AEPC offers to act as facilitator for UNIQLO in India for sourcing
Updated: Jun 26, 2014 12:24:14pm
New Delhi, Jun 26 (KNN) The Apparel Export Promotion Council of India has offered its services to Japanese top garment manufacturer UNIQLO in helping it identify sourcing centres from India and facilitating its manufacturing base in the country.
In the presentation to UNIQLO President, Tadashi Yanai and Textiles Minister, Chairman AEPC, Virender Uppal pointed out what AEPC can do for the Japanese garment manufacturer.
“AEPC can arrange stand-alone Buyer Seller Meet in India exclusively for UNIQLO; UNIQLO sourcing team could also visit IFF Tokyo Japan (23-25 July 2014) to get a glimpse of Indian apparel range and capabilities /meet Indian garment exhibition; Fashion designers/production experts of UNIQLO could visit India for technical meeting with garment factories; and AEPC could act as a facilitator to the UNIQLO in setting up a production and sourcing base in India for apparels,” Uppal said.
AEPC Chairman also talked about the policy benefit to investors in India. “Indian Government gives national treatment to all business entities present in India irrespective of their nationality and in India exporting firms have policy benefits which could also be leveraged by UNIQLO such as - Investment in Scheme of Integrated Textile Parks (SITP) are encouraged at concessional rate; Duty credit schemes under Foreign Trade Policy (FTP) to encourage the exports in non-traditional market and products of labour intensive importance like Market Linked Focus Product Scheme (MLFPS).
Investors could also benefit from duty drawback, advance license; training to unskilled workforce under Integrated Skill Development Scheme (ISDS) scheme of Ministry of Textiles; and Technological Upgradation Fund Scheme (TUFS) for SMEs to modernize the industries, he said.
Uppal outlined the opportunities in India’s apparel sector for Japan. India having signed CEPA with Japan under which textile raw material, garments can be imported duty free; and overseas investment through automatic route are allowed (100 per cent FDI in textile and clothing manufacturing sector) and (51 per cent FDI in multi-brand retail).
While the world trade in MMF (manmade fibre) garment is around 60 per cent, India predominantly exports only cotton garments. There is enormous potential for MMF garment exports with Japan and India collaboration. The gap may be fulfilled by UNIQLO by bringing new technology, knowhow and material from Japan, the AEPC chairman said.
Significantly, India’s apparel exports have presence in more than 200 countries across globe. Further, India has signed almost 17 Free trade/ Preferential Agreements with various countries/regions which provide for duty free market access to apparel exports from India. AEPC with 7000 exporter members caters to Indian apparel export industry with turnover of USD 15 bn. in 2013-14, and growing at the rate of 15.5 per cent per annum. It regularly undertakes export promotion programmes like participation in Fairs/Exhibitions, Buyer-Seller-Meets, Market Surveys, Trade Promotion Missions etc.
The Council also acts as a vital link between the exporters and the Government of India towards policy formulation for growth of Indian apparel industry. Besides, it is also implementing GOI’s Plan Scheme for building capacity of garment factories towards meeting the environment and social concerns.
Currently, India’s textile and clothing value chain is worth USD 90 bn. i.e. around 5 per cent of India’s GDP. Clothing sector is around of USD 65 bn. (Domestic – USD 50 Billion; exports USD 15 bn).
As far as the readymade garments (RMG) are concerned, the sector contributes 4.8 per cent share in the India's overall commodity exports. Also, it ranked 7 in foreign exchange earning in FY 2013-14 amongst principal commodity exports from India; the sector predominantly for SMEs. Further, it is the largest employment provider in manufacturing sector. The apparel sector provides 11.22 million jobs, (24.83 per cent) of total employment in textile sector. (KNN/ES)
In the presentation to UNIQLO President, Tadashi Yanai and Textiles Minister, Chairman AEPC, Virender Uppal pointed out what AEPC can do for the Japanese garment manufacturer.
“AEPC can arrange stand-alone Buyer Seller Meet in India exclusively for UNIQLO; UNIQLO sourcing team could also visit IFF Tokyo Japan (23-25 July 2014) to get a glimpse of Indian apparel range and capabilities /meet Indian garment exhibition; Fashion designers/production experts of UNIQLO could visit India for technical meeting with garment factories; and AEPC could act as a facilitator to the UNIQLO in setting up a production and sourcing base in India for apparels,” Uppal said.
AEPC Chairman also talked about the policy benefit to investors in India. “Indian Government gives national treatment to all business entities present in India irrespective of their nationality and in India exporting firms have policy benefits which could also be leveraged by UNIQLO such as - Investment in Scheme of Integrated Textile Parks (SITP) are encouraged at concessional rate; Duty credit schemes under Foreign Trade Policy (FTP) to encourage the exports in non-traditional market and products of labour intensive importance like Market Linked Focus Product Scheme (MLFPS).
Investors could also benefit from duty drawback, advance license; training to unskilled workforce under Integrated Skill Development Scheme (ISDS) scheme of Ministry of Textiles; and Technological Upgradation Fund Scheme (TUFS) for SMEs to modernize the industries, he said.
Uppal outlined the opportunities in India’s apparel sector for Japan. India having signed CEPA with Japan under which textile raw material, garments can be imported duty free; and overseas investment through automatic route are allowed (100 per cent FDI in textile and clothing manufacturing sector) and (51 per cent FDI in multi-brand retail).
While the world trade in MMF (manmade fibre) garment is around 60 per cent, India predominantly exports only cotton garments. There is enormous potential for MMF garment exports with Japan and India collaboration. The gap may be fulfilled by UNIQLO by bringing new technology, knowhow and material from Japan, the AEPC chairman said.
Significantly, India’s apparel exports have presence in more than 200 countries across globe. Further, India has signed almost 17 Free trade/ Preferential Agreements with various countries/regions which provide for duty free market access to apparel exports from India. AEPC with 7000 exporter members caters to Indian apparel export industry with turnover of USD 15 bn. in 2013-14, and growing at the rate of 15.5 per cent per annum. It regularly undertakes export promotion programmes like participation in Fairs/Exhibitions, Buyer-Seller-Meets, Market Surveys, Trade Promotion Missions etc.
The Council also acts as a vital link between the exporters and the Government of India towards policy formulation for growth of Indian apparel industry. Besides, it is also implementing GOI’s Plan Scheme for building capacity of garment factories towards meeting the environment and social concerns.
Currently, India’s textile and clothing value chain is worth USD 90 bn. i.e. around 5 per cent of India’s GDP. Clothing sector is around of USD 65 bn. (Domestic – USD 50 Billion; exports USD 15 bn).
As far as the readymade garments (RMG) are concerned, the sector contributes 4.8 per cent share in the India's overall commodity exports. Also, it ranked 7 in foreign exchange earning in FY 2013-14 amongst principal commodity exports from India; the sector predominantly for SMEs. Further, it is the largest employment provider in manufacturing sector. The apparel sector provides 11.22 million jobs, (24.83 per cent) of total employment in textile sector. (KNN/ES)
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