VOL.03 Issue No.

1, January 2015

APPAREL
INDIA

RNI No. HARENG/2012/45083

Postal Regn. No.GRG/37/2012/2014

UNIQLO TEAM MEETS

GARMENT EXPORTERS
AT APPAREL HOUSE, GURGAON

SECRETARY TEXTILES
VISITS AEPC

INDIA MARKET
DAYS INAUGURATED AT AEPC

64

APPAREL
EDITORIAL ADVISORY BOARD
VIRENDER UPPAL
CHAIRMAN, AEPC
SUDHIR SEKHRI
CHAIRMAN, EXPORT PROMOTION, AEPC
PUNEET KUMAR
SECRETARY GENERAL, AEPC
SAMEER PUSHP
SENIOR PRO, AEPC

PUNEET KUMAR
EDITOR

INDIA

CONTENT
01.

CHAIRMANS LETTER

04

02.

AEPCS 35th ANNUAL GENRAL MEETING CONVENE

06

03.

22nd EDITION OF INDIA MARKET DAYS INAUGURATED

18

04.

STATEMENT BY NIRMALA SITHARAMAN IN LOK SABHA ON WTO

20

05.

ANNUAL CONFERENCE OF STATE TEXTILES MINISTERS

23

06.

PRIME MINISTER LAUNCHES 'MAKE IN INDIA' INITIATIVE

25

07.

AEPC ORGANIZES A SEMINAR

29

08.

VISIT BY TEAM UNIQLO TO AEPC

31

09.

AEPC WELCOMES THE LAUNCH OF INDIAN TRADE PORTAL

34

10.

APPAREL TRAINING & DESIGN CENTRE

36

11.

SECRETARY (TEXTILES) VISITS AEPC

37

12.

AEPC PARTICIPATES IN AUSTRALIA

39

13.

BUYER SELLER MEET - SPAIN

42

14.

AEPC PARTICIPATES IN SOURCING AT MAGIC, LAS VEGAS - USA

44

15.

INDIA KNIT FAIR INAUGURATED AT IKF COMPLEX, TIRUPUR

46

16.

AEPC'S SUBMITTED ITS PRE BUDGET PROPOSAL

47

17.

35TH ANNUAL GENERAL MEETING OF THE COUNCIL

49

18.

GOVERNMENT ESTABLISHES NITI AAYOG

51

19.

APPAREL EXPORT UPDATE APRIL-NOVEMBER 2014-15

52

20.

FRANCE MARKET FOCUS

54

21.

TEXTILE POLICY OF VARIOUS STATES IN INDIA

60

22.

24X7 CUSTOMS CLEARANCE EXTENDED

67

Chairmans
Letter

APPAREL

INDIA

appreciate. During the course of his visit, issues like

liberalisation of procedure for importing fabrics which are
not produced in the country, liberalisation of labour laws for
meeting requirements of seasonal nature of the Industry,
continuing the 3% interest subvention and setting industry
for manufacturing fabrics which are not produced in the
country, etc came up for discussion.
AEPC's submitted its pre budget proposal before
Chairman (CBEC), wherein we asked for the relief for
boosting garment exports. The major demands put forth
are:

Virender Uppal
Chairman
My dear fellow exporters,

1.

Separate chapter for pre and post shipment export

credit at fixed rate of 7.0% interest and apparel
sector to be included in the priority sector lending.
Till such time, 3% Interest Subvention Scheme,
which was available up to 31st March 2014, should
be continued after 01.04.2014 onwards

2.

To revise the Entitlement of Export Performance

Certificate (EPC) and increase the limit of import of
sample fabric up to 2% of FOB value of exports
within the 5% rate of entitlement.

3.

Amendments in Section 35 of IT Act 1961 and in

Section 80JJAA of IT Act, 1961.

4.

Continuation of Optional Excise Duty Route

5.

Waiving of Service Tax on taxable service in sub

clause (zzze) of clause (105) of Section 65 of
Finance Act, etc.

At the outset, I take this opportunity to complement the

Government for the bringing simplification in All India Rate
of Duty Drawback announced recently, where for the first
time some of the major demands of AEPC, related to the
classification of garments have been met. On behalf of the
garment export Industry, I have conveyed my gratitude to
the Hon'ble Prime Minister, Finance Minister and Textiles
Minister for energizing the garment manufacturing sector.
These simplifications have brought little more ease of
doing business, leading to the faster delivery of garment to
overseas buyers.

Under the initiative of Ministry of Textiles, a delegation from

UNIQLO comprising Group Executive Vice President
(Production), Senior Director, responsible for South Asia
production and Director, Country Manager of Bangladesh
office had an interactive meeting with 17 leading garment
exporters at AEPC's, Head Office, Gurgaon. Smt. Sunaina
Tomar, IAS, JS Exports, Ministry of Textiles was also
present during the presentation and assured all
Government support to the Industry. UNIQLO Executive
Vice President Mr. Yoshihiro Kunii also gave the detailed
presentation on their sourcing strategy and future plans of
expansion in India.

