Preliminary estimates indicated that during September silk exports were valued at $ 27.35 million pushing up cumulative silk exports to $ 168 million, according to data compiled by the Indian Silk Export Promotion Council.

"Considering the export trend, exports to Europe increased by over 50 per cent and exports to the US about 20 per cent in value. Total exports may cross $ 500 million, almost 50 per cent more than the target of $ 330 million fixed for the year," ISEPC sources said. The council said the improved export performance to major markets like the US, Europe and Japan during the current fiscal could lead to overall exports surpassing the target of $ 330 million, they said. One more positive indication is that exports to Japan have increased by a phenomenal 167 per cent, the council said. The improved performance in the country's silk exports is mainly due to silk fabrics, made-ups and silk readymade garments currently riding the fashion wave in the US and Europe, sources said.

"However, there is no corresponding substantial change in the varieties of fabrics being manufactured or in the collection of readymade garments which are being exported," ISEPC sources said. Silk scarves and stoles have witnessed maximum rise in exports till August this year, increasing by 233 per cent in dollar terms to touch $ 16.56 million. The council, however, warned that the current increase in exports could be due to shift towards silk because of demand of silk fabrics in fashion capitals which could soon be replaced by a demand for some other fabric.

"We have planned to achieve $ one billion exports in five years. It is essential for the silk exporters to take appropriate measures to sustain export growth in the next three to four years," the council said. Outlining the pertinent issues for sustained exports the council said reduction in customs duty on mulberry raw silk was essential to check smuggling of raw silk. Other issues include enhancing the duty drawback for silk exports and improved marketing assistance and allowing import of second hand machinery for the cottage sector, it said. ISEPC has started a new project to improve designs with Kancheepuram silk varieties to boost exports of that product and is also launching a special silk garment promotion project which is aimed at the US and the Latin American markets.