New Delhi, Aug 8 (KNN) The textiles sector which requires high end technology to compete in the global market has been receiving a dismal level of foreign direct investment, Parliament was informed. 

No evaluation/study has been conducted on the effect of FDI on the growth of textile sector. However, the impact of FDI on the overall development of the sector is felt by way of technical knowhow, new products in domestic market and increase in exports, Textile Minister, Santosh Kumar Gangwar said in Parliament yesterday.

The inflow of FDI equity in India in the textile sector was USD 0.164 billion in the Financial Year 2011-13. It decreased to USD 0.033 billion in FY 2012-13, according to data by the Department of Industrial Policy and Promotion.

Meanwhile, the total inflow of FDI equity in India in all sectors was USD 4.43 billion in FY 2012-13; showing a drastic fall from USD 36.50 billion in  FY 2011-12.

Keeping in line with the various changes in the textile industry, Ministry of Textiles had initiated the process of reviewing the National Textile Policy, 2000.

The draft new Textiles Policy has set a target of achieving 20 per cent share of global trade and helping the domestic industry attain a size of USD 650 billion by 2024-25 by focussing on investments, skill development and labour law reforms.

The policy blueprint, termed as the draft 'Vision, Strategy and Action Plan' for the textiles and apparel industry aims at attracting investment of about USD 120 billion by 2024-25 and creating about 35 million additional jobs in the process.

As part of the policy's objectives, Indian textile and apparel exports are also expected to rise from USD 39 billion at present to USD 300 billion by the year 2024-25. (KNN/SD)