Cloth Production Tops Target

The government yesterday said the textile sector had registered impressive all-round growth during the eighth plan with the industry more or less on course achieving the targets set for the period.

According to the annual report of the ministry of textiles for 1996-97, production of cloth in the country was estimated at 29,666 million square metres, against the target of 27,774 million square metres.

Despite the growth in population and rise in exports, per capita availability of cloth had increased to about 26 sq metre in 1994-95 from 21 sq metre in 1985-86, an official release said here.

The report says the textile mill industry has witnessed phenomenal growth during the last decade and a half in terms of spindleage, besides output of yarn and cloth.

 

The spindleage capacity has moved up to 31 million in March 1996 from 21 million in 1980, recording an addition of nearly 0.66 million spindles annually.

On the exports front, against a target of $11.8 billion fixed for textiles during 1996-97, nearly 81.8 per cent had already been achieved, the report said.

At present, India's percentage share in global textile and clothing trade is 2.3 per cent and 2.4 per cent respectively, the report says adding new long term quota policies applicable for three-year period beginning 1997 for the export of textiles and garments were announced in October last year.

The new policies have not only simplified procedures and ensured greater transparency, but also encouraged higher unit value realisation for quota items, the report said.

There has been a notable increase in production of cotton in the country which reached 160 lakh bales during the 1995-96 cotton season.

Keeping all relevant factors in view, a quota of 15.9 lakh bales of cotton was released for export during 1995-96.

To cope with the demand for silk in domestic and export sectors and achieving quality standards comparable to China and Japan, the government has allowed silk exporters the option to import raw material requirements on duty-free basis under the advance licensing scheme.

The report said concessional credit flow to the handloom sector had increased and production of handloom cloth had been rising.

Exports of handloom have grown from Rs 1,034 crore in 1992-93 to Rs 1491.32 crore in 1995-96