Lucknow: The textile sector in UP has became a key driver of economic growth and employment generation, contributing significantly to the state’s overall development, an official spokesperson on Wednesday said.
He said that “recent figures show that 123 companies invested Rs 2,492 crores in the last five years, creating jobs for around 19,752 individuals. This highlights the sector’s crucial role in shaping UP’s economic landscape.”
The spokesperson said that the textile industry’s impact is visible across all regions of UP. Leading the way is Paschimanchal (western UP) where 58 companies invested Rs 1,084 crore, generating employment for 12,677 people.
The Madhyanchal region follows with 24 companies investing Rs 812.91 crore and creating jobs for 1,912 people. In Poorvanchal, 39 companies invested Rs 543 crore, providing jobs for 4,563 people. Bundelkhand saw a smaller but impactful investment of Rs 52 crore from five companies, creating employment for 600 individuals.
Officials said that UP’s textile sector spurs investments and job creation and bolsters ancillary industries like dyeing, printing and packaging. Crediting the govt for fostering a conducive environment for the textile sector through subsidies, tax incentives and the creation of textile parks, attracting both domestic and international investors, they said: “The UP Textile and Garmenting Policy 2022 provides comprehensive incentives to boost industrial growth and employment. Key benefits include a 25% land cost subsidy (15% in Gautam Budh Nagar), 75%-100% stamp duty exemptions, and capital subsidies covering 25% of plant and machinery costs, with an additional 10% in Poorvanchal and Bundelkhand. Infrastructure and energy subsidies further incentivise investment, with up to 100% electricity duty exemption and power tariff subsidies.”
They added that the policy promotes employment through worker subsidies and freight reimbursements, offers up to 50% financial assistance for private textile parks and supports the silk industry and youth employment in production, design, marketing and exports through various initiatives.
