Home / Knowledge / News / Textiles / SIMA hails extension of 2% export benefit under MEIS
SIMA hails extension of 2% export benefit under MEIS
Oct '15
The Southern India Mills' Association (SIMA) has welcomed the amendment of 2 per cent export benefit under the Merchandise Export from India Scheme (MEIS) permitting the export of fabrics and man-made fibre spun yarns to leading markets such as African countries, the Middle East, Sri Lanka and Bangladesh.

Earlier, the benefit was confined only to to exports to countries in Group A and Japan in Group B and Bangladesh and Sri Lanka in Group C for fabrics. In the case of manmade fibre spun yarn, the benefit was extended only to countries in Group A and Japan in Group B. Now the benefit has been extended to all countries in Group A, B and C for both fabrics and manmade fibre spun yarn. In the case of made-ups and garments, the benefit was extended to all countries in Group A and only Japan in Group B. Now the benefit has been extended to all countries in Group A and B.

In a press release, SIMA Chairman M Senthilkumar said that this amendment has come as a relief to the textile industry which is under severe stress and is struggling with excess production capacity, particularly in the spinning sector.

Cotton yarn also could have been included as the highly capital and labour intensive spinning sector is under more stress when compared to other segments. The relief given to the manmade fibre spun yarn might slightly increase the exports and help the spinning sector to certain extent,” he said.

Senthilkumar also said that the domestic demand for yarn might slightly improve if the fabric and other value added product exports increase taking advantage of the benefit.

The SIMA chief appealed to the Government to expedite the announcement of interest subvention for all textile products which is under consideration for the last one year.

In recent times, the Indian textile industry has been facing one of the worst ever crisis in its history due to slow down in the global market for textiles and clothing, regional FTAs that reduced exports from India due to tariff barriers, expensive cotton and manmade fibre price when compared to the international price, undue delay in disbursement of TUF subsidies, etc.

The industry had been demanding to extend additional incentives under MEIS and also 3 per cent interest subvention for export of all textile products till the Indian textiles and clothing exports reach their potential growth rate and a level playing field is created in the open market. (SH)

Fibre2Fashion News Desk – India

Must ReadView All

Textiles | On 24th Oct 2016

Indian govt plans roadshows to promote textile exports

The Indian government has planned to conduct roadshows to boost the...

Textiles | On 24th Oct 2016

TPP may hit roadblock

The 12-member Trans-Pacific Partnership (TPP) that was signed earlier ...

Textiles | On 24th Oct 2016

Baba Ramdev’s Patanjali to enter textile manufacturing

Patanjali Ayurved, an enterprise initiated by yoga guru Baba Ramdev,...

Interviews View All

Neel Sawhney
One Friday

‘The share of kidswear segment in the online sector is still small in...

Siddharth Biyani
Mangalam Industries Pvt Ltd

‘The manufacturing sector is improving day-by-day, becoming better in...

Vidhyaa Shankar. S
A Ganapathi Chettiar

'The usage of knits is getting into the boundaries of woven fabrics'

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Tony Ward
Tony Ward

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

Karan Arora
Karan Arora

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

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

October 2016

October 2016

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


Browse Our Archives


Advanced Search