COIMBATORE: The Confederation of Indian Textile Industry (CITI) is preparing a vision document for the textile industry for 2012.

"We have started the work with Crisil," said the Southern India Mills' Association Chairman, S. V. Arumugam. (CITI is the apex textile body).

The industry had prepared a vision document in 2005 envisaging an investment of Rs. 1.4 lakh crore in the textile sector by 2010. "We feel that synergising our vision plan with the five year plan will be meaningful."

Five Year Plan

Hence, the association is now on the job to prepare another document for 2012 so that it coincided with the Eleventh Five Year Plan.

Mr. Arumugam said that during the last six or seven years, investments in the textile sector in the country were about Rs. 50,000 crores. The envisaged investment of Rs.1.4 lakh crore "will be possible provided the Technology Upgradation Fund Scheme (TUFS) continues."

The association had submitted details to the Union Ministry of Textiles seeking extension of the scheme till 2012 (the scheme expires in 2007). "It should be included in the next Five Year Plan. Hence, we will prepare another vision document."

More spindles

Mr. Arumugam pointed out that with huge investments happening in the textile sector, it was essential to extend the scheme. Another 15 million spindles could be added to the current 37 million spindles in the country by 2010. "If the TUFS is not continued, the investments will slow down. Modernisation will continue but new projects may not be much."

The association also planned to take up its plea (continuing the scheme) with the Planning Commission. Spinning was the major sector to have availed of assistance under the scheme and the association had also offered to help the Ministry of Textiles estimate the requirement of assistance under the TUFS for the next five years.

Circular

"We have started collating information from the industry." The circular from the Office of the Textiles Commissioner last week lifting its order of suspension of loan sanction under the TUFS was welcomed by the association and Mr. Arumugam was confident of sanction of adequate funds from the Centre for the scheme for this year.

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