Textile industry welcomes extension of export benefit

The Southern India Mills' Association has said that this has come as a relief to the textile industry, particularly the spinning sector. The benefit given to manmade fibre spun yarn might increase exports.

The spinning sector has excess production capacity and cotton yarns should be added for the benefit.

Positive step

The Cotton Textile Export Promotion Council has said that inclusion of cotton fabric exports - knitted and woven - and made up to leading markets, including African countries is a positive step.

The cotton textile sector is hit by decline in exports. If these measures are followed up with announcement of the interest rate subvention scheme and increase in drawback rates, exports will be able to overcome challenges in exports.

Boost to exports

The Indian Texpreneurs Forum has said that textile industry and exports were under pressure for the last six months and the announcement by the government on export benefits will help the industry boost exports in the target markets.

The spinning industry should move up the value chain and increase production of fabric and garments.