March 13, 2002

'19'

RAJYA SABHA

DECLINE IN GARMENT EXPORTS

    As per DGCI&S data, the exports of readymade garments during the period April 2001 amounted to US$ 363.0 million as against the exports of US$ 417.5 million during the same period of 2000, recording a negative growth of 13.1%.

    It was mainly due to general slowdown in the economies of some of our major trading partners like the US and increased competition from countries like China, Bangladesh etc.

    The U.S.A., EU Member States, U.A.E., C.I.S. countries, Japan, Saudi Arabia, Australia, South Africa etc. are the major importing countries of our readymade garments.

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

    1. The Government has de-reserved the woven segment of readymade garment from the SSI sector. It has also announced the de-reservation of knitted segment in the Budget 2002-03.
    2. The Technology Upgradation Fund Scheme (TUFS) has been made operational from 1-4-1999 to facilitate the modernisation 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%.
    4. Technology Mission for Cotton has been launched for initiating focussed steps for boosting production, productivity and quality of cotton for manufacture and export of competitive downstream textile products.
    5.  

    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. The import of a large number of garment machinery has been allowed under concessional custom duty.

    This was stated by the Minister of State for Textiles, Shri V. Dhananjaya Kumar in a written reply in the Rajya Sabha today.