Bangladesh’s textile loss U.P’s ‘gain’; ₹10K crore investments in talks

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Uttar Pradesh’s textile industry may benefit the most from disruptions in the sector amid political unrest in Bangladesh. According to an estimate, nearly 700-1000 small and medium-sized garment and textile units shut down in Bangladesh after the recent political turmoil began.

Major brands have approached the Yogi Adityanath government with proposals to set up their units at an upcoming textile park on Lucknow-Hardoi Road, officials said. The park is spread over 1,162 acres.

There, an investment of ₹10,000 crore is proposed by Arvind Mills, Vardhman, Mukesh Ambani-owned Reliance Industries Ltd, Ahuja Textile Mill and others.

At present, plots in the textile park were being allocated and infrastructure related works were going on, said an official of the textile ministry.

Around 400 big and small units may come up in this textile park generating direct employment for around 50,000 people.

“All major brands in India are enhancing their production capacity to fulfill new orders. The upcoming textile park in Lucknow has provided a timely opportunity to big players to enhance their production capacity,” said Rakesh Sachan, the MSME, Khadi and textile minister in the state government.

The textile park will not only produce garments and yarn but also provide all assistance in marketing, designing and export, he added.

The garment and textile sector in Bangladesh accounts for over 80 per cent of the country’s export earnings and 11 per cent of its GDP.


India has set a target of 100 billion USD worth export of garments in the next five years.

The handloom and textile industry holds a prominent place in the state, which is the third-largest textile producer in India.

It plays a vital role in the state’s economy and provides employment to a large number of people.

Notable products from Uttar Pradesh include Banarasi sarees, Lucknow’s Chikankari, and carpets from Bhadohi. The Banarasi sarees from Varanasi are renowned for their exquisite craftsmanship and intricate designs.

A provision of ₹300 crore has been made for manufacturing units based on a first-come, first-served basis.

Common infrastructure at the park includes road network, 24/7 power supply, water supply, warehouses, zero liquid discharge effluent treatment plant, training and skill development facilities, administrative building with product display facility and exhibition centre with testing laboratory.

Other highlights of the park will be workers’ hostels, housing zones, medical facilities, commercial and recreation centres.
 
@Afif @UKBengali I will be more worried about this if I were Bangladesh than any of Indian rockets and bombs and bullets. This is the real nuke strike on Bangladesh if it materializes.

@Nilgiri Looks like someone in UP read your post about textile industry in UP.
 
@Afif @UKBengali I will be more worried about this if I were Bangladesh than any of Indian rockets and bombs and bullets. This is the real nuke strike on Bangladesh if it materializes.

@Nilgiri Looks like someone in UP read your post about textile industry in UP.

Been hearing about these things a long time in UP. I'll believe it when I see it.
 
Been hearing about these things a long time in UP. I'll believe it when I see it.


Long time? During Congress era? Mayawati? Yadav clan? Surely not!

UP has been doing moderately well in last 5 years. Catching up with likes of Orissa or MP.
 
Been hearing about these things a long time in UP. I'll believe it when I see it.

People are reading too much into the current situation.

An industry that grew up in decades and one of the largest in the world with long functioning eco-system won't just dissappear because of one or two months of political turmoil. Besides, now BD has the most capable leadership in financial sector in decades. Yunus government has employed some of the most qualified persons for the job.
 
People are reading too much into the current situation.

An industry that grew up in decades and one of the largest in the world with long functioning eco-system won't just dissappear because of one or two months of political turmoil. Besides, now BD has the most capable leadership in financial sector in decades. Yunus government has employed some of the most qualified persons for the job.

it's f**ing garment making, not artificial intelligence. It's about making underwear, banyan, cheap shirt etc. How difficult can it be?
 
We should double down on the
PLI scheme ie Production Linked Incentive Scheme for Textiles sector

And Stop Cotton exports

Even a 20 thousand crores additional subsidy is worth it

Our food and fuel subsidy bill is already in lakhs of crores
 
it's f**ing garment making, not artificial intelligence. It's about making underwear, banyan, cheap shirt etc. How difficult can it be?

Exactly, not so difficult. Speically when everything is still in place. Yet people acting like because of two months of turmoil the industry is gone.
 
People are reading too much into the current situation.

An industry that grew up in decades and one of the largest in the world with long functioning eco-system won't just dissappear because of one or two months of political turmoil. Besides, now BD has the most capable leadership in financial sector in decades. Yunus government has employed some of the most qualified persons for the job.

India should evaluate more where it has developed strengths in supply side investments currently and evaluate to starting/expanding things where its behind.....and the value addition on offer.

RMG is not as value addition/profitable compared to other manufacturing (in say electronics, transportation, civil) and services.

Especially to earn forex in these (essentially surplus you develop to cost-cut others supply side and then leverage and entrench - explaining why PRC still exports 100 billion or more here).....compared to earning forex in other sectors and have this sector be driven by internal market instead.

Where UP labour current cost competitiveness lies requires analysis of this, we will see what Indian corporate groups make of it in end....they are generally fairly conservative and tribal to established areas they have entrenched in....from inertia backlog of unionisation/labour codes.

Basically the situation snapshot for UP + Bihar is markedly different from say 1980s for TN (when it started to industrialise/urbanise in major way). Both the ingredients at home in the state and outside (rest of India, and world).

Many Indians dont realise the difference in labour code, legislation codes and low unionisation (compared to India) that PRC profited from under Deng....having only one govt union basically with all the levers under its control.

Then they dont understand why Indian state govts and federal govt dont want to fiddle with this....preferring to nudge and grow things around it instead. The status quo have's can always shot down the have-nots (that would benefit) a lot easier way things are set up, especially when there is less industry-oriented bureaucracy to begin with (like in TN, its local politics and bipartisan approach past it for capital).

This is exactly why UP is extremely reliant on labour export to rest of India, low paying jobs within UP (for those retained in UP) and everything decent paying is basically an extension of Delhi urban area into UP.

Then the need for 95% of Indians to view things through some political lens or ideology lens of their extreme slanted preference first makes it even more difficult to engage and address.

Bangladesh has a whole other set of problems. It has not developed other competencies like it could have sufficiently.

South Asia does development in a very adhoc way and then picks and chooses numbers selectively to broadcast to feel better.
 

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