Lok Sabha Question No. 3666 (UNSTARRED), answered on 2015-12-21
Subject: Exports from Labour-Intensive Sectors
Ministry: COMMERCE AND INDUSTRY
Asked by: ANANDRAO  ADSUL, PRATHAP SIMHA, ASADUDDIN OWAISI, DHARMENDRA YADAV

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY (DEPARTMENT OF COMMERCE)

## LOK SABHA UNSTARRED QUESTION NO. 3666 TO BE ANSWERED ON 21 ST     DECEMBER, 2015

## EXPORTS FROM LABOUR-INTENSIVE SECTORS

## 3666. SHRI ANANDRAO ADSUL:

SHRI PRATHAP SIMHA:

SHRI ASADUDDIN OWAISI:

SHRI DHARMENDRA YADAV:

Will the Minister of COMMERCE & INDUSTRY ( वाणिज्य एवं उद्योग मंत्री ) be pleased to state:

- a) the total quantity and value of merchandise exports from labour-intensive sectors of the country during the last three years and the current year, year and sector wise;
- b) whether the Government has conducted any study to analyse and identify the sectors which are lagging behind in international trade and if so, the details and the results thereof;
- c) whether the Government has reviewed the impact of previous stimulus package for the  sectors  which  are  lagging  behind  in  exports  particularly  the  labour-intensive sectors; and
- d) if  so,  the  details  and  the  outcome  thereof  along  with  the  measures  taken  by  the Government to promote the exports from the labour-intensive sectors?

## ANSWER

## वाणिज्् य एवं उद्योग राज्् य मंत्री ( ीीमीी ालमर्िा णीीारमि ) ( स्वींत्र प्रभार )

## THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (INDEPENDENT CHARGE)

(SMT. NIRMALA SITHARAMAN)

- (a) The  quantity  and  value  of  merchandise  exports  from  key  labour-intensive sectors of the country during the last three years and the current year, year and sector-wise is given below:

(Value figures in US$ Million)

|                              | QTY   | 2012-13    | 2012-13   | 2013-14   | 2013-14   | 2014-15   | 2014-15   | 2015-16 (APR TO SEP)   | 2015-16 (APR TO SEP)   |
|------------------------------|-------|------------|-----------|-----------|-----------|-----------|-----------|------------------------|------------------------|
| COMMODITY GROUP              | Unit  | QTY        | VAL       | QTY       | VAL       | QTY       | VAL       | QTY                    | VAL                    |
| CARPET(EXCL. SILK) HANDMADE  |       |            | 1089.55   |           | 1175.80   |           | 1358.20   |                        | 718.90                 |
| COTTON FABRICS, MADEUPS ETC. |       |            | 4710.50   |           | 5118.60   |           | 5516.40   |                        | 2668.30                |
| COTTON RAW INCLUDING WASTE   | TON   | 2056696754 | 3747.70   | 1947686   | 3637.70   | 1142528   | 1900.20   | 317830                 | 474.60                 |

