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

Perfect Sourcing - - Opinion Live -

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

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