Home / Knowledge / News / Textiles / Assocham's blueprint for reviving economy
Assocham's blueprint for reviving economy
Sep '15
Assocham, the apex trade chambers body, has submitted a list of 12 Key Actionable Points to Prime Minister Narendra Modi to kickstart the economy. Assocham submitted the memorandum at the high-level industry interaction convened by the Finance Ministry on “Recent Global Events – Opportunities for India”. They include Short Term Actionables (within the next 3 months) and Medium to Long Term Actionables (3 to 12 months).

In the Short Term Actionables, Assocham asked the PM to make room for monetary easing to the tune of 75-125 bps over the next 7 months: Between Jan-Jul 2015, WPI and CPI inflation fell by 793 bps and 298 bps respectively over Jan-Jul 2014. However, the magnitude of monetary easing so far has moved by just 75 bps. With WPI showing sharp deflation, the real rates for a producer has seen a 7-8 per cent jump over the last year.

It said that since industrial sector accounts for 45 per cent of outstanding bank credit while it has a lower share of 28 per cent in GDP, there is an urgent need for investment revival through a strong dose of monetary easing.

It pointed out that rupee depreciation could preserve domestic price competitiveness in global trade. Assocham stressed that in a subdued world trade environment, India should prevent any real appreciation in rupee.

It has asked for FDI-FII fungibility in banking sector through a composite cap which will help in import of lower, effective cost equity capital, make banks efficiently capitalized, and boost consumer sentiment tremendously vide increasing lending capacity.

Assocham has called for investment revival by prioritizing project clearances. It has advocated fast track clearances for large infra projects especially for Government owned/EPC for private players to support construction activity and core sectors like steel and cement and called for protecting domestic industry from 'dumping' through adjustment in duties.

In the Medium to Long Term Actionables, Assocham has asked the government to explore Land Pooling model for PPP and SEZ projects. It said Government can encourage states to emulate the land pooling model as adopted by Andhra Pradesh and initially pioneered by Gujarat.

To boost growth through Investment revival, Assocham suggested that large cash-rich PSEs should be enabled to participate in buying out projects via transparent auctioning (post due diligence), that are delayed due to financial/technical constraints of Project Sponsors.

Asocham has also suggested floating smart city bonds to fund the smart city projects. It said affordable housing needs a thrust and mooted infrastructure status for the housing sector especially Affordable Housing.

It also called for removing impediments in the road sector by setting up a separate wing within NHAI to work on land acquisition in consultation with States. NHAI should award projects only when substantial land parcels have been acquired.

Must ReadView All

Apparel/Garments | On 21st Oct 2016

China’s garment retail sales grow 7.2% in Jan-Sept ’16

Retail sales of garments, footwear, hats and knitwear of Chinese...

Mike Preston, executive director of the Arkansas Economic Development Commission (AEDC), signing MoU with Tang from Suzhou Tianyuan Garments company. Courtesy: Government of Arkansas

Apparel/Garments | On 21st Oct 2016

Suzhou Tianyuan to open $20 mn garment factory in US

Suzhou Tianyuan Garments company, a Chinese manufacturer of casual...

Textiles | On 21st Oct 2016

Pakistan’s textile exports fall 5.96% y-o-y in Q1 FY17

The value of textile and garment exports made by Pakistan decreased...

Interviews View All

Abhimanyu Singh Rathore & Barbara Anna Kosiorek

‘Blending cultures is the true beauty of fashion, where one’s imagination...

Ajay Ghariwala
Luthra Group

We are ready to adopt or follow every opportunity

Karan Suratwala
Key Textile Accessories Private Limited

Chinese imports are destroying the supply chain

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Sonam & Paras Modi

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

October 2016

October 2016

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


Advanced Search