Apparel Industry Management

Apparel Industry Management 3(3+0)

Lesson 47 : National Textile Policy

National Textile Policy

Indian textile and clothing industry contributes about 4% of GDP and 14% of industrial output and it is the second largest employer after agriculture, it is estimated that this industry provides direct employment to 35 million people including substantial segments of weaker sections of society. With a very low import-intensity of about 1.5% only, it is the largest net foreign exchange earner in India, earning almost 35% of foreign exchange.

National Textile Policy was brought out in 2000 five years after India signed the Agreement on Textiles and Clothing. This policy was aimed to energize Indian textile sector, in order for it to face the free global textile trade and its consequences by 2005. After a decade of experience, Ministry of Textile has now proposed a National Fibre Policy in 2010. This Policy sets itself targets and approaches which are different from National Textile Policy 2000.