Question : Increase in Labour Cost

(a) whether export in textile sector has decreased from $ 48 billion last year to $ 45 billion this year and if so, the reasons thereof;

(b) the extent to which the increase in labour cost and competition from neighbouring countries like China, Bangladesh and Sri Lanka has affected India’s export in textile sector;

(c) whether the Government proposes to give a big package to bail out knitwear and handloom sector to increase export; and

(d) if so the details thereof and other measures taken or being taken in this regard?

MINISTER OF TEXTILES
(SMT. SMRITI ZUBIN IRANI)

(a): India’s exports of textile & apparel sector (including handicrafts) have increased from US$ 39.3 bn in 2017-18 to US$ 40.4 bn in 2018-19.

(b): India faces competition from countries like Vietnam, Bangladesh and Sri Lanka which enjoy duty free access to key markets. Apparel exports from competing countries enjoy zero/preferential access to EU whereas India faces a duty disadvantage. Besides Bangladesh and Vietnam have a large and productive labour force.


(c) & (d): There is no such proposal at present.


*******