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Indian textile exporters seek incentives from govt

21 Dec '12
2 min read

Indian textile exporters are concerned about the decline in demand for Indian clothing in international market and they demand incentives from both the Central and state governments to overcome the existing problems faced by the textile industry.

In a conversation with fibre2fashion, Mr. S Sivananthan, secretary of Textiles and Garments Exporters Association, Erode, said, “We are facing competition from countries like Vietnam, Cambodia, China and Bangladesh in garment exports.”

“Around 60 percent of garment exporters from Tirupur and 70 percent exporters from Erode, Salem and Coimbatore have closed down their factories in last few years,” he informs.

According to him, there are many problems faced by the apparel exporters in the country and they are seeking help from both the state and Central Governments. “The problems faced by the industry include shortage of power and skilled workers as well as fluctuation in dollar rates and yarn prices,” he says.

“We request the Central Government to appoint a committee to analyze the problems faced by the Indian textile industry,” he continues.

He opines, “The committee should include representatives from both Central and state governments and a representative from the textile industry.”

“The committee must recommend solutions to the Indian Government,” he adds.

He says, “If we do not give a new life to the Indian textile industry then export market will be taken away by countries like Vietnam and Cambodia and domestic market will be occupied by Bangladesh and China.”

Mr. Vijay Ahuja, President of Garment Exporters Association of Rajasthan (GEAR), says, “There is 30 percent decline in garment exports compared to last year.”

“We are getting less orders from the US and European markets,” he informs.

According to Mr. Devendra Baid, owner of Kolkata-based Welfit Garment Mfg co, the manufacturing cost of garments are very high in India as compared to countries like Bangladesh and Vietnam. “We need some incentives from the government that may help us to recover from the existing competition,” he urges.

Fibre2fashion News Desk - India

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