You would be glad to know that Shri S. K. Panda, Secretary

Textiles recently paid a visit to AEPC, ATDC and IAM. Prior
to that he visited some apparel factories and had
discussions with the Members of AEPC. It was a rare case
of Government reaching out to the Industry, which we must

AEPC, in association with the office of the Director General

of Inspection, Customs, New Delhi and Central Excise,
New Delhi organized a seminar on The Authorized
Economic Operator (AEO) for the garment export trade on

Chairmans
Letter
at Apparel House, Gurgaon. The seminar was informative
and meaningful and leading garment exporters of the
country attended the seminar. The detailed article is placed
in this issue of magazine for information. I have also
requested the Customs authorities to take this to other
clusters to optimize its reach and impact. Taking forward, a
similar seminar on AEO was also organised on 26th
December, 2014 at Tirupur where Dr. A. Sakthivel EC
Member, Shri Elangovan Member, Shri Thangaraj
Member, were also present along with the Customs and
Central Excise officials.
The recent months have been quite eventful with the AEPC
participating in International Fairs at SOURCING AT
MAGIC, LAS VEGAS USA, Buyer Seller Meet held at
Barcelona and Madrid and Australia International Sourcing
Fair. On the domestic front, AEPC successfully organized
India Knit Fair at Tirupur and India Market Days at Apparel
house, Gurgaon. AEPC would be participating in the Hong
Kong Fashion week in January 2015 and SOURCING AT
MAGIC in the month of February 2015. I appeal all the
fellow exporters to make full use of this unique opportunity.
I am happy to share that the Government has approved Rs
15.50 crores as a MAI grant for the year 2015-16.
On domestic front, Tex-Trends India 2015, will be held
from 28 30 January, 2015 at Pragati Maidan, New Delhi. I
would also like to give my sincere thanks to the Ministry of
Textiles for appointing Apparel Export Promotion Council
as the lead Council to organize this Fair. Tex-Trends India,
in its fifth edition, would be one of the Asia's largest textile
show covering Apparel, Fashion Jewellery and
Accessories; Home Furnishings and Floor Coverings;
Fibres, Yarns, Wool, Threads & Fabrics, Silk, Synthetic,
Rayon and Cotton textiles, Jute & Woollen garments, etc. I
request the participants to make full use of the wonderful
opportunity and generate good business. I would like to
share that our Head Office at Gurgaon has installed wifi
connection for the smooth functioning.
In an attempt to reduce the growing gaps between skilled
man power requirements and availability, Directorate
General of Employment and Training (DGE&T) and
Apparel Training & Design Centre, Gurgaon (ATDC),
signed a Flexi MoU for skill development in garment and
fashion sector. This Flexi MOU agreement aims at
imparting employment oriented training to the youth on
National Level.

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INDIA

The garment export Industry which is poised to breach the

mark of Rs. 1,00,000 Crores exports, in the current
financial year, already provides employment to
1,12,00,000 workers to the Industry as the largest
employment provider after agriculture providing the
livelihood security to the millions of workers. The
cumulative data for the month of April- November 2014-15
shows that garment exports have been sustainably
growing at the rate of 15.29%.
AEPC is the authorized Assessing body by DGE&T and
Ministry of Textiles to conduct assessments for
Apparel/Garment & Textile Sector. AEPC also has signed
MoU with 6 Lead Implementing Agencies (LIAs). Skill
Assessment Cell has completed 30780 candidates
assessment till 31st October 2014.
India is a country of young people. As per the estimates by
2021, the population of working age is expected to be 64%.
By 2020, the average age of an Indian will be 29 years, 8
years younger to the American or Chinese. We have the
collective responsibility to engage our growing manpower
and equip them in the capacity and expertise to make this
demographic dividend count. This sector has the quickest
possible potential to transform this population into skilled
work force. Government is also mindful of this fact that
skilled working population at par with the best in the world
can reap dividends like none other.
This sector can be a backbone of reviving manufacturing in
India with the adequate Government support. The garment
manufacturing sector has to be invigorated as the potential
of this sector as a mass employment generator is
immense, which could be exploited to realise the dream of
our Hon'ble P.M. Shri Narendra Modi of' Make in India'
following his mantra of 'Skill, Scale and Speed'.
Friends, we are on the closing month of 2014 and I wish all
of you and your family a great and fabulous time in 2015. I
have great hopes from garment sector, I am sure that the
investor- friendly initiative of 'Make in India' will lead our
economy to be a manufacturing hub of low cost and high
quality production. Let all of us put in the best to make it
happen!
Virender Uppal
Chairman AEPC

APPAREL
SPEECH DELIVERED
by the Chairman at the 35th
ANNUAL GENERAL MEETING
of the Council
held at Niryat Bhawan,
the 26th September, 2014

AEPC CHAIRMAN, MR VIRENDER UPPAL, DELIVERING THE

CHAIRMAN'S SPEECH DURING THE 35TH AGM OF THE COUNCIL.

