Home / Knowledge / News / Apparel/Garments / RoSCTL yet to made available for apparel, made-up segments

RoSCTL yet to made available for apparel, made-up segments

Dec '19
Pic: Shutterstock
Pic: Shutterstock
The Rebate of State and Central Taxes and Levies (RoSCTL) scheme, which the Indian government said in March would be soon available for the apparel and made-up segments, is yet to be made available. The Merchandise Exports from India Scheme (MEIS), discontinued from August 1 and reinstated later for other export sectors, is also not available for apparels and made-ups.

Apparel and made-up exporters are facing a huge working capital crunch for the past few months, as refunds of over ₹5,000 crore under the MEIS scheme have been blocked. This could continue to pull down apparel exports in the coming months as well, according to a report in an English-language daily.

According to Chandrima Chatterjee, advisor, Apparel Export Promotion Council, more than 8,000 exporters are facing this working capital crunch. Most of these exporters are small and medium enterprises.

Apart from working capital issues, there is no clarity on the rate at which they have to book orders, as the rate of duty refund under RoSCTL has not been announced. A 4 per cent incentive was available for garments under MEIS. Apparel exporters work under thin margins due to the heavy competition from countries like Bangladesh, Vietnam and the Philippines.

Though a smooth transition was expected from the earlier scheme to the new one, abrupt ending of the earlier scheme without starting the new one has put the industry into a lot of hardship, said Chatterjee.

The AEPC had made representations to different ministries about the situation, but is still waiting for clarity on the issues.

The industry fears that the working capital crunch will further worsen the export situation.

Apparel exports had declined 6.5 per cent to $1,055.82 million in November 2019 against $1,129.5 million in the year-ago month. In rupee terms the decline has been 7.05 per cent.

Fibre2Fashion News Desk (DS)

Must ReadView All

Pic: Shutterstock

Apparel/Garments | On 22nd Sep 2021

Bangladesh RMG exporters fear losses due to problems at airport

Apparel exporters in Bangladesh are expecting significant losses for...

Pic: Shutterstock

Textiles | On 22nd Sep 2021

Ukraine wants to purchase textile products from Uzbekistan

A business delegation from Ukraine’s Khmelnitsky recently expressed...

Pic: Shutterstock/ Sheila Fitzgerald

Textiles | On 22nd Sep 2021

India to be 3rd largest importer by 2050: UK Global Trade Outlook

India will turn the third largest importer by 2050 with a share of...

Interviews View All

Textile Industry, Head honchos

Textile Industry
Head honchos

Marry craft and utility

Textile Industry, Head honchos

Textile Industry
Head honchos

Extension of RoSCTL to boost textile exports

Textile Industry, Head honchos

Textile Industry
Head honchos

Quality & affordability to affect market acceptability of new fibres

Ritu Oberoi,

Ritu Oberoi

Mumbai-based Forsarees is a socially driven business enterprise, working...

Harleen Kaur,

Harleen Kaur

Established in 2017 and headquartered New York, the label Harleen Kaur...

Nantas Montonati,

Nantas Montonati

The Riri Group is a one-stop supplier of metal accessories for the luxury...

Johann-Philipp Dilo, Dilo Group

Johann-Philipp Dilo
Dilo Group

German company Dilo Group is one of the leading equipment suppliers of...

Thomas Ong P S, NanoTextile

Thomas Ong P S

Malaysian company NanoTextile Sdn Bhd taps into the potentials of...

Pranesh Sridharan & Berndt Koll, Lenzing

Pranesh Sridharan & Berndt Koll

The Lenzing Group produces Lenzing Lyocell and Modal cellulosic fibres of...

Archana Jaju, Label Archana Jaju

Archana Jaju
Label Archana Jaju

<b>Archana Jaju</b>’s Hyderabad-based eponymous label works with artisans...

Gaurang Shah, Label Gaurang Shah

Gaurang Shah
Label Gaurang Shah

Hyderabad based designer <b>Gaurang Shah</b>, has been traversing the...

Vidur Adlakha & Riccardo Bennidini, La Fuori

Vidur Adlakha & Riccardo Bennidini
La Fuori

With an active presence in US, Italy and India, clothing brand La Fuori...

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


Leave your Comments

September 2021

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

Advanced Search