After having grossly ignored the textile industry in the Budget 2008-09, the Government has assured now that it would pay the closest attention to the problems currently plaguing the industry by devising appropriate strategies to further promote growth and competitiveness of the industry. The powers-that-be has proposed to focus on three imperatives namely, the need to ensure a stable policy environment; the need to support modernisation through financing technological upgradation and to help build global brands for Indian textiles. It is true that some fiscal measures have been taken by the Government to strengthen the textile sector: The excise duty structure has been completely transformed with large scale concessions; Customs duty for a number of textile machinery items has been reduced and hosiery and knitwear items have been de-reserved from the small-scale sector; The Technology Upgradation Fund has been extended into the 11th Plan and the scheme for Integrated Textile Parks in public-private partnership mode has also been expanded. The ultimate aim is to make the country become a major outsourcing hub. The new growth areas such as technical textiles have been identified to give a boost to the textile sector. 

One big challenge facing the 11th Plan is to increase the skill base to make the textile sector competitive. The National Skill Development Mission has already identified this as a thrust area. There is an imperative need for innovative responses to increase jobs in the textile industry. As per the report of the Working Group on Textile and Jute Industry for the Eleventh Five Year Plan, the estimated employment in the textile industry is expected to increase from 33.17 million persons as on March 31, 2006 to 45.19 million by the terminal year of the Eleventh Plan. Be it the raw material front, value addition, export or improving skill base, nothing is possible without a boost to the enterprise and business acumen of the textile industry in dealing with the challenges ahead and improving their competitiveness.