In most of the competing nations, MMF and its blended textile product exports account 60 to 80% while in India, the same is below 25% mainly due to the expensive raw material.
COIMBATORE: The Southern India Mills Association (Sima) and Apparel Export Promotion Council (AEPC) have thanked the Centre for extending the rebate of state and central taxes and levies (RoSCTL) on export of apparel and garments for another three years.
The struggling textile industry, which had seen exports stagnate for the past four years, has now begun seeing good marketing opportunities for post-Covid and this move would make pricing of Indian apparels competitive in the global market, the associations said.
The Union cabinet, chaired by Prime Minister Narendra Modi, recently approved RoSCTL with the same rates on exports of apparel and garments till March 31, 2024. The move critically reduces price of Indian products in the global market, because manufacturers don’t have to add the cost of state and central taxes on it.