centres across

the state," said state Textiles, Portsand Inland Water Transports Minister

Union Textiles Minister opens New Minerva Mill inHassan, asks textile employees to develop skillsK. Sambasiva Rao, Union Minister for Textiles, has called upon employeesof a textile mill owned by the National Textiles Corporation (NTC) in Hassan(150 kms from Bangalore) to develop skills for higher salaries and better

job opportunities. The Minister was in Hassan to inaugurate New MinervaMill - a Rs 260-crore composite unit for spinning and garmenting - in theSpecial Economic Zone. This is the first unit of state-owned NTC which islocated in an SEZ. The unit has been set up to export shirts under NTCbrand 'Entyce' to the US and Europe markets.

I will provide funds to train labourers. Once you develop skills, you neednot have to struggle to get your jobs regularised. The company will regulariseyour services if you exhibit your skills. No industry will opt to lose its skilledlabourers, Mr. Rao said while responding to the employees demand for

higher salaries and regularisation of services. He also appealed to thelabourers to work towards increasing profit. If the industry makes profit, Iwill ask them to share it with the employees. Your salaries and emolumentswill grow as long as the industry earns profit, he said.

Stressing the need for a boom in the sector, the Minister said: This unit is100 per cent export-oriented. The value of Indian rupee has dipped with thedecrease in export of Indian products. If our textile units do well, the valueof rupee will also go up, he said. There are 550 workers in the spinning andgarmenting unit. The Minister promised the employees that he would sanc-tion Rs. 170 crore to set up a processing unit on the campus.

The former Prime Minister H.D. Deve Gowda, who was elected from HassanLok Sabha constituency in 2004, said the SEZ was sanctioned to Hassanduring his tenure. H.S. Prakash, MLA, stressed the need for treating efflu-ents. People living around the industrial area have been complaining aboutwater resources being polluted following the discharge of untreated wasteinto it, he said.

Earlier this month, on October 06, 2013., the Union Minister inauguratedKaleeswarar B Unit of National Textile Corporation, in Sivaganga.


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Baburao Chinchansoor in a statementfrom New Delhi.

The minister participated in a day-longconference of state textile ministers

in New Delhi."A part of the grant will be used toincrease minimum wage for poorweavers, pay arrears of incentives andsubsidies to investors," Chinchansoorsaid.

The state textiles ministry plans to setup an international textile park atYadgir and a skill development centreat Gulbarga in the northeast region ofthe state with funds from the special

package. "The funds will also be usedto train unemployed youth in skillsrequired by handloom and powerloomunits," the minister noted.

Declare Mega HandloomCluster as a Nationalscheme, says Manipur Minister The State Government propo sed the

Minis try of Text i les for im plemen- ta t ion of the Manipur Sericu l ture P r o j e c t P h a s e - II at t h e c o s t o f Rs.291.00 crore ov er a period o f 4 years from 2013-14 for generating a t a rg et o f n e w e m p l o y m e n t t o 46933 families with an add itional area of 1, 000 hectares .

Manipur Minister of Commerce and In-dustries and Sericulture GovindasKonthoujam attended the State Tex-tiles Ministers conference held atVigyan Bhawan in New Delhi withUnion Minister of Textiles, Dr KavuruSambasiva Rao in the chair. In hisspeech at the meeting, he presentedhis state's expectations from the MoT.

Manipur is a non-powerloom State.Major common activities under theTextile Sector are Handlooms,Garmenting, Handicrafts and Sericul-ture. Hand weaving forms a part ofsocio-cultural tradition of Manipur and

a large population depends onhandloom for livelihood.

As per the National Handloom Cen-sus 2009-10, there are 1.79 lakhHandloom Households (sharing 6.43%of all India) which is far decreasedfrom 2.16 lakh in 1995-96 (whichshared 8.55% of all India) and furtherdecreased from 1.92 lakh in 1987-88.Though, the handloom workers re-ported as 2.04 lakh in 2009-10, it isexpected to be around 5.00 lakh in2012-13 as compared to 4.63 lakh in1995-96 and 3.37 lakh in 1987-88.Loom population reported in 2009-10was 1.90 lakh which is expected tobe around 2.56 lakh now.

The State is currently implementing

66 Nos. of cluster projects and 347Nos. of group approach projects un-der Integrated Handloom DevelopmentScheme from 2007-08 till date cover-ing 33000 weavers directly and 8800weavers indirectly with a total projectcost of Rs. 38.92 crore.

