Scrap or restrict hank yarn obligation to 10%: Texpreneurs

Texpreneurs Forum today said the Centre should either scrap the age-old hank yarn obligation or restrict it to 10 per cent instead of the mandated 40 per cent currently as there is hardly any demand for hank yarns.
Texpreneurs Forum is an association of spinning mills in the region.
Though imposed with a good intention of providing handloom weavers with the necessary raw material for their manufacturing, most of the handloom weavers have moved on to either power looms or auto looms...
"... Now-a-days there is hardly any demand for hank yarns, thanks to Textile Upgradation Scheme and other initiatives," D Prabhu, Secretary of the Forum, told reporters here.

Prabhu said Tamil Nadu produces 3.05 crore kg of hank yarn per month as against the requirement of 16 lakh kg, resulting in excess production of 1,880 per cent that is 18 times more than the requirement.
Welcoming the steps taken by Textiles Ministry to entrust the assignment to review hank yarn policy to an external consulting agency, he said the forum is confident that an independent and unbiased review will necessarily arrive at a conclusion, similar to what the forum was trying to convey to the government.
Moreover, the Forum also wants the government to shift the office of Textile Commissioner from Mumbai to some of the major textile producing states like Tamil Nadu, particularly Coimbatore, or Gujarat, Prabhu said.