Increase foreign exchange and create jobs
Previously, the cotton yarn and fabrics were eligible only for duty drawback. But now the government has decided to cover them under the Remission of Duties and Taxes on Exported Products (RoDTEP) scheme effective January 1, 2021. Fibre2Fashion checked with few industry stalwarts their reaction to the government’s decision.
The cotton yarn and fabrics were hitherto eligible only for duty drawback and now on, the cotton yarn will get 3.8 per cent RoDTEP with a cap of ₹11.40 per kilo and 4.3 per cent with a cap of ₹3.4 per sq metre. This would give impetus and opportunity for India to increase exports, convert the raw cotton being exported into value added products, increase foreign exchange and create jobs for several lakhs of people, apart from utilising the surplus capacity already created both in the spinning and weaving sectors.
This will go a long way not only in ensuring the healthy development of the value chain, but also improve India’s competitiveness in overseas markets, he said.
The scheme will place Indian textile exporters at par with international competitors and allow them to penetrate new markets to increase their market share and make the Indian textile industry AtmaNirbhar in all senses.
Published on: 18/08/2021
DISCLAIMER: All views and opinions expressed in this column are solely of the interviewee, and they do not reflect in any way the opinion of Fibre2Fashion.com.