In addition, a total of 570 individualweavers at the cost of Rs.1.48 crorehave been given benefit under Weav-ers Credit Cards. Also 51135 weav-ers under Health Insurance and 17000weavers under Mahatma GandhiBunkar Bima Yojana. So far, outstand-ing loan of Rs.313.32 lakh has beenwaived off in respect of 4 Banks andrecapitalization of one Apex societyfor Rs. 33.24 lakh under Revival Pack-age.

The Ministry of Textiles also sanc-tioned Rs.94.00 lakh to set up aPowerloom & Allied Service Centre forpromotion and training of weavers in

Manipur. The State Govt. had installedthree powerlooms including oneshuttleless and one sectional warp-ing machine in Imphal.

Handicrafts Industry is one of the im-portant traditional Industries in theState having its own unique identityamongst the various crafts of thecountry. The State Government givesState Awards to outstandingcraftspersons, Modernization of

Handicrafts, Development of Kouna(water reed) products, Equipment sub-

sidy to ex-trainees. So far, 188 Nos.of Craftspersons have been awardedsince 1979-80. The Ministry of Textileshas been providing pension to theState Awardees @ Rs.1,000/- p.m.after attaining the age of 60 years tilldeath. One Urban Haat is developing.

The Ministry of Textiles sanctionedvarious Central Plan Schemesthrough the branch offices of DC(Handicrafts), namely, AmbedkarHastshilp Vikas Yojana, Technological& Marketing Intervention, ProductDevelopment Programme for Exports,Integrated Design DevelopmentProjects, Rajiv Gandhi Shilpi

Swasthya Bima Yojana, Bima Yojana,Shilp Guru Award, etc.

Manipur is one of the unique Statesin the country where four varieties ofsilk are grown, namely, (i) Tasar, (ii)Mulberry, (iii) Eri and (iv) Muga. Be-cause of this unique advantage ofManipur, Japan Bank of InternationalCo-operation (JBIC) funded thePhase-I Programme of Silk develop-ment during 1998-2008. Under thisprograme, 1700 Hectares was addedunder Mulberry.

So far, Rs.102.06 crore has been in-curred out of Rs. 299.90 crore till theend of 2011-12. The cumulative physi-cal achievement of all four verities tillthe end of 2011-12 was 1641.87 MTfor a value of Rs.214.27 crore approx.

Manipur's Proposal

As a tradition, the Ministry of Finance,

Govt. of India usually announced thepackage for setting up of MegaHandloom Cluster in India. As reportedin the Census, 2009-10, i.e. about 60%of the total weavers of the country areinhabited in the North Eastern Region.The handloom sector in Manipur isindeed capable of exponential growth,with proper identification of its needs,a reasonable level of resource inputand structural attention. Therefore, itis proposed to introduce the scheme

for setting up of Mega Handloom Clus-ter as a national scheme instead of


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Budget Announcement subject to theminimum of 50000 weavers popula-tion of the State concerned as theminimum criteria.

The State Government is taking upinitiative for implementation of MegaHandicrafts Clusters in Manipur withthe financial assistance of the Minis-try of Textiles, Govt. of India. TheState is also contemplating to set upone more Urban Haat at BishnupurDistrict. The State Government has proposedthe Ministry of Textiles for implemen-tation of the Manipur SericultureProject Phase-II at the cost ofRs.291.00 crore over a period of 4years from 2013-14 for generating atarget of new employment to 46933families with an additional area of 1,000 hectares.

Manipur Commerce Industries Direc-tor B John Tlangtinkhuma, IAS andDeputy Director of IndustriesKaphunchung Lamlee Kamei accom-panied the Minister in the Conference.

Nagaland seeks a cen-tralized yarn depot atDimapur Nagaland's Minister for Commerceand Industries S. Pangnyu Phom, whoattended the Conference of State Min-isters of Textiles in New Delhi, spokeabout the important needs of the statein the sector of handloom which wastraditionally handwoven and naturalfabric items.

He said practice by the state neededto be improved from tradition to mod-ern technology for large scale produc-tion. He said that the yarn supplyscheme urgently need a centralizeddepot at Dimapur for better transpor-tation and distribution to the weaversin the state.

He also urged the union ministry tosetup an Indian Institute of Handloom

Technology (IIHT) in Nagaland at theearliest.

Union Textiles Ministry Okays Textile Parks for Bellary and Yadgir in KarnatakaSkil l developm ent centre for tex t i le workers p lanned for Gulbarga

Gulbarga : The Union Textiles Ministry has agreed to start new textileparks in Yadgir and Bellary and a skill development centre in Gulbarga forbuilding capacity of workers engaged in textile production.

