In the first week of March the Council organised 2 mega events in Korea and in China. The preparations for the Mega Textile Show being organised
In the first week of March the Council organised 2 mega events in Korea and in China. The preparations for the Mega Textile Show being organised in Gandhi Nagar, Gujarat also got into full swing and the rates of reimbursement under the eagerly awaited ROSL Scheme were also announced.
Preview in Daegu, Korea
South Korea is one of the fastest growing and prosperous economy in the world. The country offers huge potential to develop exports of Indian textiles & clothing into Korea. Under the Indo-Korea FTA, there is zero duty on import of fabrics, made ups, home textiles and garments into South Korea from India, thereby offering greater market access for Indian textiles into the South Korean market. The country’s population has a good purchasing power parity and apparel consumption thereby providing good scope for the export of Indian fabrics including Denim fabrics, yarns and raw cotton along with value-added madeups. Overall exports of textiles & clothing from India to South Korea in 2015-16 was recorded to the tune of US$ 354 million.
In view of the vast potential for textiles & clothing trade, the Council participated in the ‘Preview in Daegu 2017’ fair held in South Korea during March 8-10, 2017. ‘Preview in Daegu’ is a well-established fair held every year for textiles including Yarn, Fabrics, Home textiles and Garments. This year, TEXPROCIL organised a group participation of 30 Indian companies showcasing their selective range of products to buyers from 25 countries including China, Japan, Europe, Asia, North and South America, The Middle East and Africa visited the exhibition.
Participation in Inter Textile, Shanghai
China is an important market, with a total import of around US$28 billion worth of textiles in the year 2016, of which import from India was around US$1.62 billion. Realising this potential, the Council had organised a group participation of its members at "Inter - Textile & Yarn - Expo Fair" held from 15 - 17 March, 2017 in Shanghai. More than 30 Indian Companies participated at this event. Mr. Siddhartha Rajagopal, Executive Director, TEXPROCIL, made a presentation on the topic – ‘India: A Global Textile Manufacturing Hub’ at the Textile Dialogue venue, in the seminar area inside the Hall which was well attended by the international businessmen visiting the fair.
Textile India Show in Gandhi Nagar, Gujarat
With the objective of promoting the textile and clothing sector, the Ministry of Textiles with the support of Ministry of Commerce, Govt. of India and in association with all textile export promotion councils is organising a mega international event “ Textiles India - 2017” from 30th June to 2nd July 2017 at Helipad Exhibition Centre, Gandhinagar, Ahmedabad, Gujarat.
The show will establish India as a global sourcing and investment destination and will position itself as an annual textile trade event in the country on the annual calendar of global trade events. With its extensive exhibition area of about 125,000 square metres, "Textiles India - 2017" is a specialized B2B and B2G fair in the Indian textile sector offering a one-stop sourcing destination for worldwide importers to source Indian Textiles.
The event has assumed greater significance in view of inauguration at the hands of Hon’ble Prime Minister, valedictory address by the Union Finance Minister and five Union Ministers will chair conferences on various themes. This apart Chief Ministers of five states viz. Gujarat, Assam, Andhra Pradesh, Karnataka and Jharkhand will be a part of State Sessions and Conferences during the Show. The Government will invite about 2500 global buyers with financial assistance offered to them. Premier Textile Associations all over the world are invited, and many of them will visit the Show with delegations.
The Council in this regard has already issued circular to all its members and the responses have been encouraging. I appeal each one of you, being the leading exporter of textile products, to participate and avail of this wonderful opportunity offered by "Textiles India - 2017", in increasing reach to worldwide customers through buyers invitation program and enhancing exports through various promotions undertaken exclusively for this textile mega fair.
Issuance of Notification on ROSL
The Refund of State Levies (ROSL) scheme aims to boost India's exports thereby facilitating augmenting of investment and creation of more employment in the textile sector. The main objective of the scheme is to provide for remission of state levies in line with the recognized economic principle of "zero rating" of export products and in recognition of the fact that at present only central levies are rebated by way of the drawback scheme.
The Ministry of Textiles has issued Notification No. 12015/47/2016-IT dated March 15, 2017, notifying the rates of rebate under Rebate of State Levies [ROSL] for made ups articles. The rates are effective from March 23, 2017. Further, CBEC has issued Circular No. 8/2017-Customs dated March 20, 2017 to implement the above Notification. You are requested to please take a note of the above and do the needful.
It may also be noted that refunds will be smooth if all of us exporters take good care to make error - free applications to the authorities for release of legitimate dues. This fact has been brought to the notice of the Council by the Central Board of Excise & Customs (CBEC) and the Council has also issued a circular in this regard.
Export Performance (April 2016 - February 2017)
As we write this column, the export data for the period April 2016 - February 2017 has also been released. Exports of cotton textile products like yarn, fabrics and made- ups have shown an increase of 9.3 % during February 2017 over the same period in the previous year. At an aggregate 11 month level of April 2016 - February 2017 exports of our products have shown a decline of around 3%.
Exports were expected to pick - up during the month of March 2017 but the sudden and sharp appreciation of the Rupee coupled with increasing prices of Cotton have somewhat dampened the anticipation of good performance.
Let us wait and see how the final month of the fiscal year 2016 -2017 turns out in terms of trading of textile.
Ujwal R Lahoti