AEPC Chairman hails favorable Foreign Trade Policy

May 14, 2013 - India

Dr. A Sakthivel, Chairman AEPC, on behalf of the entire Textiles Industry has complimented Shri Anand Sharma for bringing in the favorable Foreign Trade Policy and timely interventions that lead to this turn around in the exports of RMG and Textile.

Chairman AEPC said, “I welcome the positive growth of exports in the readymade garment sector for the April 2013. The RMG exports grew by 8.6% in the April 2013; as compared to the last financial year on month to month basis. April 2013 RMG exports are now 1150 million compared to the last year which was 1059 million.”

Chairman AEPC stated that, “This is a good sign the fruits of revival in the US economy and efforts made in the non traditional markets are paying well. Exports have now started responding positively to the Government interventions and market cues. 

“The spur in the demand can be leveraged, if RBI further reduce the credit and ease out the tight liquidity conditions. Government must consider providing separate chapter for exports in the banking sector for easy and soft credit availability. The interest rates to garment sector in our competing countries is 6% to 7% and even with the 2% interest subvention in our country, the effective rate of interest in India is between 9.5% to 10%. 

Chairman AEPC further observes, “This job critical sector of has to be taken care. This will lead to the churning of manufacturing activity and boost exports. With the backdrop of lower inflation, gold and crude prices there are enough room to maneuver. 

Exports during April, 2013 were valued at US $ 24164.37 million (Rs. 131395.43 crore) which was 1.68 per cent higher in Dollar terms (6.71 per cent higher in Rupee terms) than the level of US $ 23766.14 million (Rs. 123137.36 crore) during April, 2012.

Imports during April, 2013 were valued at US $ 41951.73 million (Rs.228115.45 crore) representing a growth of 10.96 per cent in Dollar terms and 16.45 per cent in Rupee terms  over the level of imports valued at US $ 37807.42 million ( Rs. 195888.18 crore) in April, 2012, Commerce Secretary informed.