Dear Colleagues,
On behalf of the Executive Committee of Apparel Export
Promotion Council and on my personal behalf, I take great
pleasure in extending a very hearty and warm welcome to
all of you at this 35th Annual General Meeting of our
Council. The Notice convening the meeting, the Annual
Report for the financial year ended 31st March, 2014, along
with Annual Audited Accounts and Auditors' Report have
been with you, and with your permission, I take them as
read.

EXPORT PERFORMANCE
EXPORTS IN DOLLAR TERMS FOR APRIL-MARCH OF
THE FY 2013-14 HAS INCREASED BY 15.7 PER CENT
OVER THE SAME PERIOD OF PREVIOUS FY AND
REACHED TO USD 15001 MILLION.
Apparel exports were to the tune of USD 1384 million in

INDIA

August 2014 with increase of 23 per cent against the

corresponding month of last financial year. India's RMG
export to World for cumulative months i.e. April-August
2014 was to the tune of USD 7076 mn. up by 17.9 per cent
from the same period of previous financial year. During
April-August 2013 India's apparel exports were to the
tune of USD 6002 mn.
Apparel imports of the United States witnessed decline of
1.38 per cent in the July month of 2014 from the previous
year and amounted to US$8296 million against US$ 8385
million in July 2013. In the July 2014, US imports of apparel
from Vietnam has increased by 5.95 % per cent and
reached to USD 884 million against USD 834 million in July
2013. In the month July 2014 USA registered highest
import growth from Vietnam amongst top 6 RMG suppliers
to USA.
Cumulative period of Jan-July 2014 saw only modest
improvement in the USA apparel import with an increase of
2.19% compared to same period of previous year.
Cumulative import for Jan-July 2014 was to the tune of
US$ 46425 mn. as against US$ 45430 million in Jan-July
2013. In Jan-July 2014 out of the total USA garment import
only US$ 2151 mn. was imported from India with an
increase of 5.62% compared to same period of previous
year.
USA RMG imports saw decline from all major suppliers
during Jan-July 2014 over the corresponding period of last
year except for Vietnam (13.85%) and India (5.62%).
EU's apparel import accounted for USD 45586 million for
the Jan.-June 2014 with increase of 12.63% over the same
period of previous year. India's export to EU for the JanJune 2014 amounted to USD 3483 million with 16.33%
increase compared to same period of previous year.
In June 2014 total external-EU RMG import was to the tune
of US$ 7570 million with an increase of 19.29 per cent
compared to same month of previous year. in June 2014
EU registered positive growth in RMG import from all 4 top
suppliers and highest import growth was registered by
Bangladesh (33.07 per cent) followed by India (27.17%).

DURING THE FINANCIAL YEAR 2013-14 FOLLOWING ISSUES WERE

TAKEN UP WITH GOVERNMENT
i)

With great persuasion & follow up Entitlement of

export performance certificate (EPC) has been
increased from 3% to 5%. Further matter has been
taken up with Government for removal of exemption
limit of import of sample fabric. The entitlement of
fabric should be limited to 2% of the FoB value.

ii) The readymade garment industry has continued

under optional CENVAT chain.
AEPC had

recommended the same.

iii) 3% interest subvention scheme in the RMG sector,
available till 31st March 2014 should be continued for
12th Plan period also.
iv) Separate chapter for pre and post shipment export
credit at fixed rate of 7% Interest by including
apparel in priority sector lending.

APPAREL
v) Upward Revision of Duty Drawback needs to be

EXPORT PROMOTION

increased to take care of various anomalies, which

lead to export of Taxes and make it broad based with
increase in drawback caps etc. & possibly matching
with that of China which is 17 % of FoB value, which
would spur the growth in apparel exports, boost Forex
and employment in all round manner.
vi) Employment generation linked tax credit for set-off
against direct / indirect taxes in a staggered manner
vii) Amendment in Section 35 of IT Act 1961:- The benefit
of this section should be extended to readymade
garment sample making to the extent of 5% of the
turnover of that assesses in the same assessment
year.

