Maharashtra is taking steps to boost its textile sector. A mega textile hub is being planned for the cotton-growing Vidarbha area. The Maharashtra Textile Policy 2011-17 had stipulated generation of 11 lakh jobs and investment worth Rs 40,000 crores. The aim was to utilise 45 lakh surplus cotton bales produced in the state.

Only 112 projects, worth Rs 3,300 crores, have been completed till now, creating 27,700 jobs. This means only 2.5 per cent of jobs and 8.25 per cent of the projected investment have come into existence. As many as 967 projects worth Rs 9,749 crores were approved in the state, which were to generate employment for 57,000 people.

The new textile policy seeks to offer equity support to new cooperative spinning mills in Vidarbha, Marathwada and North Maharashtra as per the financial pattern 5:45:50, apart from 10 per cent capital subsidy for new projects in the three regions. The policy will launch a skill development program and seeks to review and modify various regulatory provisions of labor and environmental laws, which adversely affect the growth of the textile sector.

Half of the jobs in the textile sector will be created through smaller projects, each worth Rs 10 crores or less. Over 840 projects in this category are expected to give jobs to 27,000 people.