India will undertake a scheme for capacity building in the textile sector with a budget outlay of Rs 1300 crores for two years. The scheme would enable the industry to adopt scientific principles for upgrading the skills of employees and achieving higher productivity. It would also facilitate cost cutting and quality improvement, train fresh workers, but also upgrade skills of supervisors, executives, managers and entrepreneurs. The Indian textile industry has been lagging in productivity behind countries like China, Bangladesh, Vietnam etc. It is the second largest employment provider next only to agriculture.

It is essential to train the workforce on a scientific basis and constantly upgrade skills to remain globally competitive and also enable employees to earn good remuneration. Earlier the ministry of textiles had launched the Integrated Skill Development Scheme. Under this scheme, around 11 lakh people got benefited. And of the people who have been trained 70 per cent need to be placed in the entire value chain of the textile sector.

India is looking at policies and programs to encourage economies of scale. Looking at the demand the industry is working toward economies of scale. India is the second largest exporter of textiles and apparel next to China. But while China’s share is almost 40 per cent of global exports, India’s share is about five per cent.