Quota phase out lifts textile exports, says Elangovan

New Delhi, Nov 29 | Updated: Nov 30 2006, 08:53am hrs
The export of textiles from India has taken off after phasing out of quotas in world trade and in the first four months of this fiscal they grew 16.08% year-on-year to $6.1 billion.

The textile exports had been stagnating during the quota period between $10-13 billion. In the first year after quotas, the exports grew 21.8% to $17.8 billion, minister of state for textiles EVKS Elangovan said in a written reply to a question in the Rajya Sabha.

Despite the growth, India is far behind China. In calendar year 2005, the exports from India were $16.14 billion, while China sold textiles worth $115.21 billion in the global market, he said.

Drop in exports of cut, polished diamonds

The exports of cut and polished diamonds have dropped by over 16% in the first quarter of 2006-07 owing to reduction of trading from bonded warehouses.

Giving this information in the Rajya Sabha during Question Hour on Wednesday, commerce and industry minister Kamal Nath said government has taken various steps for promotion of gems and jewellery exports.

Exports of cut and polished diamonds stood at $2278.24 million during the period April-June 2006-07, he said.

Export of gems and jewellery, which also includes cut and polished diamonds, has been identified as a thrust sector in the Foreign Trade Policy, Nath said. In reply to a question relating to trade with Russia, the minister said a joint study group has been constituted to prepare a programme for increasing the mutual trade between the two countries.

Russia has been included as a focus country in the ongoing focus CIS programme aimed at enhancing Indias trade with countries of the CIS region, he said.