Karnataka is inviting a series of investments in the textile sector. Manjushree Garments has committed Rs 340 crores and Shahi Exports Rs 150 crores.

The sector is expected to generate 36,457 jobs in the coming years. The state is offering incentives such as five per cent interest subsidy to mega industries and micro, small and medium units, incentives and concessions up to 100 per cent, and enhancement of wage subsidy, which varies across regions.

Four textile parks based on the PPP model are being set up in areas beyond Bangalore, for which tenders will be called shortly. Out of seven mega parks planned by the Centre one isexpected to come up in Karnataka. The state is taking a big leap in becoming the garment capital of the country since it is only the garment industry that gives back 30 per cent of its revenue to the communities.

However the industry in the state has a long way to go as all machinery, including sewing and knitting machines, is being imported. All raw materials, especially dyes, are from China. No textile machine, except spinning machinery from Coimbatore, is being made in India and huge amounts are being paid to import them.