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The Minister of Textiles, Shri Shankersinh Vaghela said that the textiles industry needs to intensify efforts towards gaining a firmer foothold in traditional and non-traditional potential markets. While chairing the Parliamentary Consultative Committee Meeting in the capital today he called for diversifying product portfolio, building brand image, entry into the niche markets, reducing transaction and other input costs. In this regard, the textile Export Promotion Councils have already stepped up their export promotional activities, including participation in fairs/exhibitions abroad and organizing Buyer-Seller Meets in important markets. Co-ordinated promotional events are also planned under the Focus LAC, Focus CIS and Focus Africa programmes, to boost our textile exports.
Shri Vaghela said imports and exports are governed by market forces subject to Exports and Imports Policy. The liberalized trading regime would result in increased international trade in textiles thus providing greater export opportunities and at the same time, expose the domestic industry to greater import penetration. The industry has to improve its efficiency and its productivity to meet the emerging global competition.
The Minister said it is the Government’s perception that readymade garments along with strong backward linkages is going to be the medium of growth for the textile sector in the future. To reach the desired goal, India needs to go upstream in the value chain by capitalizing on its efficient and competitive raw material base. The natural advantages in the form of abundant cotton availability and low labour costs need to be dovetailed with technology upgradation and quality improvement to retain the competitive edge leading to quantum jump in global share of Indian textile export in the post quota regime.
The Minister said, his Ministry is fully seized of the need to provide the industry with adequate infrastructure facilities for which two major Schemes have been announced, namely “Apparel Park for Exports” scheme for imparting focused thrust for setting up of apparel manufacturing units of international standards at potential growth centres; and “Textiles Centres Infrastructure Development Scheme (TCIDC)” – for modernizing infrastructure facilities at major textile centres of the country.
Shri Vaghela announced that the first Apparel Park Project has become operational at New Tirupur. Apparel International Mart at Gurgaon and India Exposition Mart at Noida are also coming up to provide one-stop-shop and permanent display facilities.
The Minister said, while textile imports formed only 3.0 per cent of overall imports in 2001-02, this percentage has decreased to 2.1 per cent during the period April-January, 2004-05, overall imports have increased by 38.4 per cent, while textile imports have increased by 6.3 per cent. However, the increase does not represent even 1 per cent of the domestic production of textiles in the country. There is also no surge in imports. However, Textile Ministry is keeping a constant watch on the import situation and would strive to ensure that the imports do not cause any material or serious injury to the domestic industry. In case any unfair trade practices come to notice, action under the Anti-dumping, countervailing and safeguard measures under the WTO agreement would be taken.
Members expressed concern over dumping, condition of sick jute mills and mills under NTC. The Minister assured the members that information would be provided with regard to all action taken by the Government with regard to NTC mills and also details of subsidies provided under TUFS.
The following Members of Parliament attended the meeting – Shri S. Chatterjee, Shri DBV Patel, Shri M.K. Kanodia, Shri M. Rawale and Shri D. Athithan.
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