Further this amount of deduction should be

allowed as reduction in computation of book profit u/s

115JB also.
viii)Waiving off Service Tax on taxable service

in sub

clause (zzze) of clause (105) of Section 65 of Finance

Act on services may be provided to specified
associations under (zzze) of Finance Act)

for the

period of viz. 16.06.2005 to 06.07.2009.

ix) The manpower engaged by the contractors in the
exporters premises who are involved in the
manufacturing activity in the terms of section 2(f) of
central excise act 1944, meant for export should be
fully exempted from the preview of Service Tax.
x) EPCs should be exempted from service tax payment
on organizing exhibition in domestic market.
xi) Export sector should be exempted from following
service taxes like ECGC Premium, Clearing House
Agents (CHA), Terminal Handling Charges (THC),
Bank charges on collection of bill, foreign currency
related to export, service charges for conversion of
remittances, courier charges for documents and
commercial shipments, service tax on activities related
to brand promotion.
xii) AEPC has submitted details to DGFT and JS (DBK)
about simplification in SION & customs exit point.

(A) BUYER SELLER MEETS

i)

Buyer Seller Meet at New York, USA:- The Council

organized a Buyer Seller Meet at New York, USA from
18-19 September, 2013 with 23 participants.

ii) Buyer Seller Meet Spain:- Buyer Seller Meet was

organized at Barcelona [ 19-20 September, 2013] and
at Madrid in Spain [23-24 September, 2013] with 28
participants.
iii) Buyer Seller Meet at Bogota (Colombia) and Sao
Paulo (Brazil):- The Council organized a Buyer Seller
Meet at Bogota (Colombia) from 24-25 October, 2013
and Brazil (Sao Paulo) from 28-29 October, 2013 with
11 participants.
iv) India International Apparel & Textile Trade Show at
Tel Aviv, Israel:-

The Council organized a Buyer

Seller Meet at Tel Aviv, Israel from 25-26 November,

2013 with 16 participants.
v) India Clothing & Textiles Mega Show in South
Africa:- The Council organized a Buyer Seller Meet at
Cape Town from 13-14 March, 2014 and at
Johannesburg from 17-18 March, 2014 with 22
participants.
vi) Buyer Seller Meet Monte Video (Uruguay) and
Santiago (Chile):- The Council organized a Buyer
Seller Meet in Monte Video (Uruguay) from 13-14
March, 2014 and at Santiago (Chile) from

17-18

March, 2014 with13 participants.

vii) Buyer Seller Meet at Amsterdam, Netherlands [ 2324 June, 2014]:-

The Council organized a Buyer

Seller Meet at Amsterdam, Netherlands from 23-24

June, 2014 with 18 participants.
viii)Buyer Seller Meet at Barcelona & Madrid, Spain [
04-05 September & 08-09 September, 2014]:Buyer Seller Meet Spain:- Buyer Seller Meet was
organized at Barcelona [ 4-5 September, 2014] and at
Madrid in Spain [8-9 September, 2014] with 29
participants.

INDIA

APPAREL

INDIA

(B) INTERNATIONAL FAIRS

i)

Fatex Fair in Paris, France [7-9 July, 2013]:- The

iv) 51st India International Garment Fair (IIGF), Pragati

Council participated with 12 participants.

Maidan, New Delhi [15-17 July, 2013]:- The Council

organized 51st edition of India International Garment

ii) Hong Kong Fashion Week, Hong Kong [8-11 July,

Fair with 390 participants.

2013] :- The Council participated with 57 participants.

iii) JFW International Fashion Fair (IFF), Tokyo, Japan

v) 53rd India International Garment Fair (IIGF), Pragati

Maidan, New Delhi [14-16 July, 2014]:- The Council

[17-19 July, 2013]: The Council participated with 111

organized 53rd edition of India International Garment

participants.

Fair with 387 participants.

iv) Magic Fair, Las Vegas, USA [18-21 August, 2013]:The Council participated with 63 participants.

vi) India Market Days [23-24 January, 2014]:- India

Market days was held from 23-24 January, 2014 at

v) Australian International Sourcing Fair, Melbourne,

Australia [13-15 November, 2013]:- The Council
participated with 31 participants.
vi) Hong Kong Fashion Week, Hong Kong [13-16
January, 2014] :- The Council participated with 55
participants.
vii) Magic Fair, Las Vegas, USA [17-20 February,
2014]:- The Council participated with 75 participants.
viii) Hong Kong Fashion Week, Hong Kong [7 - 10 July,
2014]:- The Council participated with 52 participants.
ix) White Label, Berlin, Germany [8-10 July, 2014]:The Council participated with 17 participants.
x) Apparel Show in International Fashion Fair Tokyo,
Japan (IFF [23 - 25 July, 2014]:- The Council
participated with 53 participants.
xi) Magic Fair, Las Vegas, USA [17-20 August, 2014]:The Council participated with 62 participants.

C) DOMESTIC EVENTS
I)

Apparel House, Gurgaon with 44 participants.

