Perfect Sourcing - - Market Pulse -

The light at the end of the tun­nel is the spe­cial pack­age, which the cur­rent gov­ern­ment has not only re­peated but also raised it for giv­ing a fil­lip to the ap­parel ex­port.

While ex­ter­nally, Free Trade Agree­ment (FTA) with Euro­pean Union (EU) needs to be fi­nalised, the In­dian gov­ern­ment also needs to look into fast track ap­proval pro­cesses, re­fine­ment of labour laws, and exit poli­cies. The gov­ern­ment also needs to iden­tify and re­move the bot­tle­necks to push faster trade for boost­ing In­dian ap­parel ex­ports.

Ex­perts also sug­gest that up­grad­ing the prod­uct by man­u­fac­tur­ing higher value prod­ucts in terms of de­sign, fab­rics, raw ma­te­rial; and by go­ing over and above the ex­pec­ta­tion of buy­ers, are the only ways to move for­ward. They also pin point earnest im­prove­ment in value chain, com­fort, and re­lated ar­eas.

The pos­i­tive re­sponse of for­eign buy­ers to var­i­ous In­dian gar­ment fairs has pro­vided enough proof of the global in­ter­est in In­dian gar­ments. In­dia can re­tain its com­pet­i­tive­ness in the global mar­ket by in­clud­ing cot­ton yarn un­der the Mer­chan­dise Ex­port from In­dia Scheme (MEIS) and by pro­vid­ing ROSL (Re­bate of State Levies) for fab­rics, which the gov­ern­ment has paid at­ten­tion to in the bud­get for the cur­rent fis­cal.

The good news for the in­dus­try is that the gov­ern­ment has also pro­vided higher cap­i­tal sub­sidy un­der Tech­nol­ogy Upgra­da­tion Fund Scheme (TUFS) to weav­ing and gar­ment­ing units against the sub­si­dies to spin­ning units for en­cour­ag­ing the ex­port of value-added prod­ucts.

Also, dur­ing 2012 and 17, In­dia trained 1.5 mil­lion peo­ple in the tex­tile sec­tor. The Min­istry of Tex­tiles, un­der its In­te­grated Skill De­vel­op­ment

Scheme (ISDS) de­vel­oped a pool of skilled labour for the tex­tile in­dus­try, which is a lim­i­ta­tion in Bangladesh and Viet­nam. Ex­port-ori­ented ap­parel in­dus­try pro­vides sig­nif­i­cant op­por­tu­nity for em­ploy­ment cre­ation due to rel­a­tively low skill re­quire­ment. A push to tex­tile in­dus­try ex­port will boost em­ploy­ment gen­er­a­tion as well.

The Tex­tile Min­istry with Fi­nance and Com­merce Min­istries are look­ing at the con­cerns of the in­dus­try and ex­porters via com­mit­tees for suit­able course cor­rec­tion, the state­ment by HKL Magu, the Chair­man of Ap­parel Ex­port Pro­mo­tion Coun­cil (AEPC), says.

The in­dus­try in­sid­ers be­lieve that di­rect mar­ket­ing, brand build­ing, and im­me­di­ate cus­tomer ser­vice need to be bol­stered. Small do­mes­tic firms have shown ad­e­quate strength in up­grad­ing their prod­ucts but they are no match to big­ger firms in terms of process and func­tional up­dates.

How­ever the emer­gence of dis­pos­able in­come, set­ting up big­ger firms, in­te­gra­tion with global value chains, gov­ern­ment in­cen­tives in in­fra­struc­ture com­bined with value for money, up­grad­ing the prod­ucts and pro­cesses will en­sure the fu­ture of gar­ment in­dus­try in In­dia.

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.