News & Insights | Textile Industry

Exemption from the Advance Authorization Scheme for Imported Viscose Staple Fiber

Published: March 30, 2024
Author: TEXTILE VALUE CHAIN

The Union Government is taking various bold and proactive initiatives for strengthening the global competitiveness of Indian textile industry to boost exports and increase the textile business size from the current level of USD 160 billion to USD 350 billion including USD 100 billion exports. Raw material security in terms of its availability including the quality and quantum is the key to grabbing the lions share in the international market.  Accordingly, to support the industry, not only about raw material procurement but also to enable diversification and expansion of the export market, favourable FTAs are being concluded by the Hon’ble Union Commerce Minister, the recent one being the Agreement with the four-nation European Free Trade Association (EFTA), an intergovernmental grouping of Iceland, Liechtenstein, Norway and Switzerland.   To fruition the attempts of the government to achieve the textile export target, the industry has been demanding the Government to exempt the Viscose Staple Fibre imported under Advance Authorization Scheme from Quality Control Order, which would not only help in garnering new export orders but also further establish the nominated businesses.   Accordingly, the DGFT has issued Notification dated 11.03.2024, exempting BIS compliance for VSF imports under the Advance Authorization Scheme.

In a Press Release issued here today, Chairman of The Southern India Mills’ Association (SIMA), Dr.S.K.Sundararaman welcomed the Government decision in exempting BIS compliance for VSF imports under the Advance Authorization Scheme.  He has appreciated the Hon’ble Minister of Textiles for implementing Quality Control Orders on several products to ensure quality, prevent sub-standard quality / cheaper imports, encourage Atmanirbhar Bharat and boost the brand image of Indian textiles and clothing products in the international arena.  He has stated that the recent Bharat Tex Expo has created a platform to showcase the innovations in the textile manufacturing process and product developments, which in turn has created enormous opportunities for increasing the global trade.

Dr.Sundararaman thanked the HMOT for considering the industry plea and permitting the import of BIS QCO mandated Viscose Staple Fibre under the Advance Authorization Scheme, in addition to  allowing the imports by EOU/SEZ units, so as to enable them to meet the requirements of overseas buyers.  SIMA Chairman further appreciated the Hon’ble Minister for understanding the industry-oriented difficulties of both the producers and the users of Viscose Staple Fibre, thus taking a balanced view and suitably modifying the applicability of BIS provisions for imports under Advance Authorization Scheme, creating win-win strategy for both the VSF producers and the users.

 SIMA Chief has stated that similar Notification for Polyester Fibre and its raw material products, for which QCO has been issued by Ministry of Chemicals and Fertilizer, is essential to enable the growth of the synthetic fibre sector, as the polyester is the future growth engine for the Indian textiles and clothing industry.

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