This was announced by Union Textiles Minister Kavuru Sambasiva Rao inGulbarga during his recent visit. He was speaking to reporters after layingthe foundation stone for basic infrastructure facilities at the Gulbarga tex-tile park at the Nandur-Kesaratagi Industrial Estate on Shahabad Road.

The minister said that in view of the tremendous potential for export ofgarments and apparels, it had not only become imperative to open moretextile parks, but also equip the workers with the necessary skills in tune

with the modern needs.Earlier at the function, Railway Minister Mallikarjuna Kharge made a de-mand for textiles parks at Yadgir and Bellary and a skill development cen-tre in Gulbarga.

Rao said that the Gulbarga textile park, coming up on 50 acres of land withan investment of Rs 100 crore initially, has excellent opportunities forexporting garments.

When the Gulbarga park starts operations, it should be able to exportgarments worth Rs 200 crore annually and the capacity can be enhancedfurther. The products of the park should be competitive and in tune withthe changing needs and tastes of the people all over the world, Rao said.

He said there was a dire need to develop the districts of the backwardHyderabad-Karnataka region industrially and promised to offer any helpand assistance that is required to achieve the goals. Asked whether a fully100 per cent export oriented textile park could be started, the ministersaid any textile park can export 90 per cent of its products.

If necessary skills are imparted to the workers, the textile products willhave greater demand everywhere. He pointed out that Moradabad districtin Uttar Pradesh alone exports handicrafts worth Rs 4,000 crore annuallyas there is a stress on skill development there. Similar success can beachieved by textile parks also, the minister said.

Replying to a question, he denied that cotton production had come downin the country. Last year, India produced 350 lakh bales of cotton and thisyear, the production is expected to reach 370 lakh bales. The domesticrequirement of cotton is 290 lakh bales and the remaining is being ex-ported.

Karnataka produces over 20% of the national garment production and 45%of the national raw silk production. Its silk exports constitute 24% of thetotal value of silk goods exported from India. Approximately 386,000 manu-facturing units are engaged at the organized and unorganized level. Thestate has a workforce of approximately 55,000 weaver families withhandlooms and over one million powerlooms. The state has over 100 SkillDevelopment Centers and 240 private training centers. A 48-acre Inte-grated Textile Park at Dodaballapur housES 85 textile units and over 700powerlooms.


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SRTEPC, in associationwith the Mewar Chamber of Commerce & Industry,organise S e m i n a r O n Exports in Bhilwara

The The Synthetic & Rayon TextilesExport Promotion Council (SRTEPC)Council organized a Seminar onManMade Fibre Textile Industry &Exports in Bhilwara, Rajasthan on 7thSeptember, 2013 with the support ofMewar Chamber of Commerce & In-dustry (MCCI).

The Seminar was held at the LNJ Hallof the Mewar Chamber of Commerce& Industry, and was attended by alarge number of manufacturers, ex-porters and media persons. ShriRakesh Mehra, Chairman ofSRTEPC, chaired the Seminar. Onthis occasion, Shri Sujit Gulati, JointSecretary, Ministry of Textiles, Govt.of India was the Chief Guest, whileShri S.S. Das, Director, Ministry of Tex-tiles, was the Guest of Honour. TheSeminar started by lighting a lamp andwith floral welcome.

The objective of the Seminar was tocreate an awareness amongst themember-exporters of the region aboutthe latest trends and developmentsin various fields relating to exports ofMan-Made Fibre Textiles. Followingpresentations were made on topicalissues such as, Trends and Chang-ing Scenario in International Market-

ing of MMF Textiles, Future of Man-Made Fibre Textile Exports Poten-tial & challenges in Bhilwara, Scopefor production & Exports of TechnicalTextiles, and Role of SRTEPC in pro-moting exports.

Shri Rakesh Mehra in his welcomeaddress said, Bhilwara is a majorCentre for textile production in India,especially MMF textiles. Bhilwara isalso contributing to exports. However,

there is huge untapped potential, andI do hope that this Seminar will be in-

Chief Guest Shri Su jit Gulati, Joint Secretary, MoT (third from left), speaking at th e seminar. Others o n the d ais are (from the left to righ t) Shri S.N.Modan i, Managing Director o f Sangam Ind ia Ltd., Shri S.S. Das, Direc- tor, MoT, Shri Vinod K. Ladia, Immediate Past Ch airman o f SRTEPC,

Shri Rakesh Mehra & Sh ri S.P. Nathany, Hon. Secretary General of MCCI.

strumental in bringing more compa-nies to the export field, which cancontribute to the national export en-deavor.

