Exports of textiles and clothing from India amounted to US dollar 22.13 billion during 2007-08, as against the target of US dollar 25.06 billion, denoting a shortfall of 8.55% from the target. The shortfall in achieving the target, apart from the rupee appreciation factor, are attributable to general decrease in the volume of imports of textiles & clothing by the major buyer countries and erosion of competitive edge of the exporters in the global markets due to high domestic transition costs and incidences of multiple duties and taxes.
The share of textiles & clothing in the total exports of the country was 13.58% in 2007-08 as against 15.16% in 2006-07 although exports of textiles & clothing alone in 2007-08 at US dollar 22.13 billion had registered an increase of 15.59% over the exports turn over of US dollar 19.14 billion in 2006-07.
A number of measures were introduced by the government to enhance the textiles exports. These measures included enhanced Duty Entitlement Pass Book & Duty Drawback rates, reduced ECGC premium, subvention on credit rates, refund of service tax paid by exporters on various services etc.
This information was given by the Minister of State for Textiles, Shri E.V.K.S. Elangovan in a written reply in the Rajya Sabha on December 10, 2008.
Source : fiber2fashion.com