(a) the ratio of cotton in man-made fibre in the Indian textile industry at present against the world average;
(b) whether there is some scope to increase the use of man-made fibres;
(c) if so, the details thereof and the steps taken/proposed to be taken in this regard;
(d) whether the Government propose to increase the export of cotton/cotton products with high value addition; and
(e) if so, the details thereof and the steps taken/proposed to be taken in this regard?
MINISTER OF STATE FOR TEXTILES
(SHRI GINGEE N RAMACHANDRAN)
(a) The consumption of cotton to man made fibre/yarn is 60:40 in India as compared to world ratio of 46:54.
(b to e) The consumption/use of textiles (manmade fibres), primarily depends on cost, quality, consumer preferences, climate etc. However, the ratio of consumption of non cotton fibres/yarn to cotton fibres is gradually increasing in favour of non cotton fibres/yarn. Export of cotton/cotton products with high value addition, depends on various factors, viz, price competitiveness, quality, adherence to delivery schedules, customer satisfaction etc. Export of cotton during the current year has been estimated 1.5 lakh bales in comparison to 1 lakh bales during the last year. The export of cotton products with high value addition has increased during the period April, 1999 to March, 2000 by 4.7% over the corresponding period of the last year. The Government has taken following steps to boost export of cotton/cotton textiles:-
1) The Technology Upgradation Fund Scheme has been made operational with effect from 1.4.1999 to facilitate the modernisation and Upgradation of textile sector.
2) The New Export Entitlement(Quota) Policy for the period 2000-2004 has been announced recently to provide stability and continuity and encourage competitiveness in textile exports.
3) Non-quota Entitlement (NQE) System for encouraging non-quota exports to quota and non-quota countries has been retained to boost exports in apparel sector-value added segment of Indian textiles.
4) The facility to import capital goods under Export Promotion Capital Goods (EPCG) Scheme at 5% concessional rate of duty.
5) Exports of cotton yarn by Export Oriented Unit (Unit (EOU)/Export Promotion Zone (EPZ)/EPCG units has been liberalised.
6) Zero Duty import of certain categories of trimmings & embellishments has been allowed.