National Fibre Scheme
The National Fibre Scheme, announced in the FY27 budget, aims to enhance India's fibre industry by rationalizing import duties, promoting domestic raw material sourcing, and developing fiscal incentives.
Key Objectives
- Rationalise import duties to create a level playing field between natural and synthetic fibres.
- Promote domestic raw material sourcing for fibre production.
- Develop uniform national fiscal incentives.
- Introduce fibre labelling regulations.
Strategic Goals
- Address structural inefficiencies to position India against global leaders like China, Bangladesh, and Italy.
- Adopt a fibre-neutral approach to increase India's share in global fibre production.
- Consider fiscal incentives such as production-linked incentives and capital subsidies for fibre modernization and sustainability.
Significance and Impact
The scheme is crucial as India aims to decrease fibre imports by 22% by FY31 and increase production by over 50% to 22.8 million metric tonnes by 2030-31.
Programme Highlights
- Focus on higher value addition in jute, wool, and silk textiles.
- Achieve complete adoption of certified seeds in jute and silk sectors.
- File more than 100 patents for fibre technologies.
Economic and Employment Goals
- Create eight million additional jobs in the fibre sector by 2030.
- Increase India's share in global fibre production from 8% to 12%.
- Achieve a balanced 60:40 manmade fibre to natural fibre consumption ratio.
