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India's apparel exports can grow three-fold by 2016
07
Jan '13
Mr. Shaktivel
Mr. Shaktivel
India’s apparel sector can post a three-fold export growth over the next three years if the Central Government permits it to use 15 percent of the export proceeds to import raw inputs like synthetic and polyester fabrics, which they do not get within the country, Apparel Export Promotion Council (AEPC) has said.
 
The export body leaders would soon hold a meeting with the Textiles Ministry in this regard, AEPC Chairman A Shaktivel said during a media briefing on the sidelines of a meeting with leading textile and allied associations, called by AEPC.
 
Mr. Shaktivel said it was not easy to import raw inputs in lines with the Advance Linked scheme as small exporters would not be able to afford the same.
 
Noting that presently the industry avails 5.33 percent duty drawback on fabrics and 3.3 percent on yarn, the AEPC chief said that if adequate availability of polyester yarn and fabrics is ensured, the industry has the potential to exploit the winter wear market, which does not contribute majorly to India’s garment exports at present.
 
Mr. Shaktivel said if the Government accepts their request, it could stimulate a three-fold rise in India’s garment exports from the present US$ 14 billion.
 
He added that 2013 is going to be a promising year for India’s clothing exports, as can be witnessed from an increase in number of orders for apparel and knitwear garments over the past two months.
 
He said it would mark the revival of growth of India’s apparel exports, after three year of crisis-phase.
 
Mr. Shaktivel, who also presides as President of Tirupur Exporters’ Association (TEA), said, the Rs. 135 billion worth Tirupur apparel sector will also get a boost if the Centre accepts their proposal.
 

Fibre2fashion News Desk - India


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