Ministry of Textiles issues guidelines for obtaining Composite Mill Certificate

The Ministry of Textiles, Government of India (“Ministry”) has, through a press note numbered 7/2/Comp/2015/Wvg./Vol.IV/16, dated 31st August, 2018 announced that for obtaining new Composite Mill Certificates the mills need to abide by certain guidelines which are discussed below.

Further, the Ministry has made it clear that unless and until the textile mills are fulfilling or abiding by the guidelines, Composite Mill Certificates will not be issued. It has also been clarified by the Ministry that even for the purposes of renewal of existing Composite Mill Certificates the mills need to comply with the guidelines prescribed by the Ministry or otherwise, the Composite Mill Certificates will not be renewed.

The prescribed guidelines issued by the Ministry are as follows:

  1. Composite Textile Mills should have either of the following activities or machineries (Eligible Manufacturing Activities);

a)Spinning and Weaving/Knitting.

b)Weaving/Knitting and Processing Activities.

c)Spinning and Weaving/Knitting and Processing Activities.

d)Spinning and Weaving/Knitting, Processing Activities and Garmenting Made-Up Activities.

  1. Composite Textile Mills shall be having the following:

  1. Registration with the Ministry of Industry, Department of Policy and Promotion, Secretariat for Industrial Assistance/State Directorate of Industry/ Udyog Aadhar/ LLP.
  2. One legal entity of Mill is holding One PAN for all the units/locations.
  3. Valid Pollution Control Certificate for Spinning, Weaving and Processing.
  4. Must be registered with Office of the Textile Commissioner and shall be filing periodic statistical returns.
  5. Quality Certification (such ISO Certificate).
  6. One in house laboratory for quality check.
  7. Minimum capacity requirement.
  8. Production capacity as per the following standards:
  • Production capacity of each activity shall be calculated based on average production during previous 3 years.
  • Production of forward activity should be at least 25% from the production of backward activity.
  • Machinery details has to be provided
  1. The Validity of the Certificate will be co-terminus with the validity of the certificate issued by the relevant Pollution Control Board or 3 years, whichever is earlier.

SourceMinistry of Textiles

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