Foreign direct investment in the country's textile sector has more than doubled to Rs968.76 crore in 2009 from Rs415.10 crore in 2007. A bulk of this has come from Europe, US and China.
FDI in India's textile sector has steadily increased from Rs415.10 crore in 2007 to Rs869.62 crore in 2008 and further to Rs968.76 crore in 2009, minister of state for textiles Panabaaka Lakshmi informed the Lok Sabha in a written reply.
She said the government has been taking several steps for creating appropriate investment environment in this sector to ensure optimum utilisation of funds received through the FDI route.
The government has been routing the FDI for technology and design development, superior production techniques, better labour conditions, formulation of compliance norms, and development of textile parks and mega clusters, she stated.
Meanwhile, she said, the government has initiated a new policy to diversify markets for India's textile exports and reduce dependence on the European Union and the United States.
The new export policy regime covers all the potential markets, including the countries of East and South East Asia.