New Delhi, Nov 03: Textiles Ministry will press for more tax sops in the budget to enable modernisation of the obsolete industry to face the challenges arising with the dismantling of quotas by end 2004. "We will ask the Finance Minister to keep this budget post-multi fibre agreement-friendly so that industry can prepare itself to meet the challenges of phase-out of quotas," Textiles Minister Syed Shahnawaz Hussain said at India Textiles summit, organised by CII, here today.
Emphasising that government was committed to the growth of the sector which contributed about 8.1 per cent of the country's GDP, he said the ministry would seek some rationalisation in tax structure so that an exporter can buy the fabric at competitive prices.
Hussain said the textiles ministry had already constituted a panel of export promotion councils to get their views so as to make an action plan as part of the exercise to prepare for post-multi fibre agreement.
Pointing at the lack of brand building in the industry, he said the textile industry should try to establish their brand in Saarc and Gulf regions where some of the Indian products enjoyed a good position.
He said textiles would play a very important role in the development of the country and added that the industry should focus on enhancing overall weaving capacity.
Hussain said government was also setting up centres of National Institute of Fashion Technology to help weavers in south in innovative techniques.
Bureau Report