Textile shares zoom up to 19 pc on govt's Rs 6,000 cr package

Textile stocks today surged up to 19 per cent after the government approved a Rs 6,000 crore special package, including tax and duty drawback incentives, for the textiles and apparel sector.
Shares of Nagreeka Exports soared 18.86 per cent, Shekhawati Poly Yarn zoomed 17.60 per cent and Garden Silk Mills surged 9.96 per cent on BSE.
Among others, Blue Blends India climbed 7.66 per cent, Aarvee Denims and Exports jumped 7.23 per cent and SPL Industries rose by 5.65 per cent.
The measures approved include additional incentives for duty drawback scheme for garments, flexibility in labour laws to increase productivity as well as tax and production incentives for job creation in garment manufacturing.

"The Rs 6,000 package will result in additional investments worth USD 11 billion, creation of one crore additional jobs and increase in exports worth USD 30.4 billion which will help boost textile and garmenting sector.
"We will overtake Vietnam and Bangladesh in garment exports within next three years if we properly implement the package," Textiles Secretary Rashmi Verma told reporters in New Delhi.
Industry bodies welcomed the initiatives, including labour reforms, saying that the sector has huge potential for job creation.