Textile sector aims 100% garment export growth
The textiles industry, including garment exporters, has submitted proposals to the Union commerce and textile ministry, including permitting imports of cotton yarn without licence at flat fixed customs duty rate, permitting imports of fabrics without license at flat fixed customs duty rate and permission to import yarn/fabrics maximum to the extent of 25% of their export performance in the preceding year, to achieve 100% growth in garment exports over the next three years.
Apparel Export Promotion Council chairman A Sakthivel said: “It is learnt that union ministries of commerce/textiles is likely to announce sops to the industry to meet the challenges arising out of global slowdown. Hence, the ministry concerned should consider our proposals to increase our exports and achieve 100% growth over the next three years.”
According to him, cotton yarn imports permitted without license at flat fixed customs duty rate, equivalent to all industry rate of duty drawback. Exports of finished product made from such imported yarn be allowed at corresponding rate of duty drawback. For example, import of cotton yarn be allowed at flat 3% rate (rate of duty drawback) or dyed cotton yarn be allowed at flat rate of 3.5% (rate of duty drawback). Exports of garments made from such cotton yarn be allowed at drawback of 7.9% on FOB (rate of duty drawback).
Similarly, fabrics imports be permitted without license at flat fixed customs duty rate, equivalent to all industry rate of duty drawback.
Exports of finished product made from such imported fabrics be
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