Surge in FDI inflow in T&C sector

According to a KMPG report, FDI equity inflow in the Indian textile and clothing (T&C) sector has surged 16 per cent in FY 2015-16 over FY 2013-14. Major investments (by foreign collaborators and Indian companies) in the sector during April 2014 to March 2016 are also mentioned in the report which include investment worth $51.94 million in Fashion India Private Limited by E-Land Asia Holdings Pte Limited; $37.58 million in Procter & Gamble Home Products Ltd. by Procter & Gamble Home Products Ltd.

The report also underlines that share of textile and apparel in total exports increased to 15 per cent in FY 2015-16 from 13 per cent in 2013-14. Growth was majorly seen in export of readymade garments, wool & woollen textiles, silk, carpets, coir and coir products, and handicrafts. Textile and apparel exports are estimated to reach $62 billion by 2021 from the current $38 billion in 2016, as per the report.

Talking about the Integrated Skill Development Scheme (ISDS), it says that from 2014-15 to 2016-17 (till September) the Ministry has trained a total of 536,683 youth; out of them 393,363 (73 per cent) have been successfully placed. On the other hand under Prime Minister Kuashal Vikas Yojana, Apparel Made-Ups and Home Furnishing SSC (AMHSSC) trained 79,245 people in 2015-16 but placed only 5,116 (6.45 per cent), while Textile & Handloom Sector Skill Council trained 29,212 people, out of which 20,665 (70.74 per cent) were placed.