MINISTER OF TEXTILES ( SHRI SHANKERSINH VAGHELA )
(a) India`s readymade garments are exported to more than hundred countries of the world. However, the USA, EU Member States, U.A.E., Japan, Saudi Arabia, Canada, Hong Kong, Malaysia, Australia, etc. have been the major importing countries of our readymade garments during the last three years.
(b) As per available Directorate General of Commerce Intelligence & Statistics (DGCI&S) data, the readymade garments exports during the last three years i.e. 2001-02, 2002-03 and 2003-04 have been, as given below:-
Year Value (in US$ Million)
April 2001-March 2002 4618.7
April 2002-March 2003 5334.3
April 2003-March 2004 5625.8
(c) The export target fixed for readymade garments during the last three years i.e. 2001-02, 2002-03, 2003-04 and current year i.e. 2004-05 have been, as given below:-
Year Target (in US$ Million)
April 2001-March 2002 6300
April 2002-March 2003 6000
April 2003-March 2004 6250
April 2004-March 2005 6000
(d) To strengthen domestic textile industry for meeting the growing global competition and achieving export target, the following important announcements has been made in the Union Budget 2004-05:
- Except for mandatory excise duty on polyester filament yarn including texturised yarn, synthetic and artificial fibres and synthetic and artificial filament yarns, the whole value addition chain has been given excise exemption option.
- Additional Excise Duty on Textiles & Textile Articles (AT&T) and Additional Excise Duty (Goods of Special Importance) Act have been abolished.
- Basic customs duty on various textile machinery and spare parts has been reduced to 5%.
Beside, Government has been taking a number of steps from time to time to enable the textile industry to achieve export targets. Some of the important initiatives taken are:
i) The Technology Upgradation Fund Scheme (TUFS) has been made operational from 1-4-1999 to facilitate the modernisation and upgradation of the sector.
ii) 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. This further encourages modernisation.
iii) The Government has launched a centrally sponsored scheme titled `Apparel Park for Export Scheme` for imparting focused thrust for setting up of apparel manufacturing units of international standards at potential growth centres and to give fillip to exports.
iv) For upgrading infrastructure facilities at important textile centers, a scheme `Textile Centre Infrastructure Development Scheme` (TCIDS) has been launched.