(D) HIGH LEVEL TRADE DELEGATIONS

i)

Delegation to Hong Kong Fashion Week, Hong

Kong [8-11 July, 2013] :- One member delegation
visited Hong Kong to attend Hong Kong Fashion
Week held from 8-11 July, 2013. Meetings were held
with the HKTDC fair authority and Embassy officials.

ii) Delegation to JFW International Fashion Fair (IFF),

Tokyo, Japan [17-19 July, 2013]:- AEPC delegation
was a part of the Government delegation led by
Secretary (Textiles). Meetings were held with Ministry
of Economy, Trade and Industry, Japan (METI); Japan
Textiles Importers Association (JTIA); President- Juki
Corporation;

Meeting with Vice President, Japan

Textile Federation (JTF) and

other association

members; Meeting with officials of TORAY Industries

and meeting with Embassy officials at Tokyo.
iii) Delegation to Magic Fair, Las Vegas, USA [18-21
August, 2013]:- A High Level Delegation visited Las
Vegas, USA to attend Sourcing at Magic Fair held from

India Market Days [8-9 April, 2013]:- India Market

18-21 August, 2013. Meeting held with fair authority

days was held from 8-9 April, 2013 at Apparel House,

and the status of focus country was also discussed for

Gurgaon with 103 participants.

India in the meeting.

ii) India Market Days [18-19 July, 2013]:- India Market

iv) Delegation to Buyer Seller Meet at New York, USA [

days was held from 18-19 July, 2013 at Apparel House,

18-19 September, 2013]:-

Gurgaon with 85 participants.

Chairman AEPC visited Buyer Seller Meet at New

iii) India Market Days [2-3 September, 2013]:- India

Market days was held from 2-3 September, 2013 at
Apparel House, Gurgaon with 62 participants.

Delegation led by

York, USA held from 18-19 September, 2013.

Meetings were arranged with the Embassy officials
and buyers during the visit of the delegation.

APPAREL
v) Delegation to Buyer Seller Meet at Barcelona [19-

Vegas, USA to attend Sourcing at Magic Fair held from

20 September, 2013] and at Madrid in Spain [23-24

17-20 February, 2014. Meeting held with fair authority

September, 2013] :- One member delegation visited

and the status of focus country was also discussed for

Spain to attend Buyer Seller Meet at Barcelona [ 19-20

India in the meeting.

September, 2013] and at Madrid in Spain [23-24

September, 2013]. Meetings were held with Embassy
officials and buyers during the BSM for inviting the
buyers in Tex-Trends India- January, 2014.

xi) Delegation to India Clothing & Textiles Mega Show

in South Africa [13-18 March, 2014] - Cape Town
from 13-14 March, 2014 and at Johannesburg from
17-18 March, 2014:- AEPC delegation was a part of

vi) Delegation to Buyer Seller Meet at Bogota

the Government delegation led by Secretary (Textiles).

(Colombia) [24-25 October, 2013] and Sao Paulo

Meetings were held with the Embassy officials and

(Brazil) [28-29 October, 2013]:- Delegation visited to

buyers visited during the show.

attend Buyer Seller Meet at Bogota (Colombia) [24-25

October, 2013] and Sao Paulo (Brazil) [28-29 October,
2013]. Meetings were held with the Embassy officials
and buyers.

xii) Delegation to Buyer Seller Meet Monte Video

(Uruguay) and Santiago (Chile) [13-18 March,
2014]:- One Member delegation visited Monte Video
(Uruguay) from 13-14 March, 2014 and at Santiago

vii) Delegation to Australian International Sourcing

(Chile) from

17-18 March, 2014 to attend AEPC's

Fair, Melbourne, Australia [13-15 November,

Buyer Seller Meet. Delegation met with Uruguayan

2013]:- Delegation led by Chairman AEPC visited

and Chilean buyers. Delegation also invited apparel

Australian International Sourcing Fair, Melbourne,

buyers to visit India International Garment Fair to be

Australia [13-15 November, 2013] . Meeting was held

held from 14-16 July, 2014 at Pragati Maidan, New

with Exhibition Director, AISF for a possible MOU

Delhi.

between AEPC & AISF to expand outreach of AEPC's

export promotion programmes.

Chairman AEPC

invited apparel buyers to visit Tex-Trends India during

January, 2014. Additional Secretary AEPC gave a
presentation on DISHA.

