Home / Knowledge / News / Apparel/Garments / Centre examining problems of garment exporters
Centre examining problems of garment exporters
01
Jul '16
Job working units in Tirupur knitwear cluster are hoping that their difficulties in availing duty benefits under Export Promotion Capital Goods (EPCG) scheme for machinery import, may be addressed soon.

The Union Government has started examining the issues related to problems they are facing, The Hindu has reported.

According to the report, the problems for the garment industry started subsequent to an amendment in the Foreign Trade Policy that came into effect from July 1 last year, mandating the job working units in printing, dyeing and knitting, and other segments to establish a direct link between machinery imported and the finished goods exported.

In clusters such as Tirupur, vertical integration of production capacities was not much and the units were spread out across the cluster, doing job work.

In his petition to the Government, S. Dhananjayan, a consultant and chartered accountant in Coimbatore, had pointed out that the said amendment had mandated the EPCG license holder to show documents such as copy of agreement entered between the license holder and the ultimate exporter undertaking to export the goods manufactured, proof of despatching goods from the license holder's factory to the exporter's firm and lorry receipt to show logistical movement, among others, to get the zero duty benefits for machinery import.

“Earlier, the exporter only has to show the job working unit's EPCG license number in the export document to enable the job working unit to get the duty benefits. The new compliance can be followed but the wrong interpretation by the officials concerned is creating a confusion”, Dhananjayan said.

T. R. Srikanth, president of Tirupur Export Knit Printers Association, pointed out that after the amendment came into effect, the duty benefits were denied for many of the costly machines imported in the cluster. (SH)

Fibre2Fashion News Desk – India


Must ReadView All

AEPC concern over apparel exports fall; envoys meet CEA

Apparel/Garments | On 17th Nov 2017

AEPC concern over apparel exports fall; envoys meet CEA

India’s Apparel Export Promotion Council (AEPC) has expressed concern ...

Moody's improves India's rating

Textiles | On 17th Nov 2017

Moody's improves India's rating

Moody's Investors Service has upgraded the Indian Government’s local...

Sweden in talks with Birlas for smart textiles project

Textiles | On 17th Nov 2017

Sweden in talks with Birlas for smart textiles project

Sweden is seeking a collaborative project with the Aditya Birla Group ...

Interviews View All

Divyesh Mashruwala
Akshar Industries

Surat dominates foiling, embossing and pleating

Top executives
Textile industry, India

Such fairs are a must for industry to showcase new innovations

Headhonchos
Indian textile value chain

Adopt innovative techniques, go for automisation rather than being...

Harmeet Singh

New Delhi-based Jogindra Industries Private Limited provides an assortment ...

Erik Sy

Manila-based CustomThread is a start-up offering premium custom apparel...

Anupam Arya

<div>Jaipur-based Fabriclore Retailing Pvt. Ltd. is attempting to revive...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Rupa Sood and Sharan Apparao
Nayaab

Nayaab, an exhibition meant to celebrate Indian weaves, is in its second...

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

November 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
68.5%
No
12.4%
Skip
19.1%

Total Votes: 89

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
61.8%
No
30.3%
Skip
7.9%

Total Votes: 89

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
86.5%
No
10.1%
Skip
3.4%

Total Votes: 89

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
80.9%
No
9.0%
Skip
10.1%

Total Votes: 89


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search