In his presentation on Role ofSRTEPC in Promoting Exports, ShriMehra briefed the participants aboutthe Councils various services to In-dian companies of textiles for helpingthem develop their export-base ofMMF textiles. He also informed themabout the promotional programmes,the Council is organizing abroad, andMarket Development Assistance(MDA) reimbursements, which are pro-vided to eligible members of the Coun-cil to help them meet a part of theircosts for participation in exhibitionsabroad. SRTEPC Chairman, there-fore, requested the participants tobecome members of the Council andcontribute to the National Export En-

deavor.

Shri Sujit Gulati, Joint Secretary, Min-istry of Textiles in his inaugural ad-dress said that in Bhilwara, since thereare facilities for spinning, weaving &processing, companies need to moveahead for garmenting, as there is hugedemand and value addition for apparelproducts for their exports. Besides,as garments dont require water at all,and also land is less required only

input which is to be managed islabourers.

Shri Rakesh MehraChairman, SRTEPC

Shri Sujit GulatiJoint Secretary, Ministry of Textiles

He also informed that India is laggingbehind in exports of readymade gar-ments from countries likeBangladesh, Sri Lanka and Vietnam.Though we have all the necessaryresources for garmenting, no attention

is given on value-addition. Scope forexports of Technical Textiles in India


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Shri S.S. Das, Director of Textiles inhis Presentation on Technical Tex-tiles informed the participants that thesize of the global market of technicaltextiles was Rs. 6.99 lakh crores forthe year 2010, and it is expected toreach to Rs. 7.48 lakh crores by theyear 2012-13 with an annual growthrate of 3.5%. He added that though

India is the second largest textileeconomy after China, its contributionin global technical textile industry isonly 9% to the total consumption.Considering this huge unrealized po-tential, Shri Das requested the par-ticipants to develop their textile-basein this fastest growing segment oftechnical textiles in India.

Shri Vinod K. Ladia, immediate PastChairman of SRTEPC, in his Power-Point Presentation on Trends and

changing Scenario in InternationalMarketing of MMF Textiles show-cased to the participants about thewidening scope for exports of hometextiles, technical textiles and apparelproducts. He, therefore, advised theparticipants to move into these areas-- enhancing the value of their export-trade exponentially. Comparing Indiawith China, Shri Ladia said thatthough China too is a big producer &exporter of cotton like India, it also

gives huge attention to promote ex-ports of Man-Made textiles. HoweverViews of th e Audienc e at the Seminar o n ManMade Fibre Textile Indus- t ry & Exports in Bh ilwara

Shri S.S. Das, Director, Ministr y o f Textiles


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in India, Man-Made Fibre sector is yetto get adequate focus of our Govt. Headded that MMF textiles is the high-est taxed in the textile value chain.Shri Ladia said that there is urgentneed of fibre neutral policy and atten-tion of the Government for the devel-opment of this highly potential seg-

ment.

In his presentation on Future of Man-Made Fibre Textile Exports Potential & Challenges inBhilwara , Shri S.N. Modani, Man-aging Director of Sangam (India) Ltd.informed the participants thatBhilwara, also known as Textile Cityof India, is the leading manufacturer/ exporter of world-class suitings &yarn. He said that for the development

of Textile Industry in Bhilwara, Gov-ernment should create an Integrated

Shri S.N. Modani, Managing Direc- tor, M/s Sangam India Ltd .

Shri Vinod K . Ladia, immediate past ch airman , SRTEPC.

Participants in the Seminar speaking during th e Question-Answ er session

Textile Development Centre with asingle window clearance facility. ShriModani also emphasized the need tohave training, and electric-supply cen-ters for the faster development of ex-port-base in Bhilwara.

The Presentations during the Semi-

nar were followed by questions raisedby the members of the audience,which were answered by the panel ofspeakers.

The Seminar ended with a vote ofthanks by Shri Srijib Roy, Joint Direc-tor of SRTEPC.

Haryana slashes VAT ontextile products

Chandigarh : Chief Minister BhupinderSingh Hooda announced reduction in

VAT on textile products and carpets,druggets, woollens, durries, cottonfloor durries and rugs from 12.5 percent to 5 per cent. This would benefit

the traders to the tune of about Rs150 crore.

Addressing representatives of varioustrade unions Chandigarh, Hooda as-sured traders that the governmentwould favourably consider their de-mand for further relief in filling VAT-D3 Form. He said the government hadalready increased the limit for thisform from Rs 10,000 to Rs 25,000 .

The textile products on which VAT hasbeen reduced included pillow coverssold with bedsheets, comforters,duvet covers, cushion covers, bolstercovers and ready to use curtains.