Trade Show at Tel Aviv, Israel [25-26 November,

2013]:- One member delegation visited Tel Aviv, Israel
to attend India International Apparel & Textile Trade
Show held from 25-26 November, 2013. Meeting was
held with Chairman of Israel export and international
corporation institute. Meetings were also held with
officials of Embassy of India, Tel Aviv, Israel and also
with Head of Diplomatic Mission, Palestine.
ix) Delegation to Hong Kong Fashion Week, Hong
Kong [13-16 January, 2014] :-

Delegation visited

Hong Kong to attend Hong Kong Fashion Week, Hong

Kong.

xiii)Delegation to Buyer Seller Meet at Amsterdam,

Netherlands [ 23-24 June, 2014]:-

A High Level

delegation visited Amsterdam, Netherlands to attend

AEPC's Buyer Seller Meet. Meetings were held with
the Embassy officials and buyers visited during the

viii) Delegation to India International Apparel & Textile

Meetings were held with the HKTDC fair

authority and Embassy officials.

x) Delegation to Magic Fair, Las Vegas, USA [17-20
February, 2014]:- A High Level Delegation visited Las

INDIA

show.
xiv)Delegation to Hong Kong Fashion Week, Hong
Kong [7 - 10 July, 2014]:- Delegation visited Hong
Kong to attend Hong Kong Fashion Week, Hong Kong.
Meetings were held with the HKTDC fair authority and
Embassy officials.
xv) Delegation to White Label, Berlin, Germany [8-10
July, 2014]:- Delegation visited Berlin, Germany to
attend White Label Fair. Meetings were held with the
White Label fair authority and Embassy officials.
xvi)Delegation to Apparel Show in International
Fashion Fair Tokyo, Japan (IFF) [23 - 25 July,
2014]:-

Delegation visited Tokyo, Japan to attend

International Fair. Meetings were held with the IFF Fair

Authorities and Embassy officials.

APPAREL

INDIA

xvii) Delegation to Magic Fair, Las Vegas, USA [17-20

v) Under export promotion initiatives, the Council

August, 2014]:-A High Level Delegation visited Las

launched Date Book for the export promotion events

Vegas, USA to attend Sourcing at Magic Fair held

2014-15. The date book was sent to all members for

from 17-20 August, 2014.

their active participation in the fairs / BSMs.

Meeting held with fair

authority and the status of focus country was also

discussed for India in the meeting.

vi) MAI grant of Rs.19.20 crores was sanctioned by

Ministry of Commerce to AEPC for the FY 2013-14 for

xviii) Delegation to Buyer Seller Meet Spain at

organizing 11 nos. of events during 2013-14. All 11

Barcelona [ 4-5 September, 2014] and at Madrid in

events (Domestic & International) were organized

Spain [8-9 September, 2014] :- Delegation visited

during 2013-14sucessfully.

Spain Barcelona [ 4-5 September, 2014] and at

Madrid in Spain [8-9 September, 2014].

Meetings

vii) After receiving the good response from the export

fraternity, an Open House and a seminar was further

were held with Embassy officials and buyers during

organized on March 24, 2014 at Apparel House,

the BSM for inviting the buyers in Tex-Trends India-

Gurgaon under Niryat Bandhu Scheme. Additional

January, 2015.

DGFT & Head of CLA, Joint DGFT and senior officers

of the DGFT were present for the meeting.

(E) OTHER EXPORT PROMOTION ACTIVITIES

i)

AEPC' side, Chairman AEPC addressed the

The Council organized a Round Table Discussion on

seminar. The meeting revolved around the

enhancing Apparel Exports held under the

simplification of procedures for the garment exporters

Chairmanship of Shri Ajit Seth, IAS, Cabinet Secretary

gathered from the member exporters as concerns and

on 17th May'2013 at Hotel Ashok, New Delhi, wherein

barriers towards smooth trade.

trade issues were discussed.

ii) An open house with Addl. DGFT was organized by
AEPC on 31st August, 2013 at Apparel House,

From

(F) OTHER EXPORT PROMOTION ACTIVITIES

I)

The Council organized a Round Table Discussion on

Gurgaon where more than 50 exporters participated at

enhancing Apparel Exports held under the

one to one meeting with 13 DGFT official delegations

Chairmanship of Shri Ajit Seth, IAS, Cabinet Secretary

led by Shri Sumeet Jerath, IAS, Additional DGFT.

on 17th May'2013 at Hotel Ashok, New Delhi, wherein

iii) AEPC participated in Textile Conclave. The Textile

Conclave was the first conclave in the history of India,
held on 2

nd

December, 2013 at New Delhi with the

trade issues were discussed.

ii) An open house with Addl. DGFT was organized by
AEPC on 31st August, 2013 at Apparel House,

vigorous efforts of Ministry of Textiles by partnering

Gurgaon where more than 50 exporters participated at

with CNBC TV. This was a mega platform, where all

one to one meeting with 13 DGFT official delegations

stakeholders from the Textile Industry, including policy

led by Shri Sumeet Jerath, IAS, Additional DGFT.

makers, industrialists and the Government,

participated for building the road map for the Indian
Textiles Industry.

