Union Budget 2018-19 makes a good case for textile sector: TEXPROCIL

New Delhi, Feb 7 (KNN) Commenting on the budget, Chairman of The Cotton Textiles Export Promotion Council (TEXPROCIL) Ujjwal Lahoti called the budget “Pragmatic, Growth Oriented and all inclusive”.

He praised the government move to increase the financial expenditure under the comprehensive textile sector package for apparel and made ups segments from Rs 6000 crore to Rs 7148 crore.

“This initiative will not only promote exports but also increase production in these 2 labor intensive sectors” he said.

He further said the sector is expecting that increase in fund allocation for textiles will cover fabrics also under ROSL scheme.

Also the government attempt to contribute 12% of the wages of new employees in EPF for all the sectors for next 3 years with the extension of fixed term employment in all sectors and reduction in women employees’ contribution to 8% for first three years from 12 % are also positive steps  for the textile sectors, he added.

He said these sort of measures will create employment opportunities especially for women in textiles sector and contribute significantly towards “Make in India” campaign.

With regard to increase in allocation of funds under the TUF Scheme from Rs. 2013 crores in 2017-18 to Rs. 2300 for 2018-19, the chairman said that the proposal is a positive one.

The reduced income tax rate of 25 percent will immensely benefit the micro, small and medium enterprises who have reported turnover up to Rs. 250 crore in the financial year 2016-17.

In the matter of export marketing the Department of Commerce will be developing a National Logistics Portal as a single window online marketplace to link all stakeholders. This move will lend a marketing support to the small and medium-sized exporters besides reducing transaction cost, said Lahoti. (KNN/YV)