In a written reply, minister of state for textiles GN Ramachandran told the House that there were 17 states in which these textiles mills were remaining closed. Government has established the Board for Industrial and Financial Reconstruction (BIFR) with a view to arranging timely detection of sick and potentially sick companies and for the speedy determination of preventive, ameliorative and remedial measures which need to be taken in respect of such companies, he said.

In another reply, the minister said the recommendations of the expert committee on textile policy under the chairmanship of SR Sathyam were under consideration of the government and representations received from various handloom weavers cooperative societies would be given due consideration before accepting the recommendations pertaining to handloom sector. He informed the House that the Government had been implementing various schemes and programmes for the overall development of handloom sector and welfare of weavers including project package scheme, workshed-cum-housing scheme, thrift fund scheme, group fund scheme, health package scheme, freelance designer scheme and hank yarn obligation order.

Various states sanctioned funds to the tune of Rs 94.12 crore during 1998-99 and Rs 84.76 in 1999-2000 under various schemes for the development of handloom sector, Ramachandran said. In another reply, he said the Jute Corporation of India (JCI) has been directed to restructure its manpower and operations to make the corporation more viable and self-dependent. The minister informed the House that the ministry of textiles has constituted an anomalies committee to consider upgradation of various cadres in the office of the Development Commissioner (Handicrafts) including the cadre of Assistant Director (Handicrafts) and that of Handicrafts Promotion officers.

The upgradation of pay scales were under active consideration of the government, However, it was not possible to indicate a definite time frame for the committee to submit its report. Efforts were being made to settle the matter expeditiously, he said.