Garment Sector: Government explores Bangladesh-type model to boost Indian garment sector | Delhi News
[ad_1]
NEW DELHI: Government has discussed the possibility of a Bangladesh-type model to help the Indian garment sector ramp-up output and compete globally and create jobs domestically.
While discussions have been preliminary, industry representatives have pointed to the massive potential that exists in the country, both due to availability of cotton, as well as the need to shift a part of the production to man-made fibre (MMF).
While free trade agreements with the UK and the European Union may address one of the major gaps — import duty differential where Bangladesh enjoys an edge due to its status as a least developed country — other measures were also discussed during a meeting in the textiles ministry.
Indian industry representatives, led by the Apparel Export Promotion Council, have pitched for pushing investments as Rs 40 crore investment in plant and machinery is expected to generate annual production of around Rs 150 crore. It has been estimated that 1,000 machines will create around 2,000 jobs.
Industry representatives has suggested duty-free import of machinery for three years and then imposing high tariffs once a domestic eco-system is created.
“The Indian apparel industry needs to derive competitiveness by scaling up the size of its garment manufacturing units, investing in MMF fabric manufacturing, embracing technology in manufacturing, investing in technology upgradation and acquiring necessary certifications for positioning India as the preferred sourcing destination for apparel,” said an industry source.
While discussions have been preliminary, industry representatives have pointed to the massive potential that exists in the country, both due to availability of cotton, as well as the need to shift a part of the production to man-made fibre (MMF).
While free trade agreements with the UK and the European Union may address one of the major gaps — import duty differential where Bangladesh enjoys an edge due to its status as a least developed country — other measures were also discussed during a meeting in the textiles ministry.
Indian industry representatives, led by the Apparel Export Promotion Council, have pitched for pushing investments as Rs 40 crore investment in plant and machinery is expected to generate annual production of around Rs 150 crore. It has been estimated that 1,000 machines will create around 2,000 jobs.
Industry representatives has suggested duty-free import of machinery for three years and then imposing high tariffs once a domestic eco-system is created.
“The Indian apparel industry needs to derive competitiveness by scaling up the size of its garment manufacturing units, investing in MMF fabric manufacturing, embracing technology in manufacturing, investing in technology upgradation and acquiring necessary certifications for positioning India as the preferred sourcing destination for apparel,” said an industry source.
We also published the following articles recently
Imports from Bangladesh aggravate jute sector crisis: Stakeholders
Learn about the challenges faced by Indian jute suppliers due to imports from Bangladesh. The industry is in crisis with low orders for mills and payment delays. Stakeholders are calling for government intervention to address the situation and secure the future of the jute industry and farmers.
Learn about the challenges faced by Indian jute suppliers due to imports from Bangladesh. The industry is in crisis with low orders for mills and payment delays. Stakeholders are calling for government intervention to address the situation and secure the future of the jute industry and farmers.
English 
Hindi