Small textile units inHaryana oppose imposi-tion of VATThese units, which make rugs, cot-ton and woollen durries, druggets andcarpets, have already seen their mar-gins squeezed by the escalating costof power, labour and raw material

Micro, small and medium-scale tex-tile units in Panipat, the textile clus-ter of Haryana, are up in arms overthe imposition of Value Added Tax.

These units, which make rugs, cot-ton and woollen durries, druggets andcarpets, have already seen their mar-

gins squeezed by the escalating costof power, labour and raw material.


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They want a roll-back of the tax, whichthey fear may lead to the closure ofmany small enterprises, and point outthat units making similar products inGujarat and Rajasthan are tax-ex-empt.

Birender Rawal, vice president of theFederation of Small Scale Industriesof Panipat, said, "There has been notax on small textile firms since theinception of the Panipat cluster. About two months back there were reportsof a 12.5 per cent VAT on us, for whichwe did not get a notification. We met Haryana Chief Minister Bhupinder Singh Hooda and asked for a com-

plete roll-back, and he asked for timeto understand the matter. Now it hasbeen reduced to five per cent. But thequestion is, when there was no tax,where is the scope to reduce it?"

He added that small textile compa-nies, having investment of up to Rs 1crore in plant and machinery, are ex-empt from all taxes. About 80 per centof units in Panipat are in the cottage,micro, small and medium-scale cat-egory. So, all associations in Panipat

have united to oppose this decision.

According to the excise and taxationdepartment of Haryana the Union gov-ernment has exempted units that areliable for Additional Excise Duty (AED)from paying local sales tax.

In 2011, units producing sugar, to-

bacco and textiles, among othergoods, were exempted from AED, sothey become liable for local sales taxand VAT has also been imposed. VAT

has already been imposed on tobacco,and sugar is in the process of beingbrought into the ambit. The exemptionfrom VAT under conditional entries

Handmade Pochampally Ikat : Weavers struggling for successWeavers in and around Pochampally village got together in 2007 to keep their traditional weave, handmade PochampallyIkat, alive and safe. A large-scale Pochampally handloom unit at Kanumukkala, about 60 kilometres from Hyderabad alocation central to the 22 weaving villages, was jointly set up by 33 weavers with the help of the AP government. Theirventure now employs 380 people, all from the weaving community. Most of them, expert weavers, take on other roles as well,from marketing to selling. None of them studied beyond Class X.

A Pochampally Ikat exhibition was held in Bangalore recently. According to Anjaiah K, one of the entrepreneurs, We set up500 looms but started working with about 350. The government loan covered the building and infrastructure costs, but theworking capital had to come from us, Anjaiah recalls. The going is still tough after six years. We can only make about 7sarees with one warp (In weaving cloth, the warp is the set of lengthwise yarns that are held in tension on a loom). Onaverage, it takes a weaver about four days to make one saree. Before that, three people work with the yarn, design andcolours for about 20 days to get it ready to be woven.

Pochampally Ikat is the turf of weavers from around 22 villages, including Pochampally, in the Telangana region. The textiletechnique involves making patterns by tying and dyeing the yarn prior to weaving. This unique process, quite labourintensive, gives their Ikat fabrics a distinct identity. The popularity of the designs has had large-scale manufactures copyingthem in the mechanised looms and mass producing them at much lower prices.


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(textiles fall under this category of theVAT Act) is liable for Classified Tax of12.5 per cent.

"The manufacture of bare textiles istax-free but the manufacture of valueadded or made-ups is liable for taxand the government has now kept itat a lower rate of VAT (five to six percent)," the official said.

Ram Niwas Jindal, a senior memberof the Blankets Association ofPanipat, said that most entrepreneursin Panipat cater to the local market.Seeking a tax account number, hiringan advocate and filing a return is both

cumbersome and unaffordable."We switched from handloom to powerlooms due to labour shortage. But ourscale of operation is low, as we donot have resources and market link-ages to increase scale. Handloomsare tax exempt. We graduated fromhandlooms to powerlooms but our in-herent strengths are too small to addcapacities. Such decisions of govern-ment would lead to closure of severalunits," he added.

Workers of Ludhiana tex-tile units seek 30 per centincrease in wagesLudhiana : The workers of local tex-tile units went on strike demandingamong other things 30 per cent in-crease in wages/piece rate, bonus andimplementation complete of LabourLaws.

Protest was staged under the bannerof Textile Hosiery Kaamgaar Union,Punjab. They held a protest dharna atthe PUDA Grounds in Ludhiana.

