The government will form an Environmental, Social, and Governance (ESG) taskforce for the textiles sector to enhance its credibility in view of India's own commitment to sustainability, Union Minister Piyush Goyal on Saturday.

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Talking to reporters, the Minister of Commerce & Industry and Textiles also said that the contours of the Production Linked Incentive (PLI) scheme for the textile sector will soon be finalised and taken up for approval at the higher level.

The ESG taskforce which will look at environmental, social and governance issues in the textile sector as credibility is becoming more and more important and exporters shared that they were getting twice the value for the same product if it is a sustainable product.

"We have discussed that textile will also contribute to that and this group will come up with suggestions which will help the textile sector become more sustainable in their current operations and also look for more opportunities in sustainable textiles," said Goyal.

Goyal, who also holds the portfolio of Consumer Affairs and Food & Public Distribution, said that extensive discussions have been carried out both within the government and extensive stakeholder consultations over the issue of the PLI scheme in the textile sector.

Goyal was here to attend a 'Chintan Shibir', or brainstorming session on technical textiles and also attended the "Saurashtra Tamil Sangamam" organised in Somnath.

"At the Chintan Shibir, I have exchanged views about how we can expand, promote and support the industry to grow further. One of the areas of discussion was the PLI scheme, and I am quite confident that very soon we will be able to finalise the contours of the scheme and take it up for approval at the higher level," he said.

He said that reduction in Indian yarn export is a good sign for the country as this will provide more opportunities to Indian startups through value addition within the country.

Talking about the seven PM MITRA (Pradhan Mantri Mega Integrated Textile Region and Apparel) Park sites announced recently, he said that this will help realise PM Modi's conception of 5Fs -- farm to fibre, fibre to factory, factory to fashion, and fashion to foreign.

He said the scheme will help resolve the problem of scattered approach of the sector by bringing together all the aspects of 5Fs at one place. Sites have been identified and MoUs will be signed with the beneficiary states and master developers selected through a transparent process for the same, he said.

The seven PM Mitra Parks were selected in Gujarat, Tamil Nadu, Madhya Pradesh, Uttar Pradesh, Telangana, Maharashtra and Karnataka.

"We will try for fast development to provide 5Fs available at one place with all the facilities to reduce our logistics cost, increase productivity and production in India at a large scale, and meet the demands for the country and the world," the Union minister said.

Goyal said that Indian demand for yarn and finished products is growing significantly, both for domestic and export markets. If producers get a better value in the Indian market, they will prefer to sell the yarn in India which will be processed right up to the garment stage, he said.

"And that value addition is good for India. So wherever possible, value addition will create jobs, and give opportunities to our entrepreneurs, our startups. And therefore, if at all yarn export reduces, it is a good sign for us," Goyal said.

"Readymade garments, and finished value-added products increasing is really a strength of India which we want to encash. Similarly, our handicrafts and handlooms are also showing very good traction both in India and internationally," he said.

The textiles ministry in a release stated that Goyal emphasized the need for strengthening certification systems for organic cotton and requested industry for active participation in promotion of organic cotton production amongst cotton farmers.

He reviewed the progress of initiatives for cotton value chain, and advised to form a working group of experts, representatives from industry, respective Ministries & other stakeholders to have detailed plan of action to boost organic cotton production on cluster based approach.