EXPORTS OF READYMADE GARMENTS

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Quantity-wise and State-wise/Union Territory wise data is not centrally maintained. The exports of readymade garments from the country during the last three years are given below:-

Year	Value (in Million US $)
1999-2000	4765.2
1999-2001	5568.9
1999-2002	4987.4

 

The figures of exports of readymade garments to quota countries during the last two years are given below:-

Year	Value (inMillionUS$)	% increase/decrease over the previous year
2000-2001	3827.4	-10.2%
2001-2002	3436.6

The main reason for the decline are general slowdown in the economics of some of our major trading partners like the US and increased competition from our neighbouring countries like China, Bangladesh etc.

Government have been taking several steps from time to time to strengthen and promote textile exports including readymade garments to various countries including quota countries. Some of the important initiatives are: -

1. The Government has de-reserved the woven segment of readymade garment from the SSI sector.

2. The Technology Upgradation Fund Scheme (TUFS) has been made operational from 1-4-1999 to facilitate the modernization and upgradation of this sector so that it can become more competitive in international trade.

3. Weaving, processing and garment machinery, which are covered under TUFS, have been extended the facility of accelerated depreciation at the rate of 50%. Cost of machinery has also been reduced through Fiscal Policy measures.

4. With a view to encouraging backward integration, the custom duty on shuttleless looms has been brought to 5%. A programme has also been announced to induct 50,000 shuttleless looms and to modernise 2.5 lakh powerlooms in the decentralized sector by 2004.
5. Foreign equity participation upto 100% through automatic route has been allowed in the textile sector with a few exceptions.
6. 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 apparel in the field of design, merchandising and marketing.
7. To prepare and sensitise the textile industry to conform to the ecological requirements of improving countries by providing facilities by way of eco-testing laboratories.

This was stated by the Minister of State for Textiles, Shri Basanagouda in a reply in the Lok Sabha today.