Cross subsidy surcharge waiver must for textile units’

Source: The Hitavada      Date: 26 Jul 2017 09:37:18


Business Bureau,

As the ongoing incentive scheme for textile units is coming to an end on July 31, entrepreneurs have been anxiously waiting for the new scheme hoping it to boost and pump fresh blood into the sector. While giving recommendations to the Government, the Vidarbha Industries Association (VIA) members recently urged the policy makers to incentivize power and provide other facilities to the textile units that offers huge employment opportunities especially in the rural part of Vidarbha.

“The Government has been giving about 45 per cent capital incentive to textile units under the existing scheme which is a big relief to the entrepreneurs. But we want the authorities to carry forward the scheme by adding more incentives,” said Prashant Mohota, Core Committee Member of VIA.

Further, Mohota observed that subsidized power rates that to for a significant period would help the textile units to sustain. “As of now, the Government is offering subsidy on power but is for a specific period. We want the subsidy to continue for a considerable period,” he said adding that the textile units to be made cross subsidy free.

Mohota said that entreprenuers want modifications in Minimum Wages Act for women and unskilled employees deployed in textile units based in the region. “Government should bear some portion of the wages so that the employers could be relieved of the heavy burden of wages,” he said.

He also urged the policy makers to come out with innovative schemes to create common effluent treatment plants (CETPs) for textile units.
Raising voice against the heavy operational and maintenance cost of zero liquid discharge (ZLD), the VIA members asked the Government to subside it and ensure long-term sustainability.

Nizamuddin Ansari, President of Maharashtra Powerloom Bunkar Action Committee and VIA core committee members stressed on special scheme to support over 3,500 powerloom units in Nagpur that are facing hardship.
“The prevailing scheme of the Government are not meeting the requirements of these small weavers. They need special schemes designed for small weavers. There is also a need to help weavers belonging to backward classes who are bearing the brunt of tough competition from big and established players,” he said.

“A dedicated textile park in Nagpur is the need of the hour that will address various issues of the small weavers and give them assess to new technology. We are also demanding the policy makers to create an effective marketing platform for products made by small weavers,” he said.

Ansari further demanded the policy makers to provide health care facilities for all the
small weavers.