Lok Sabha Question No. 4629 (UNSTARRED), answered on 2017-03-30
Subject: Export of Readymade Garments
Ministry: TEXTILES
Asked by: MANSUKHBHAI DHANJIBHAI VASAVA, CHANDRAKANT BHAURAO KHAIRE

## EXPORT OF READYMADE GARMENTS

## 4629. SHRI MANSUKHBHAI DHANJIBHAI VASAVA: SHRI CHANDRAKANT KHAIRE:

Will the Minister of TEXTILES वस्त्र मंरी be pleased to state:

- (a) whether  the  export  of  readymade  garments  is  declining  even  after  the Government announced two percent additional financial assistance to encourage export of garments and promoting  the same separately;
- (b) if so, the reasons therefor and the reaction of the Government thereto;
- (c) whether increasing  inflation is adversely affecting export of garments and if so, the details thereof; and
- (d) the  efforts  being  made  by  the  government  for  promoting  export  of garments?

## उत्तर

## ANSWER वस्त्र      मंरी (श्री अज      )

MINISTER OF STATE FOR TEXTILES (SHRI AJAY TAMTA)

- (a): No. The exports of readymade garments has witnessed a positive growth of 4.5%  in  INR  terms  and  1.0%  in  USD  terms  from  April-January,  2016-17,  as compared to the same period of previous financial year. The details are:-
- (b): Does not arise.
- (c): No  Madam.    In  fact,  India's  exports  of  readymade  garment during  AprilJanuary, 2016-17 have increased in comparison to the previous the financial year.
- (d): Government has announced a special package of reforms for apparel sector in  June,  2016  targeting  employment  generation  and  exports.  The  details  of  the special package are given below:-
-  Employee Provident Fund Scheme Reforms (12% Employer' share of Provident Fund is paid by Govt.)
-  Introduction of fixed term employment.
-  Additional incentives under ATUFS.
-  Enhanced duty drawback coverage through ROSL.

| India's RMGExport to World    | India's RMGExport to World    | India's RMGExport to World    | India's RMGExport to World    | India's RMGExport to World    | India's RMGExport to World          | India's RMGExport to World          |
|-------------------------------|-------------------------------|-------------------------------|-------------------------------|-------------------------------|-------------------------------------|-------------------------------------|
| Month                         | FY 2015-16                    | FY 2015-16                    | FY 2016-17                    | FY 2016-17                    | Growth of 2016- 17 over 2015-16 (%) | Growth of 2016- 17 over 2015-16 (%) |
| Month                         | In INR Crore                  | In US$ Million                | In INR Crore                  | In US$ Million                | INR                                 | US$                                 |
| April- January                | 87560.23                      | 13476.60                      | 91467.85                      | 13610.60                      | 4.5                                 | 1.0                                 |
| Source: DGCI&S, Kolkata, 2017 | Source: DGCI&S, Kolkata, 2017 | Source: DGCI&S, Kolkata, 2017 | Source: DGCI&S, Kolkata, 2017 | Source: DGCI&S, Kolkata, 2017 | Source: DGCI&S, Kolkata, 2017       | Source: DGCI&S, Kolkata, 2017       |

In addition the special package for apparel, the following initiatives/ schemes of the Government are also contributing to exports promotion:-

-  3% Interest Equalization Scheme for manufacturer exporters of readymade garments.
-  Integrated Skill Development Scheme
-  Amended Technology Up-gradation Fund Scheme (ATUFS)
-  2% MEIS scheme.
-  All India Duty Drawback.

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