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Home / Knowledge / News / Textiles / Textile exports for FY'08 fall behind targets

Textile exports for FY'08 fall behind targets

23
Apr '08

Textile export results for the period 2007-08 were announced at the Federation of Indian Chambers of Commerce and Industry (FICCI) seminar on technical textiles held on April 21.

Taking the honor of revealing the statistics, Mr Shankarsinh Vaghela told reporters that textile exports of India stood at US $20.5 billion falling short of the set target of $25 billion. He further affirmed that reason for this lag can be undoubtedly ascribed to the impact of rupee appreciation inspite of which the sector managed to register a 10 percent growth over 2006-07.

Mr Vaghela assured that Government was initiating measures to achieve the target of $50 billion in textile exports by 2010.

Moreover, experts have anticipated a growth of 15 percent for 2008-09 since the first two months of this year have already given an optimistic kick start by reflecting an 8.5 percent growth.

Rupee appreciation of 8 percent was recorded between April 2007 and March 2008 and its impact was clearly reflected from the fact that the share of textile exports, contracted from 14.76 percent in 2006-07 to 13.22 percent last year.

With China, Bangladesh, Pakistan and other southeast Asian countries putting up a strong competition, India cannot afford to show a negative growth, especially when its potential market is Europe other than US which is currently facing a recession.

Remarkable performance made by the Indian enterprises has attracted a good number of FDI amounting to $8,437 millions in 2006-07. Experts are therefore hopeful that even for this ongoing year, foreign capital would help India escape the ill-effects of rupee appreciation.

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