Maharashtra's textile policy attracts Rs 24bn investment

04 Sep '12

1 min read

The western Indian state of Maharashtra has attracted investments totaling Rs. 24 billion under its new textile policy announced earlier this year, state Textiles Minister Naseem Khan has said.

Eight textile processing companies, including Ginni International Ltd., Jaideep Group of Industries, Oswal Spinning and Weaving Mills Ltd, Shyam Indospin Ltd. and Jindal Poly Films Ltd., have submitted their Letters of Intent to invest in the cotton-producing regions of the state, the Minister said.

An additional about Rs. 40 billion worth of investments are likely to come the state’s way after these companies set up their manufacturing units in Vidarbha, Marathwada and Khandesh regions, he added.

The Minister felt that setting up of ginning and pressing units would generate employment and stop farmer suicides in the region as farmers would get a better price for their crop.

Maharashtra formulated a new textile policy in March this year with an aim to create 1.2 million new job opportunities in the cotton growing regions of the state. Under the policy, new textile units would get 12.5 percent interest subsidy and 10 percent subsidy on their capital.

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