Coimbatore, Jan 25: The Cotton Textiles Export Promotion Council (Texprocil) has urged the government to address certain core issues concerning the Indian textile industry to achieve the $4.10 billion target set for the year 2000-01.Texprocil chairman DS Alva said that the Government should strive to remove hurdles affecting exports of cotton yarn, fabrics and made-ups on a war-footing, to achieve the targets. The target for cotton yarn, including sewing thread, has been revised from the $1,500 million set for 1999-2000 to $1,700 million for the financial year 2000-01. However, the target for fabrics and made-ups is maintained at $2,400 million for the second consecutive financial year 2000-01.
``India is at present the biggest exporter of cotton yarn in the world. We have placed before the Centre all the issues that need to be addressed. If these are addressed earliest possible, then we may even exceed the targets,'' Alva said after the Texprocil administrative committee met here on Monday.
In the case of cotton yarn, the council has urged the Government to increase the DEPB rate to 5 per cent from the present 2 per cent and provide a special quota for exports to the US. This would enable exporters access the vast American markets better. ``The increase in DEPB rate would alone increase yarn exports by another $300 million. The access to the American markets can be had through OPT system or some other system where cotton yarn is exported against import of cotton from the US. The Indian government should take the initiative and talk to the US,'' said Alva.
India currently holds a 22 per cent market share of the global cotton yarn exports. The all-time record achieved in cotton yarn exports during the calendar year 1999, encouraged the government to fix, and the council to recommend, the highest ever target for 2000-01. ``We will surpass the 1999-2000 target,'' said a senior Texprocil official.
Describing the policies for made-ups as that of a ``harassment regime'' he alleged that lack of a timely rebating policy has the hampered exports. ``Procedural simplification, timely rebating and removal of anomalies would see made-ups exports increase substantially,'' the Council chairman added.
Copyright © 2000 Indian Express Newspapers (Bombay) Ltd.