government taking several initiatives to enhance export competitiveness of indian textiles for the coming post-quota era – vaghela

Friday, December 10, 2004

Shri Shankersinh Vaghela, Minister of Textiles, in a written reply , informed the Lok Sabha today, that the Textile industry was bracing itself for global competition in the post –quota era. While USA, European Union, UAE, Canada, Bangladesh, Saudi Arabia, Republic of Korea, Russia and Japan are among the top importers of Indian textile goods other markets are also being explored. The measures taken to expand overseas growth and enhance the export competitiveness of Indian textiles are given below-


1-Ten Export Promotion Councils are conducting market driven export promotion programes like participating in overseas exhibitions /fairs, overseas publicity ,sponsoring trade delegations in consultation with Indian Missions abroad.. High level textile delegations have been sent to countries like Tunisia, Morocco, Maurituis to develop textile trade.


2-Handicrafts exports are being promoted tharough participation in fairs and exhibitions, identification of markets, organization of exhibitions and publicity abroad.


3-Handloom products are being promoted through a scheme namely ‘Handloom Export Scheme’.It envisages provision of financial assistance to handloom agencies and also to the Handloom Export Promotion Council for organizing and participating in exhibitions .


4-Under the Market Access Initiative Scheme, financial assistance is extended for medium term export promotion efforts with a sharp focus on a country and product..


5-The government has dereserved the woven segment of readymade garments from the SSI sector .It has also raised the SSI investment limit for knitted segment to Rs 5 crores.


6-The Technology Upgradation Fund Scheme (TUFS) is facilitating the modernization and upgradation of the sector.


7-Weaving ,processing and garment machinery have been extended the facility of accelerated depreciation at the rate of 50%. Cost of machinery has also been reduced through Fiscal Policy measures. This further encourages modernisation .


8-With a view to making fabric production competitive, the custom duty on shuttleless looms has been brought down from 15% to 5%.


9-National Institute for Fashion Technology (NIFT), its six branches and Apparel Training & Design Centres ( ATDCs ) are running various courses / programmes to meet skilled manpower requirements of textile industry especially in the field of apparel designing , merchandising and marketing.


10-Eco-testing laboratories have been created to enable exporters to get the garments /textiles pre-tested for conforming to the requirements of importing countries.


11-The government has launched a centrally sponsored scheme titled ‘ Apparel Park for Export Scheme’ for imparting focused thrust for setting up of apparel manufacturing units of international standards at potential growth centres and to give fillip to exports.


12-A ‘Textile Centre Infrastructure Development Scheme’ (TCIDS) has been launched for upgrading infrastructure facilities at important textile centres.


During the period April-June 2004, textile exports were US$3035.5 million, recording a growth of 6.5% as compared to the corresponding period last year.