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Gujarat’s industries commissioner Mamta Verma on Friday visited Southern Gujarat Chamber of Commerce and Industry (SGCCI) here to hold discussions on the new textile policy to be implemented by the state government in October. Textile industry leaders stated that power tariff in Gujarat is almost double than Maharashtra. The textile units have been paying Rs7.5 per unit for electricity usage, while the units in Maharashtra pay Rs3.75 per unit. The fabrics manufactured in Surat are costly by almost Rs5 per meter because of the tariff structure. Textile entrepreneurs, who had made investments under Technology Upgradation Fund Scheme (TUFS), are yet to get subsidy amount of Rs650 crore for the last two years from the government. This hampered the growth of TUFS and stalled modernization in the textile sector. Powerloom sector leader Devesh Patel said, “In the last six months, many textile entrepreneurs have shifted to Tarapur and Navagam in Maharashtra. Both these spots are just 150km from Surat. They were attracted to move to Maharashtra due to its investor-friendly textile policy and economical power tariff.” The textile entrepreneurs also pointed out that unfinished fabrics manufactured in Surat reach Vietnam and China via Kolkata and Bangladesh. The finished fabrics from Vietnam then is dumped at cheap rates in India. SGCCI president Hetal Mehta said, “The new textile policy should address the issues of power tariff, capital subsidy, interest subsidy and investment on top priority.
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