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India has become attractive for apparel sourcing: AEPC
Oct '13
India has become an attractive destination for apparel sourcing due to its fairly high level of complaint factories engaged in apparel manufacturing and exports, Apparel Export Promotion Council (AEPC) chairman A Sakthivel told mediamen in Tirupur.
In the first five months of 2013, India’s garment exports increased by 14 percent year-on-year in dollar terms, and if the trend continues the sector would be able to cross the target of US$ 17 billion set for the current year, Mr. Sakthivel said.
China, the world’s largest apparel exporter, is showing more interest in engineering sector and Bangladesh, the second-largest apparel exporter, is currently being seen as a non-compliant country, and hence global apparel buyers are now eyeing India with greater interest, the AEPC chairman said.
Although India has at a cost disadvantage when compared to Bangladesh, Vietnam and other countries, non-compliance issues in Bangladesh have resulted in greater orders to India, he added.
He predicted that it would be a good period for India’s apparel sector from now on, and over the next five years, India could double its woven and knitwear garment exports.
He said AEPC would send delegations to Australia, Japan and Israel to boost apparel exports to these countries.
The depreciation of the Indian currency by nearly 25 percent this year has also contributed to an increase in the country’s clothing exports this year. In contrast, Bangladeshi Taka has appreciated by around 8 percent this year.
According to AEPC, 66 percent of India’s total exports are destined for countries in the European Union and the US.

Fibre2fashion News Desk - India

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