Over 300 textile mills shut in Tamil Nadu in last few years, says report
GS3Economy · S&T · Environment · Security· Industry, investment & MSMEs· Prelims + Mains·
Why in news
The Union Ministry of Textiles reported the closure of over 300 textile mills in Tamil Nadu between 2021-22 and 2023-24 due to rising operational costs and interstate competition.
Background
The number of operational textile mills in Tamil Nadu dropped from 2,121 in 2021-22 to 1,672 in 2023-24. The South India Spinning Mills Association (SISPA) identified high power costs and raw material expenses as primary drivers of the decline.
Facts for Prelims
- FactNumber of operational textile mills in Tamil Nadu decreased from 2,121 (2021-22) to 1,672 (2023-24)
- FactOver 300 textile mills closed in Tamil Nadu between 2021-22 and 2023-24
- BodySouth India Spinning Mills Association (SISPA) is an industry body representing spinning mills
- PlaceTamil Nadu is a major hub for the textile industry in India
For Mains
Q. Analyze the structural and economic challenges facing the textile industry in India and suggest measures to enhance its global competitiveness.
Dimensions to cover in your answer
- Cost-push inflation: Rising electricity tariffs and raw material volatility eroding profit margins for MSMEs
- Interstate competition: Disparity in renewable energy policies creating uneven playing fields for industrial units
- Policy intervention: Impact of removing subsidy caps on industrial sustainability and state fiscal health
Keywords: MSME sustainability · industrial policy · cost-push inflation · renewable energy policy · manufacturing competitiveness
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This note is generated automatically from SatyaDheesh's news feed and mapped to the UPSC CSE syllabus. Check facts against the original report or PIB before using them in an answer.