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Comprehensive policy to revive textile sector in Xinjiang
May '14
The government is considering a comprehensive policy for revival of the textile and garment sector in China’s Xinjiang Uyghur Autonomous Region.
The government is considering industrial policy, tax and other relevant supporting policies to accelerate the transformation and upgrading of the textile and garment industry in Xinjiang, particularly in the southern border region of Xinjiang.
The policy will also take into consideration the local raw material advantages, location and other factors and take positive and effective measures to develop labor-intensive industries, especially the textile and garment industry.
Xinjiang has rich resources of raw materials, as more than 50 percent of China’s cotton is grown in this region, and relatively low price of land compared to the mainland, and strong policy support can usher in development of the textile and garment industry in Xinjiang.
A pilot programme to give subsidy to cotton growers in Xinjiang has already started this year. As per the programme, the subsidy is given only when the market price is below the target price of 19,800 yuan per ton decided for 2014. This ensures that farmers make profit and the production of cotton does not decline.
The comprehensive policy will also focus on creating more jobs. The city of Aksu in southern Xinjiang will be one of the three future textile hubs. This is intended to decrease the flow of people from Xinjiang to other parts of China in search of employment and provide a long-term solution to the region’s unemployment problem.

Fibre2fashion News Desk - India

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