DEBT RESTRUCTURING FUND FOR TEXTILE
INDUSTRY ON THE ANVIL: GINGEE RAMACHANDRAN
The government is
actively considering a proposal to create a debt restructuring
fund for textile industry aiming at providing debt relief to many
textile units and bring back the buoyancy in the market. This
was announced by the Minister of State for Textiles Shri G.N.
Ramachandran while delivering the inaugural speech at the 7th
Asian Textile Conference here today. He said, the Technology Up-gradation
Fund Scheme has become more investor friendly and financial institutions
have adopted a very positive approach and the terms and conditions
for raising institutional finance have been greatly simplified
to suit the industry requirements. As a result, amount of loan
disbursement has also increased substantially.
Shri Ramachandran
said, a series of incentives announced by the government in the
last three Union Budgets have started showing results. Exports
have gone up, new investments are trickling in and many are in
pipeline. He said, the current players are expanding either by
adding new capacities in the existing units or setting up greenfield
projects. The Minister said that the mood is upbeat and there
is every reason to be optimistic and hopeful for a glorious future
of the industry.
Addressing the conference
Planning Commission Member Shri N. K. Singh said, 2005 will witness
the dismantling of quota in 789 items. He said, Asia is also rapidly
dismantling tariff barriers. The challenge before Asis is to increase
its share in the global trade of textiles. Asia with a large young
population, vast pool of skilled manpower and huge market provides
an opportunity to increase the market share in the post quota
regime. He hoped that the conference will come up with a collective
response to the emerging challenge.
Over 380 experts,
academicians and industry representatives from 20 countries including
USA, UK, Korea, Hong Kong and Iran are attending the three day
conference.
