Spinning sector seeks Rs 3,000 cr fund under TUFS

Citing unhealthy conditions of spinning sector, the Confederation of Indian Textile Industry (CITI) today sought Rs 3,000 crore allocation under TUFS to give a boost the investment into the industry.
"Its was imperative for the government to release funds against Technological Upgradation Fund Scheme TUFS), which were pending from December 2014 to March 2015," CITI Chairman Prem Malik told reporters here after the meeting of office-bearers and captains of the industry.
"This was required urgently since committed liability was delayed and there were no further funds for new investment in the sector. Such a step would help textile industry to participate in Make in India programme," Malik said.

Stating that around Rs 30,000 crore were invested in the sector, despite "not too good days", he said if no funds were released, the investment in the spinning sector would be minimal, since the sector was capital intensive.
Similarly, CITI also wanted the Cotton Corporation of India to look into the stocks and provide quality cotton to the mill sector for consumption at prices equal to the actual import prices, he said.
The corporation has procured some 90 lakh bales of quality cotton and had sold about 10 lakh bales, leaving a stock of nearly 75 to 80 lakh bales with it, Malik claimed.