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Investors are also cheering the government’s efforts to revive growth in the domestic textile industry. To provide a level playing field to exporters and make products globally competitive, the government recently extended the Rebate of State and Central Taxes and Levies (RoSCTL) scheme on exports of garments and made-ups till March 31, 2024. Some companies told analysts recently that they have been operating at a higher capacity. Capacity utilisation is expected to sustain at healthy levels in FY22, and yarn realisation would remain strong on account of the ban on Chinese cotton by the US, said analysts. “Most textile companies received strong orders from regions such as the US and Europe due to pent-up demand for garment apparel and home textile products as retailers are building up the stock with gradual opening economies in most of these regions,” said Kaustubh Pawaskar, analyst, Sharekhan. ....
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