The government has set the country’s textile and clothing export target at $45 billion for the fiscal year 2017-18, lower than the initial target of $48.5 billion set for the previous fiscal which was missed by a huge margin. During 2015-16, the overall exports of textiles and clothing stood at $40 billion, primarily due to less demand from major markets such as the US, EU and China, and stiff competition from countries like Vietnam and Bangladesh, which enjoy an edge over India.
The Union Textiles Minister, Smriti Irani has said that her ministry is planning to unveil a special package for the knitwear industry, which is grappling with enormous financial stress due to lack of automation leading to much lower productivity than countries like China. She also said that road shows have been held in six countries including the UK, US, China, Russia, South Korea and UAE to attract the industry and potential investors for the textiles India event.
The minister pointed that funds to the tune of over Rs 1,900 crore have been given to the apparel industry under the rebate of state levies to boost exports from the sector. She also said that over 4 lakh workers have registered themselves for provident fund, under the Pradhan Mantri Paridhan Rozgar Protsahan Yojana (PMPRPY).
The government in June last year had approved the special package of Rs 6,006 crore for textiles and apparel sector, aiming to create one crore new jobs in 3 years, attracting investments of $11 billion and generating $30 billion in exports.
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