Speaking on the occasion, the Unionpresident Rajwinder said inflation ison rise and profits of the industriesare also increasing but wages of theworkers are not being increased. Heregretted that there exists no LabourLaws in the local textile units. He said

the workers want justice with regardto their long-pending demands, add-

Textile wo rkers of Ludh iana textile units staging pro test

ing they had already submitted theircharter of demands to the employersconcerned.

Further, he said an agreement hasalready arrived between the workersand the 38 textile units and the latterhave agreed to increase 15-20 per centrise in wages/piece rate and the work-ers of remaining textile units are forcedto launch an agitation. He revealedthat strike was started in 32 textileunits on October 4 and today the strike

was entered into a total 36 units. Heregretted that the Department ofLabour was completely doing favourto the owners of the textile units.

Surat Textile Businessbadly hit by Telanganaprotests

The industry is losing Rs 20 crore a day, as cons ignments s ta l led jus t

before Diwali festivities

Surat industries supply synthetic fab-ric including dress materials, saris andhome textiles to the customers inAndhra Pradesh as well as someother parts of South India. The impactof the ongoing turmoil over Telanganahas spilled over to Gujarat, as the tex-tile industry in Surat is making heavylosses every day following the violentprotests in coastal Andhra Pradesh.

It is estimated that with every pass-

Arun J ar iwala

Ajoy Bhattacharya

Andhra Pradesh accounts for 20per cent of Surat's total annualbusiness of Rs 40,000 cr. Surats

textile industry is losing Rs 20-25 crore each day.


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ing day of strikes and violent protestsin the region, Surats textile industry

is losing Rs 20-25 crore each day.Known as a hub for synthetic textiles,

the Surat-based industry gets 20 percent of its total annual business of

Rs 40,000 crore from Andhra Pradeshalone.

Textile business has been affected forover a month, thereby causing a loss

to the tune of Rs 600 crore just be-fore the beginning of festivities.


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value to all our stakeholders, said Dr.Deepak Parikh, Vice-Chairman & Man-aging Director of Clariant Chemicals(India) Limited, Our vision is to fur-ther sharpen Clariants competitiveedge as we concentrate on growingour core businesses. We will continueleveraging our global expertise andinnovation capabilities in India tostrengthen and increase profitability.

Clariant to relocate theMasterbatches Plant from Kolshetto Bhiwandi

The Board has also approved reloca-tion of the Masterbatches Plant of theCompany from Kolshet, Thane to Re-naissance Industrial & WarehousingComplex situate at Village Vashere,Taluka Bhiwandi, District Thane,Maharashtra. This move will helpClariant further improve its marketpresence and strengthen its positionin India. The new plant will be opera-tionally effective from December2013, stated Dr. Parikh.

This move is to primarily expand pro-duction capacities and build a fully re-furbished and modern production unitunder one roof. The new facility willenable Clariant to introduce latesttechnologies & systems to its cus-tomers at an even quicker pace thanbefore and generate value with cut-ting-edge innovations and highlycustomised local solutions throughglobal best practices, said Mr.

Sandeep Puri, Head, Masterbatchesbusiness in India.

According to Arun Jariwala - an indus-try veteran and an industrialist him-self in Surat - since the festive sea-son is approaching, it is a peak timefor business. Trade with AndhraPradesh is almost stalled. The distur-bance is also affecting consignmentsdestined for Tamil Nadu, asVijayawada is the major centre forwarehousing and transit of goods.

Further, the textile industry has alsoexpressed uncertainty over the newtaxes and laws that the new state willimplement.

In the long run, policies of the newlycreated state will play a crucial role.Every state wants to develop its tex-tile industry. And Telangana, being theheart of the cotton producing regionin Andhra Pradesh, has an advantageto develop its own textile industry. Thismight pose a challenge for suppliersin Gujarat, said Ajoy Bhattacharya,past president, South Gujarat Cham-ber of Commerce and Industry. Ac-cording to Bhattacharya, the textilesindustry being labour intensive wouldbe politically more sensitive than other

sectors.Textile traders are cautiousabout making fresh business movesas uncertainty continues to linger overthe prospects of trade with Telanganaand Seemandhra. They are waiting forthe violence to end and return of thenormalcy.

Clariant Chemicals (In-dia) Ltd sells the businessof textile chemicals, pa-per specialties and emul-sions to Archroma IndiaPvt. Ltd.Clariant Chemicals (India) Ltd has in-formed the Bombay Stock Exchange(BSE) that pursuant to approval by theBoard at its meeting held on Septem-ber 19, 2013 the Company has sold/ transferred the business of textilechemicals, paper specialties and

emulsions to Archroma India Pvt. Ltd.as on September 30, 2013 as a going

concern and has received the totalconsideration of Rs. 209.15 crores.Clariant and Archroma have enteredinto business continuation agreementwhereby Clariant will run the business

for a transitory period in Trust forArchroma.