| COTTON YARN                                      | TON   | 1047116   |   3532.30 | 1310879   |   4550.40 | 1253342   |   3937.40 | 656839   |   1878.10 |
|--------------------------------------------------|-------|-----------|-----------|-----------|-----------|-----------|-----------|----------|-----------|
| HANDICRAFTS(EXCL..HANDMADE CARPETS)              |       |           |    989.7  |           |   1499.3  |           |   1378    |          |    839.2  |
| HANDLOOM PRODUCTS                                |       |           |    515.3  |           |    373    |           |    369.55 |          |    196.5  |
| HAND TOOL, CUTTING TOOL OF METALS                |       |           |    695.4  |           |    711.1  |           |    755.7  |          |    325.5  |
| JUTE HESSIAN                                     |       |           |    161    |           |    141.7  |           |    126    |          |     57.8  |
| JUTE YARN                                        | TON   | 43759     |     40.5  | 24963     |     23.45 | 23567     |     22.6  | 12965    |     13.6  |
| JUTE, RAW                                        | TON   | 33801     |     17.5  | 44016     |     18.8  | 37390     |     19.4  | 10934    |      5.5  |
| MANMADE YARN,FABRICS,MADEUPS                     |       |           |   4536    |           |   5183.65 |           |   5275    |          |   2457.4  |
| OTHER JUTE MANUFACTURES                          |       |           |    135.4  |           |    152.8  |           |    112.5  |          |    107.7  |
| PROCESSED FRUITS AND JUICES                      |       |           |    473.4  |           |    547.1  |           |    592.25 |          |    273.3  |
| PROCESSED VEGETABLES                             |       |           |    202.65 |           |    213    |           |    281.75 |          |    126.8  |
| READY MADE GARMENTS COTTON INCLUDING ACCESSORIES |       |           |   8443.6  |           |   9106.7  |           |   9282.8  |          |   4454.85 |
| READY MADE GARMENTS MANMADE FIBRES               |       |           |   2521.2  |           |   3148.95 |           |   3997.1  |          |   2156.4  |
| READY MADE GARMENTS OF OTHR TEXTLE MATRL         |       |           |   1453.85 |           |   2190.8  |           |   2941.65 |          |   1633.5  |
| READY MADE GARMENTS SILK                         |       |           |    236.7  |           |    236.55 |           |    304    |          |    148.85 |
| READY MADE GARMENTS WOOL                         |       |           |    293.4  |           |    307.5  |           |    307.7  |          |    158.5  |
| SPORTS GOODS                                     |       |           |    206.6  |           |    236.45 |           |    274.5  |          |    127.1  |
| FINISHED LEATHER                                 | KGS   | 52941695  |   1093.9  | 67163410  |   1285.1  | 64503936  |   1331.2  | 27490798 |    572.35 |
| FOOTWEAR OF LEATHER                              |       |           |   1690.6  |           |   2025.7  |           |   2279    |          |   1109.9  |

SOURCE: DGCIS

Note: Quantity  figures cannot  be given for all commodity groups because of absence of a common unit of measurement amongst all export items in a particular commodity group/sector.

( b) to (d)  The Government monitors the export performance of different sectors and takes need based measures from time to time, keeping in view the global economic environment.  Department  of  Commerce/Directorate  General  of  Foreign  Trade engages  with  stake  holders  including  Export  Promotion  Councils  to  assess  the export sector situation.

Based  on  the  assessments  and  feedback  received  from  exporting  community, Government  has  taken  suitable  measures  to  promote  exports  including  by  the labour intensive sectors, which include:

- (i) The Foreign Trade Policy (FTP) 2015-20 introduced on 1st April, 2015, has implemented two new schemes, namely, 'Merchandise Exports from India  Scheme'(MEIS)  for  incentivising  export  of  specified  goods  to specified  markets  and  'Service  Exports  from  India  Scheme'  (SEIS)  for increasing exports of notified services from India.   Recently in October, 2015, the government has reviewed and expanded country coverage and enhanced  incentives  for  some  lines  under  Merchandise  Exports  from India Scheme  (MEIS)  and  included  certain  additional  products for coverage.
- (ii) The Foreign Trade Policy 2015-20 has also introduced several measures for facilitating trade and improving `Ease of doing business' by reducing the  number  of  mandatory  documents  required  for  export  and  import  to three each. In order to facilitate faster processing and enable working in 24*7 mode, DGFT has facilitated submission of various applications and documents in online mode, as well as online payment of application fees through  credit/debit  cards  and  electronic  fund  transfer  from  53  banks. CBEC has also facilitated integration of Plant Quarantine and FSSAI with EDI system of Customs for purposes of export and import. SEZ Online system  has  also  been  integrated  with  Custom's  EDI  system.  These measures will facilitate trade by reducing transaction cost and time.
- (iii) The  State  Governments  have  been  requested  to  develop  their  export strategy, appoint export commissioners, address infrastructure constraints restricting  movement of goods, facilitate refund of VAT/Octroi/State level

cess,  address  other  issues  relating  to  various  clearances  etc.  and  build capacity of new exporters, in order to promote exports.

- (iv) Recently,  the  Government  has  also  introduced    Interest  Equalisation scheme on Pre and Post Shipment Rupee Export Credit w.e.f. 01.04.2015 for select product lines under 416 ITC (HS) Codes at 4 digit level  and  exports  made  by  all  Micro,  Small  and  Medium  Enterprises across all ITC(HS) codes. Operational guidelines have been notified vide RBI Circular No. 62 dated 04.12.2015 and are available at RBI website www.rbi.org.in  .    This  scheme  will  facilitate  access  to  export  credit  at competitive rates.

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