Post demonetisation, GST, and change in duty drawback rates, things in apparel industry have become really tough and challenging. According to you what is the impact of all these steps taken on the current situation of industry and what do you think is th
Things are very tough at the moment and we are just watching. We are not increasing the staff, or adding up capacities as the recent strategies and decisions taken up by the Government has created a deep void in the business. We are not getting returns on time, the cost of production has already gone up and moreover, new orders are not coming in. My major buyer was the US but now we are only left with 25% of the business. The buyers are not ready to understand and accept high prices as they already have other options to move sourcing. If the Government does not listen to us we should also come united and protests feels that the exports are against growing the but move they as will it was also done gauge by the Surat situation traders. when The they Government will see analysis still
of October and so on. rajiv Kapoor, affordable exports, Delhi
Iand t is a service serious tax situation, refund of as 0.7 we %, are on losing an average 8% on FOB, proit ROSL is 5% of 2.25%, total
turnover in which 8% is gone, 3% percent is loss. Above all our currency is becoming stronger and buyers are not ready to accept higher prices as they already have many options to source. So from all directions everything is moving on a wrong track. The government at the moment is not listening and understanding at the macro level what all these policies will bring in the long run. I do not think protest can help as our industry does not have a common place where all of us can meet and take course of action, if something can be done it has be in right manner. to focus on saving cost, increasing The situation eficiency, is very and unpredictable also sustaining and at buyers the moment who have we been are just working trying
with us as retaining them even if it is on cost of money has to be done because once they go they will never come back. I feel that what the Government was planning was with good intention, but the way things were done in rush and without proper planning has resulted in this situation. anil peshawari, Meenu Creations, Noida
It is a very tough time and the effect is not at all small. We do not know how to tackle the situation. At the moment all new projects have will improve. been stopped We deinitely midway have and we expectations do not know from by when the Government the situation regarding duty drawback rates and we can expect some news in November largest on the same. employer They after have agriculture. to take some We action are trying soon to as explain the industry the problem is second to
Government and show them the effects in long run. It is really impossible to work on 8% loss and as a result we are not able to accept new orders also.
Narendra Goenka, MD, texport industries pvt Limited.
Impact on industry is very bad, this has come as a bolt from the blue. We had already negotiated orders and now we have been hit hard for those. Further, with the reduction in the drawback rates, the industry becomes less competitive as compared to other countries.
Naseer humayun, MD, indian Designs, Bangalore