Home / Knowledge / News / Apparel/Garments / Textile exports likely to miss $45 bn FY18 target: CITI
Textile exports likely to miss $45 bn FY18 target: CITI
07
Apr '18
The $45 billion target for 2017-18 is likely to be missed by Indian textile and garment exporters as the industry reels under the impact of the rollout of the goods and services tax (GST) and the tariff advantages enjoyed by rivals like Vietnam and Bangladesh, according to the Confederation of Indian Textile Industry (CITI).

Terming the fiscal ‘disappointing’, CITI president Sanjay Jain told a news agency that $40 billion is the closest that can be achieved. The country's textile and apparel exports stood at $37.25 billion in the calendar year 2017.

Textile and clothing shipments have consistently missed annual targets set by the government in at least the previous three financial years. According to data from the Directorate General of Commercial Intelligence and Statistics (DGCIS) under the commerce ministry, during April-February 2017-18, exports of readymade garments of all textiles stood at ₹97,983.99 crore, registering a 6.25 per cent decline over the same period last year. In February alone, shipments witnessed a steep 13.86 per cent fall.

India’s textiles and apparel industry faces a big threat from rising imports due to the removal of countervailing duty and special additional duty in the GST regime, said Jain.

The steep up-trend in imports will only worsen the situation going forward, Chinese fabrics are entering India via Bangladesh, he added. The effective duty drawback has also come down for the sector after GST implementation, thereby hitting export margins.

The sector expects the government to at least partially compensate the industry in the interim period.

As China imposes around 3.5 per cent import duty on yarn from India under the Asia Pacific Trade Agreement (APTA) while offering duty-free access to Vietnam, India's cotton yarn exports to China have decreased by 49 per cent between 2013-14 and 2016-17, while Vietnam's exports to China have increased by 88 per cent during the same period. (DS)

Fibre2Fashion News Desk – India


Must ReadView All

Pic: Shutterstock

Textiles | On 15th Feb 2020

Morocco to revise FTA with Turkey

Turkey has agreed to review its free trade agreement with Morocco,...

Pic: Shutterstock

Textiles | On 15th Feb 2020

German, Italian investors interested in investing in Pak

German and Italian investors and manufacturers have evinced keen...

Pic: Nike

Apparel/Garments | On 15th Feb 2020

Nike employs distributors in Brazil, Argentina, Chile

Nike has entered into strategic distributor deals for its Nike Brand...

Interviews View All

Sanjay Yagnik, Maa Tex Speciality

Sanjay Yagnik
Maa Tex Speciality

‘We suggest reducing dosage of sizing chemicals to reduce sludge...

Mohammad Mamun Ar Rashid, UL VS Bangladesh Ltd

Mohammad Mamun Ar Rashid
UL VS Bangladesh Ltd

Productivity, creativity and innovation play a vital role in the growth of ...

Awen Delaval, Samatoa

Awen Delaval
Samatoa

'Natural fibres are appreciated for traditional authenticity'

Nuria Estape,

Nuria Estape

Archroma is a global colour and specialty chemicals company headquartered...

Awanda Booth,

Awanda Booth

Held every year in New York City, Surtex is a global business-to-business...

Italtex,

Italtex

Italtex is a leading studio publishing fabric trend-books since 1959....

Ian Russell, Pireta

Ian Russell
Pireta

UK-based Pireta has developed a unique free-form process to add durable,...

Andreas Lukas, Andritz Nonwoven

Andreas Lukas
Andritz Nonwoven

With forces in engineering and process development, Andritz Nonwoven...

Eric Scholler, Groz-Beckert

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Amiben Shroff, Shrujan

Amiben Shroff
Shrujan

From its modest beginning in the late 1960s, Shrujan has grown into a...

Tony Ward, Tony Ward

Tony Ward
Tony Ward

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

Robert Brunner, Devereux

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


February 2020

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


Advanced Search