Home / Knowledge / News / Apparel/Garments / TEA seeks relaxation of rules under EPCG scheme
TEA seeks relaxation of rules under EPCG scheme
06
Jun '16
The Tirupur Exporters Association (TEA) has requested Commerce and Industry Minister Nirmala Sitharaman for help in making amendments in Export Promotion Capital Goods (EPCG) Scheme in such a way that the export obligation can be fulfilled by the ultimate garment exporter through third party exports after relaxing the condition that the product manufactured by EPCG holder should be exported.

In a press issued today, TEA President Dr.A.Sakthivel said under the scheme, job working units like knitting, dyeing, calendering, compacting, printing and embroidery etc., have got affected since they are not directly exporting the garments and actually they are carrying out only intermediate process.

He highlighted that due to this condition imposed in EPCG scheme, job working units are being deprived of importing machinery under EPCG scheme. Dr Sakthivel pointed out that job working units in Tirupur cluster are the backbone for the growth of Tirupur knitwear exports.

He stressed that more than 80 per cent of the garment exporting units are in SME sector and do not have enough financial strength like corporate companies to install entire machinery.

Dr. Sakthivel expressed concern that advantages of cluster like Tirupur would be defeated and ultimately, the job working units will have to pay higher customs duty and the requirement of cost of capital will also go up. In case, if there is no relaxation given in the condition put under EPCG scheme.

The TEA president said he had already represented the matter and discussed the issue with DGFT also. (SH)

Fibre2Fashion News Desk – India

Must ReadView All

Textiles minister Smriti Irani at a press conference with minister of state for textiles, Ajay Tamta, the principal director general (M&C), PIB, AP Frank Noronha and other dignitaries. Courtesy: PIB

Apparel/Garments | On 23rd May 2017

Special package for knitwear coming soon: Irani

Union textiles minister Smriti Irani said that the government of...

Apparel/Garments | On 23rd May 2017

Apparel, footwear use may rise by 63% in 2030: Report

The apparel and footwear consumption is projected to rise by 63 per...

Apparel/Garments | On 23rd May 2017

Gap Inc earns $3.4 bn in net sales in Q1 FY17

Gap Inc's net sales for the first quarter of fiscal year 2017 were...

Interviews View All

Amardeep Singh
Orient Craft

'In export markets, the trend in terms of embroidery, is towards matte...

Anvita Mehra
Confidential Couture

‘It is going to take some time for Indian buyers to get accustomed to...

Manfred Mentges
Sedo Treepoint GmbH

We see a higher demand in colour management systems, as customers see big...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Kerem Durdag
Biovation II LLC

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

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

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

news category


Related Categories:
May 2017

May 2017

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

SUBSCRIBE


Browse Our Archives

GO


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