There has been steady increase in export of textiles and clothing products over the years. It increased from $22.41 billion in 2009-10 to $33.31 billion in 2011-12. However, during April-January 2013 a decline of 7.55 per cent in dollar terms has been noticed. This is largely attributable to slowdown in the traditional markets of the US and the EU.
Details of textiles and clothing produced and exported during the last three years and the current financial year, country and item-wise, as well as details of the schemes launched by the Government to increase exports of textiles are given in the accompanying tables.
There is regular review and evaluation of export-related schemes for the textiles sector by the Government as well as implementing agencies/committees/councils and, wherever required, necessary directions are issued and the schemes realigned to suit the demands of the global market.
The Government has introduced various schemes for promotion of textiles and clothing exports. Several provisions are included in the Foreign Trade Policy 2009-14 for providing incentives for textile & clothing exports, including those for exports to focus markets and focus products, interest subvention on pre-shipment credit, duty-free import of trimmings, etc., required by the garmenting industry and duty-free import of tools by the handicrafts industry.
The other measures taken by the Government to aid the growth of Indian textiles exports are the two per cent interest subvention scheme for the readymade garments sector extended up to March 2014; additional incentives for incremental exports to the US, the EU and Asian countries; additional duty credit of two per cent of FOB value given on export of certain knitwear apparels for 2013-14; inclusion of new markets such as New Zealand, Cayman Islands, Latvia, Lithuania and Bulgaria under the Focus Market Scheme; two per cent market-linked Focus Product Scheme (MLFPS) for the US and the EU extended up to March 31, 2013; use of the Focus Market Scheme, Focus Product Scheme, status holder incentive scrip and MLFPS for payment of excise duty for domestic procurement; and extension of zero duty EPCG scheme up to March 31, 2013.
The plan of action prepared by the Government to boost textile exports are continuation of MAI (Market Access Initiatives) and MDA (Market Development Assistance) to apparel export for market diversification and to increase their share in world trade; skill development programme through Apparel Training & Design Centres (ATDCs) to make available skilled workforce to the apparel export sector; assistance under the Common Compliance Code Scheme; and assistance under the Technological Upgradation Fund Scheme (TUFS).