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Home / Knowledge / News / Textiles / More good news in offing for textile sector from Govt.

More good news in offing for textile sector from Govt.

21
Nov '08

There is a piece of very good news for the beleaguered textile and garment industry in China. “The government will come out with more tax benefits and help channelize much needed finance to the industry”, said, Ou Xinqian, Vice-Minister, Ministry of Industry & Information Technology, while addressing a forum.

The Minister said, “Since July, the government has raised the export drawback rates twice now it will come with different credit and fiscal measures to help the badly affected textile and garment industry”.

But she categorically said that the onus lay at the doorsteps of the companies themselves to lift themselves out from this economic quagmire by innovating continuously and revisiting their strategies.

Annual growth of apparel exports has dropped to a miniscule 2.8 percent in the first ten months of the current year from the heady and high 22.9 percent achieved in the same period of the previous year.

In addition to the export rebates the state has also revised Value Added Tax (VAT) laws with a aim at reducing the tax outgo and has also set up a mechanism to providing loans to SMEs through government guarantees.

Fibre2fashion News Desk - India

More Textiles News - China...