The textile industry is the first major sector to have emerged from the recession among all industries in India, textile minister Dayanidhi Maran today told a Textile Industry Roundtable organisd by CII in Mumbai.
|Dayanidhi Maran |
He said the recession lasted only nine months and there were fears over shrinking profits. But, now, most of the companies are posting profits although there is still scope for improvement the minister said.
While India exports more than 50 per cent of its production at present, the industry also needs to focus on the domestic market, Maran pointed out.
The industry would also have to make aggressive investments in order to meet the challenges posed by competing countries like China, he added.
He said the government cannot play any larger role than providing incentives and stimulus and it is for the industry to make itself competitive globally.
Maran said about 70 per cent beneficiaries of the government's stimulus package of funding capital investment for the industry was spinning mills while the garment units benefited the least.