Apparel Exports Drop In December By 8%
Apparel exports dropped by 0.3% between April and Dec. 2017 and 8% in December alone
Imports of yarn, fabrics and made-up articles during December last year rose 20% compared with December 2016, according to data released by the Ministry of Commerce and Industry. Whereas competitor like Bangladesh showed that India imported garments worth $111.3 million during July-december 2017 from Bangladesh, which was 66 % higher as against the same period of the previous year. Imports of knitted apparel from Bangladesh were worth $20.6 million in July-december 2016 and rose to $36.5 million between July-december last year.
A leading garment exporter here said one of the reasons for the decline in exports is revision of duty drawback rates. “Once an international buyer enters into a contract with an Indian supplier, the rates are fixed and might only go down in the future. “But, cotton prices and yarn prices are going up in the domestic market. And, the government has reduced the duty drawback rates. After GST, we do not know yet what refund we will get on duties paid on exports.