The Synthetic and Rayon Textiles Export Promotion Council (SRTEPC) welcomed both Shri Piyush Goyal Hon’ble Union of Minister Textiles, Commerce and Industry, Consumer Affairs, Food and Public Distribution and Smt. Darshana Vikram Jardosh, Hon’ble Minister of State for Textiles and Railways in Mumbai today. This is the first official meeting of the SRTEPC with the Ministers after their recent allocation of new portfolios.
The SRTEPC team comprising Shri Dhiraj Raichand Shah, Chairman SRTEPC, Shri Bhadresh M. Dodhia, Vice-Chairman and Shri S. Balaraju, Executive Director updated the Ministers about the Manmade fibre and MMF blended textiles sector in the country. Shri Bhadresh M. Dodhia, Vice-Chairman made a presentation during the meeting giving a brief stock of the current situation of the sector and required policy support and guidance from the government for overcoming the emerging challenges in exports.
Shri Bhadresh M. Dodhia, Vice-Chairman informed that the global fibre production and consumption trends are dominated by the Manmade fibres. The global fibre production ratio between MMF and natural is 70: 30 whereas in India it is opposite. There is tremendous opportunity in the MMF segment and India should tap this in right time, Shri Bhadresh M. Dodhia stated. He also mentioned that sustainable textiles are the future for the textile sector and Government needs to encourage this segment as well. Hon’ble Minister has appreciated the innovative products developed from PET bottles and directed to forward a detailed technical note on the scope and prospects of the sustainable textiles and the support required from the Government.
While giving the presentation it was also mentioned that exports had declined after reaching an all-time high in 2014-15 post withdrawal of the chapter – 3 benefits viz., FMS, FPS, MLFPS, etc. At this, the hon’ble Minister suggested the Council to give a detailed comparison of the export scenario during the time of the mentioned Schemes and thereafter i.e., introduction of MEIS.
Shri Dhiraj Raichand Shah, Chairman SRTEPC informed the Ministers that the processing units in the country have to be improved in order to cater to the international quality standards required for exports. As the processing segment is highly capital intensive and gestation period in revenue neutralisation is too long, he has urged that the Government should formulate a separate Scheme and provide policy support for facilitating international standard processing units in the country. During the discussion, the Hon’ble Minister has requested the Council to send a detailed note on the possibilities of setting up of processing units with state -of-art technology and the expected interventions required for the same from the government.
Other issues that the SRTEPC Vice-Chairman focused during the presentation were on release of all the pending dues of the exporters under Drawback, MEIS, IGST, ROSL, RoSCTL, TUFS on an urgent basis, fibre neutrality and a uniform 5% GST rate for entire value chain in the MMF textiles segment, Special Export incentive of 3% on fibre & yarn, 4% on fabric, 5% on made-ups for at least 6 months or till the impact of coronavirus subsides and global markets stabilise, announcement of RoDTEP Rates and benefits of the RoDTEP Scheme to the entire MMF textile value chain viz., fibres, yarns, fabrics, made-ups, with a minimum rate of 7%, extension of the EPCG Scheme for the next 5 years, inclusion of entire MMF textile value chain in the PLI Scheme, Special Scheme to attract investment in entire MMF textile value chain, continuation of the ATUFS beyond 31st March 2022 in line with the AatmaNirbhar Bharat Abhiyaan, devise a mechanism to make available real-time textile data on production, consumption, exports, etc.