Allow flexible labour laws: Assocham
The government should completely deregulate the country’s handloom sector and make labour laws more flexible to help textile industry, attract FDI, upgrade technology and create adequate employment, said industry body Assocham.
By TNN |
NEW DELHI : The government should completely deregulate the country’s handloom sector and make labour laws more flexible to help textile industry, attract FDI, upgrade technology and create adequate employment, said industry body Assocham.
“At present, domestic textile sector attracts less than 1.5% to the overall FDI in India. This is because domestic textile sector continues to struggle under shackles of stringent laws and is yet to get deregulated,” said Assocham president Venugopal Dhoot.
He said the technology upgradation fund schemes (TUFs) for the textile sector, which were introduced last year in March, were hardly used for upgradation. This clearly shows that the textile units had chosen to invest by not taking recourse to TUFs route.
The chamber has suggested that the government should consider bringing in more flexibility in labour laws and amendments in the fiscal policies.
“At present, domestic textile sector attracts less than 1.5% to the overall FDI in India. This is because domestic textile sector continues to struggle under shackles of stringent laws and is yet to get deregulated,” said Assocham president Venugopal Dhoot.
He said the technology upgradation fund schemes (TUFs) for the textile sector, which were introduced last year in March, were hardly used for upgradation. This clearly shows that the textile units had chosen to invest by not taking recourse to TUFs route.
The chamber has suggested that the government should consider bringing in more flexibility in labour laws and amendments in the fiscal policies.
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