Earlier, the Board of Directors ofClariant at its meeting held Sept. 19,2013, had considered and approvedthe sale of the undertaking compris-ing of business of textile chemicals,paper specialties and emulsions alongwith employees, assets, liabilities andincluding all licenses, land leases, per-mits, consents and approvals theretoas a going concern by way of a slumpsale on an "as is where is basis" toArchroma India Pvt. Ltd., a companyincorporated in India under the Com-panies Act, 1956, being owned byS.K. Spice Sarl, an affiliate of S.K.Capital Partners, a US based privateInvestment Firm, for a total consider-ation of Rs. 209.15 cr and on the termsand conditions stated in the BusinessTransfer Agreement, as on Sept. 30,2013.

Clariant's divestment of the abovebusiness includes a Textile Chemicalplant situated at Roha. The Roha sitehas multi-business, multi-product pro-duction facilities and the textile chemi-cal plant occupies a minor proportionin the overall site.

We are excited to continue crystal-lizing our businesses and are puttinga strong emphasis on advancing ourstakeholders interests, said Mr. R.A.Shah, Chairman of the Board of Di-rectors for Clariant Chemicals (India)Limited. The Board is committed todelivering the performance that ourstakeholders expect of us, and weagree that this move will best putClariant in India on the path for con-tinued growth and development.

Repositioning the companys portfo-lio is an essential part of Clariants2015 profitable growth strategy. Thismove has been designed to focus on

our key businesses to ensure thatClariant in India provides maximum

Dr. Deepak Parik h


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Quality has to be caused, not co- Philip Crosby


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'Archroma' to come tolife : Former textile, paper and emulsions busi-nesses of Clariant wereacquired today by SKCapital Partners

Archrom a begins new era in de l iv- ering color and specialty chemic als to textile, paper, adhesi ves, coating s and construction indu stries

Reinach : Archroma is delighted to an-nounce its official launch today as anewly formed global color and spe-cialty chemicals company that com-prises the former Textile Specialties,Paper Solutions and Emulsion Prod-ucts businesses of Clariant. To becombined into a single entity at close,Archroma will continue to deliver spe-cialized performance and color solu-tions to the textile, paper, adhesives,coatings and construction industries.

The three businesses were acquired

today by SK Capital Partners, a U.S.based private investment firm with adisciplined focus on the specialtymaterials, chemicals and healthcaresectors.

To be led by CEO Alexander Wessels,

the newly recruited senior leadershipteam will seek to generate a renewedsense of purpose and vision, and willwork closely with the current headsof the three businesses acquired fromClariant, whose unique understandingof their markets and customers hasadvanced the strategic positioning ofArchroma.

Were open for business with a newname and a financially strong andknowledgeable parent who believes inour technology, brand and leadingmarket positions, says new CEOAlexander Wessels. Im proud to joina company with a 120-year long his-

tory of providing a portfolio of world-class products and driven by a teamof highly talented people who bringfresh thinking and ideas to an indus-try hungry for innovation.

The transaction closing comes aftera thorough preparation to ensure aseamless transition of the businessesfrom Clariant to new ownership. Inaddition, we believe that realigning thethree businesses into a single inte-grated, market-focused and dynamiccompany will benefit both our employ-ees and our customers.

Wessels added, With SK Capital, westrengthen our business and furtherimprove our offering to our custom-ers. We have all the right cards in our

Alexander Xan der Wessels joins Archroma with almost 25 years of chemical, pharmaceutical and pro-cess industry experience. He hasspent the past seven years at Royal DSM NV, and in his most recent posi-tion was President & CEO of DSM Pharmaceutical Products, a global

pharmaceutical ingredients and con-tract manufacturing organization.Previously, he held various manage-ment and executive positions at Unilever, Quest International, ICI, and as Executive Committee Member of Campina. Mr Wessels holds an MSc in Molecular Sciences fromWageningen University in the Neth-erlands, and both an MSM and MBAfrom the Krannert Business School of Purdue University in the US and Tilburg University, in the Netherlands.

Alexander WesselsChief Executive Officer (CEO)


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MEGHDOOT SILK MILLS PVT. LTD.

