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 | On 24th Jan 2017

Textile industry demands relaxation of laws from Budget

The upcoming Union Budget 2017-18 should focus on relaxing certain...

President Donald Trump; Courtesy: White House

Textiles | On 24th Jan 2017

US sets ball rolling for withdrawal from TPP

President Donald Trump has set the ball rolling for withdrawal of the ...

Textiles | On 24th Jan 2017

Indian cotton consumption estimated at 290 lakh bales: CAI

The domestic consumption of cotton during the crop season 2016-17...

Interviews View All

Asim Dalal
Indo Count Retail Ventures

Today, there is no other emerging market as India, "we make in India and...

Krishnanand Tripathi
Textrade International Ltd

We believe in vocational education for entry-level employees, offering...

Marazban F Velati
Sutlej Textiles & Industries limited

No training can be effective till the candidate believes in it.

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Kevin Nelson
TissueGen

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

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

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
January 2017

January 2017

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

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search