iii) AEPC participated in Textile Conclave. The Textile

Conclave was the first conclave in the history of India,
held on 2nd December, 2013 at New Delhi with the

iv) AEPC organized its annual export award function 2013

vigorous efforts of Ministry of Textiles by partnering

for outstanding export performance for the year 2012-

with CNBC TV. This was a mega platform, where all

13 on 10
Gurgaon.

th

December, 2013 at Apparel House,

stakeholders from the Textile Industry, including policy

The awards were distributed in the

makers, industrialists and the Government,

presence of Dr. K.S. Rao, the then Hon'ble Union

participated for building the road map for the Indian

Textiles Minister and Smt. Zohra Chatterji, IAS, the

Textiles Industry.

then Secretary (Textiles), Government of India.

10

APPAREL
iv) AEPC organized its annual export award function 2013
for outstanding export performance for the year 201213 on 10
Gurgaon.

th

INDIA

It has been reported that business worth US$ 41.55 million

(Rs. 257.64 Crores) was negotiated during the fair.

December, 2013 at Apparel House,

The awards were distributed in the

INDIA INTERNATIONAL GARMENT FAIR

presence of Dr. K.S. Rao, the then Hon'ble Union

The 53rd India International Garment Fair (IIGF) was

Textiles Minister and Smt. Zohra Chatterji, IAS, the

organized from 14 -16 July'2014, Pragati Maidan, New

then Secretary (Textiles), Government of India.

Delhi. It was inaugurated by Shri Santosh Kumar Gangwar,

v) Under export promotion initiatives, the Council

launched Date Book for the export promotion events
2014-15. The date book was sent to all members for
their active participation in the fairs / BSMs.

Hon'ble Minister of Textiles for Textiles (Independent

Charge) in the presence of Smt. Zohra Chatterji, the then
IAS, Secretary (Textiles). 387 participants participated in
the fair. During the three days of the fair, 991 buyers from
72 countries and 548 buying agents visited the fair. It has

vi) MAI grant of Rs.19.20 crores was sanctioned by

been reported that the business potential from the fair

Ministry of Commerce to AEPC for the FY 2013-14 for

would be around US$ 177.63 million (Rs. 1101.30 Crores).

organizing 11 nos. of events during 2013-14. All 11

events (Domestic & International) were organized

SOURCE ZONE

during 2013-14sucessfully.

The Council organized Source Zone Fair from 22 - 24,

vii) After receiving the good response from the export

January, 2014 at Apparel House, Gurgaon. 43 companies

fraternity, an Open House and a seminar was further

exhibited in the fair and 614 buyers and buying agents from

organized on March 24, 2014 at Apparel House,

countries visited the fair. During the three days of the fair,

Gurgaon under Niryat Bandhu Scheme. Additional

business worth Rs. 8.26 crores were negotiated.

DGFT & Head of CLA, Joint DGFT and senior officers

of the DGFT were present for the meeting.

From

INDIA MARKET DAYS

AEPC' side, Chairman AEPC addressed the

The Council also organized India Market Days at Apparel

seminar. The meeting revolved around the

House, Gurgaon as detailed below:

simplification of procedures for the garment exporters

gathered from the member exporters as concerns and
barriers towards smooth trade.

Tex-Trends India, 2014 (incorporating

52nd India International Garment Fair)

19th India Market Days

13 -14 November, 2013

80 Participants participated

36 Buyers & 23 Buying Agents visited the event,

Business of US$ 8.41 million was negotiated during the

event.

Tex-Trends India, 2014 (incorporating 52nd IIGF) was

organized from 20th - 22nd January, 2014, Pragati

20th India Market Days - 23 -24 January, 2014

Maidan, New Delhi. It was inaugurated by Dr. Kavuru

44 Participants participated.

Sambasiva Rao, the then Hon'ble Union Minister for

39 Buyers & 22Buying Agents visited the event

Textiles in the presence of Smt. Zohra Chatterji, IAS,

Business of US$ 1.48 million was negotiated during

the then Secretary (Textiles) on 20th January, 2014.

the event

383 participants from the length and breadth of India

participated in the fair occupying more than 8065 Sq.

21st India Market Days - 24 -25 April, 2014

meters of exhibition space, out of stall gross area of

78 Participants participated.

17255 sq. mtrs. covering all sections of the textiles

32 Buyers & 20Buying Agents visited the event

value chain and allied products. During the three days

Business of US$ 5.15 million was negotiated during the

of the fair, 784 buyers from 68 countries and 803

buying agents visited the fair.