TEXTILE PROCESSORS,EXPORTERS & IMPORTERS

Bleaching, Printing, Dyeing & Finishing of Polyester,Cotton, Knits & Blended Fabrics. Width up to 58

302/1, G.I.D.C. Phase II, Vinzol Road,Vatwa, Ahmedabad- 382 445 INDIA.Phone : +91 -79-25830271/25896372

Fax : +91-79-25830271 Mobile : +919825006354E-mail :[email protected]

hand. We know who we are and what we offer to ourcustomers innovation, performance, technical exper-tise, quality, reliability, a global footprint and a commit-ment to sustainability.

Archroma will be headquartered in Switzerland along withthe management team of Archromas Paper Solutions

Business. The Textile Specialties Business will be man-aged from Singapore and the Emulsion Products Busi-

ness from Brazil. The company has a new name and new

ownership, yet one thing that has not changed is the pas-sion and commitment to excellence.


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Customer and market focus

Archroma is favorably positioned inmulti-billion-dollar end markets, fromfibers and fabrics to paper and pack-aging to coatings, adhesives and con-struction; and will continue to developcolor and performance materials toserve its customers ever changingneeds.

Textile Specialties: From fiber to fin-ish, Archromas Textile SpecialtiesBusiness plays a key role throughoutthe entire textile supply chain, withspecial chemicals for pre-treatment,dyeing, printing and finishing of tex-

tiles. Product packages enhance theproperties of apparel and other tex-tiles in applications as diverse as highfashion, home textiles and specialtechnical textiles.

Paper Solutions: Archromas PaperSolutions Business provides exper-tise in the management of whiteness,coloration, special coatings andstrength for all kind of papers. By com-bining our focused product range withthe application services of our paperexperts around the globe, we enhanceboth the optical and functional prop-erties of paper.

Emulsion Products: From paints, ad-hesives and construction to the tex-tile, leather and paper industries,Archromas Emulsion Products Busi-ness provides solutions for a widerange of applications. Customershave been witness to the outstandingsuccess of Archromas Mowilith

emulsions since its first patent wasobtained in 1912.

Archroma offers its global customersa reliable and long term commitmentto developing new product solutions,application development, processtechnologies and services with worldclass quality and technical support.

Archroma, a new name with atrusted heritage

Pronounced Ahr-kroh-mah, the nameof the company is reminiscent of the

words arch and chroma. It represents the commitment from 3,000 employ-ees, 25 production sites, 35 countries and 3 businesses to come together ina new company to better meet customer needs. It also confirms the companysposition as a global leader in color and specialty chemicals with strong mar-ket insights and a rich heritage of materials excellence and expertise.

Archroma was formed in September 2013 from the textile, paper and emul-sions businesses of Clariant. Clariant itself was formed in 1995 as a spin off from Sandoz, a chemical company which was established in Basel in 1886. In1997, Clariant acquired the speciality chemicals business of Hoechst, a Ger-man chemical company. Through this direct lineage, Archroma have amassed knowledge and experience of chemistry and industry spanning more than 120

years. Archroma is headquartered in Reinach near Basel, Switzerland, and operates with approximately 3000 employees over 35 countries.

BTRA's Atmospheric Pressure Plasma TreatingMachine available for industry trials

BTRA has procured andcommissioned an At-mospheric PressurePlasma Treating Ma-chine (DBD) for textilesand polymers (Pilot-Plant Model). Its salientfeatures are as follows.

- Materia ls such asfabric, nonwovens,polymer films, lin-ings are treated in

continuous length.- Roll to roll treatment

is possible.

- Up to 50 cm width ofmaterials is treated.

- Some of the carriergases used are He-lium, Oxygen, Argonand Nitrogen.

- Tr ea tm en t co nd i-tions are beingoptimised as perclients needs.

The above facilities are available for carrying out R & D and specific trialsfor the industry.

For mo re details, please contact :

The Director,The Bombay Textile Research Association,Lal Bahadur Shastri Marg, Ghatkopar (W), MUMBAI 400 086Tel : 022-2500 3651 Fax: 022-2500 0459 E-mail: [email protected]


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www.newclothmarketonline.com


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Zydex IndustriesPolymer Based Speciality Chemicals for Sizing,

Pre-treatment, Dyeing, Printing & Finishing

Clariant Chemicals (India) Ltd.Dyes & Textile Chemicals

Amritlal Chemaux Pvt. Ltd.

Emulsifiers ST-82 & HPD for Pigment Emulsions

20 Microns LimitedPowder for Khadi

A-2 & 3, Hare Krishna Estate, B/h. Asopalav Hotel,Narol-Sarkhej Road, Narol, Ahmedabad-382 405.

Ph.: (O) 079-2533 2230 (R) 2673 2219 (M) 98250 15886Email : [email protected]

Authorised Dealers of

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News Briefs : Indian Textile Industry