Haryana’s textile policy to boost investment

The Haryana Government’s recently announced textile policy, which aims for integrated development of the textile industry, is expected to make the State competitive for investments in the sector, rating agency ICRA said.

“States like Maharashtra, Gujarat and Madhya Pradesh have similar policies and they have benefited from this, as is evident from the capacity additions. The benefits proposed in the Haryana textile policy are expected to make the State competitive for investments,” said Jayanta Roy, Senior Vice President and Group Head of ICRA.

Roy said Haryana’s policy is structured to provide relatively higher incentives in category C and D blocks (defined under the Enterprises Promotion Policy, 2015, as industrially backward areas), as compared to Category A and B blocks (industrially-developed and intermediate developed areas). Besides, the policy will also supplement the central policies for the textile sector.

He added that similar steps taken by other States proved successful in attracting private capital, leading to incentives-driven new capacity additions.