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Govt urged to draft inspiring policies for apparel sector

11
May '07

Textile and garment exports surged when EU and the US implemented quotas on Chinese imports.

However, restrictions on China are expected to terminate in 2007 and 2008, respectively. Hence, textiles cannot completely depend on these trade barriers and policies.

Domestic industry needs to brace itself to build an all-round sector that will not only survive abut also excel the global competition.

In such tough scenarios, Government has failed to provide encouraging strategies and form policies to help and boost the industry.

Infact, many apparel manufacturers are being forced to cut costs and decline prices because they are unable to compete in domestic as well as international markets.

Companies are moving to areas that offer cheaper production and labor costs. Minimum wages were recently raised by 10 percent and will be increased every year.

Biggest challenge for enterprises will be to acquire maximum productivity from minimum labor and achieve their targets. Not meeting goals will once again compel them to cut costs, adversely affecting management and labor, which will in turn influence quality of the product.

Experts say that Indonesia should take inspiration from Thailand's Fashion City Project, which is all set to make Bangkok global fashion hub.

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