AEPC urges garment industry to seize global opportunities by revamping production capacity
Naren Goenka, Chairman of the Apparel Export Promotion Council (AEPC), called on the apparel industry to seize the emerging global opportunity by revamping production capacity, cutting costs, focusing on MMF and adopting sustainable best practices.
He also asked the government to address tension points such as ensuring raw material safety, resolving RoSCTL issues, announcing a new ATUF program, announcing PLI-2, etc. .
Addressing the Council’s 43rd Annual General Meeting (AGM), he said: “We must be ready to seize the opportunity by increasing our production capacity, entering the MMF segment, integrating into the global value and selecting best practices like sustainability as the world embraces the China Plus One strategy.
He added, “We must actively reduce our production costs and strive to meet global standards. To meet growing global demand, our scale must be greater and the skills must be matched. »
Over the past year, he added, India has signed three free trade pacts with Mauritius, the United Arab Emirates and Australia, and similar negotiations with many other countries, including the Kingdom. United and Canada, are gaining momentum – with the possibility of interim agreements covering the clothing sector. .
These FTAs are bound to neutralize the advantage India’s competitors are using in some of the important markets due to GSP and other non-tariff barriers (non-tariff barriers to trade).
Calling on the government to address pressure points for trade, he stressed that “the most important thing is the security of raw materials, due to soaring prices for raw cotton and cotton yarn.”
He further added that another pressing issue is RoSCTL. “We have asked the government to remove the condition in the notification issued by the DoR to hold the assignee responsible for the non-fulfilment/surplus enjoyed by the exporter, which will also reduce its misuse,” he said. .