11

event

APPAREL
APPAREL INDIA MAGAZINE
Apparel India Magazine dedicated to the Readymade
Garment export sector is published by the Council. The
publication covers the diverse range of information
relevant to the textiles and clothing sector. The monthly
magazine focuses on the AEPC's recent activities, fairs
and exhibitions, Market Focus along with the council's new

INDIA

As agreed under the AEPC & Mauritius MOU, the first set of
Mauritian Acts and Regulations were received from the
Mauritian Government and a draft of Guidance Document
was submitted to Ministry of Industry, Commerce and
Consumer Protection Mauritius. The content development
was undertaken by AEPC & this was acknowledged by the
3rd Indo Mauritius, Joint Working Group.

initiatives. It also covers the policy aspect of the trade,

The programme has received a positive feedback from

issues related to compliance and skill development

industry participants & International organization such as

undertaken by the garment industry.

ITC (International Trade Centre) which is a subsidiary of

WTO and an apex body which benchmarks all major social

The monthly magazine has the wide network of distribution

standards across the globe. It has identified DISHA as

including all members of AEPC, important Government

contributing to:

officials, leading buying houses, etc. Its reach and scope is

expanding. The important activities of the council, policy

1. Achieving the Growth of Exports Garments by

initiatives and pressing matter concerning the garment

Exploring, Sustaining & Expending global markets

trade have been highlighted well in the media from time to

2. Becoming one stop information centre providing

time.

Exports assistance to garment exporters

3. Bridging the gap between the exporters and overseas

AEPC's CCC - DISHA PROGRAMME DISHA

buyers through dedicated efforts of employees and

Driving Industry towards Sustainable Human

Continual Improvement of the quality management

Advancement (DISHA) is a centrally Sponsored Scheme,

system.

under the Ministry of Textiles.

The programme has

completed 2 years and enrolled 478 factories as on date, of

ITC has listed DISHA along with 115 standards form across

which 217 have completed the training programme & are

the world. This is suo moto recognition and has

ready for the AEPC Common Code of Conduct

appreciated both by Industry & buyers and a stepping

Certification. The Twelfth Plan Proposal for entire 980

board for acknowledgement of DISHA by the buyers.

units under an overall budget of Rs 23.88 crores has been

submitted to Ministry of Textiles and their approval is

INNOVATIVE GARMENT TECHNOLOGY

awaited.

MISSION

The major events organized under the program during the

The Innovative Garment Technology Mission was initiated

year have been DISHA Adoption Certificate Distribution

to inspire innovation by identifying pioneering garment

Ceremony, Training of Trainers, Meeting of Expert Working

categories which encourage exporters to enhance their

Group and participation in national & international fairs &

capabilities with respect to innovative product categories.

exhibitions.
Under this 3i approach, the first handbook and DVD on
A midterm evaluation of the programme as per

denim titled Inside the Denim Business has been

requirements of Ministry of Textiles was done by NITRA

created. These series on Denim are particularly useful for

which has reflected the positive impact areas & learnings

micro, small and medium garment manufacturers and

of the programme for the factories.

inspires them to make an entry into a new and advanced

The programme has been covered through media reports

category.

by national dailies such as Indian Express, Economic

The next institutional DVD is proposed on Industrial Work

Times, Financial Chronicle and Asian Age etc. Overall

wear.

DISHA has been appreciated.

12

APPAREL

INDIA

AEPC WEBSITE

ASSET MANAGEMENT

In a bid to reach the maximum stakeholders and create a

The construction of AEPC building at plot no.21, Sector-

brand image to the garment traders across the world,

20B, Faridabad has been completed and Inaugurated by

AEPC has revamped / redesigned its multilingual website

Hon'ble Union Minister of Textiles on 26.09.2013.

in over 80 different foreign and Indian languages.

The new website is unique and offers to promote and give
freedom of accessing useful information and trade support
to its members apart from retrieving the relevant
information at the user end. The tools are interactive and

The AEPC Bangalore office premise at Raheja Chamber,

renovated area of 1810 sq.ft and unfurnished area of 2790
sq.mt have been rented out to M/s. Mauser Electronics and
M/S.T.T. Consultant respectively.

offer a huge convenience to users. The objectives of this

The AEPC premise at Kurumuthu Centre, Anna Salai,

Nandanam, Chennai has been rented out to M/s. ICRA.

website are to showcase that the business is open 24x7

The existing lease with M/s Teesta Urja Ltd. has been

and promote exhibitors' goods in overseas fairs and

extended for 3 years on an enhanced rate in respect of

exhibitions; aspire to increasing customer base; offer

AEPC premise at Bhikaji Cama Place, New Delhi

tremendous cost saving and advertising opportunities both

online and through Apparel magazine; create AEPC's
brand image, add value and provide higher level of
satisfaction with improved credibility in secure platform.

INSTITUTE OF APPAREL MANAGEMENT

i)

IAM in less than 5-years has emerged as Centre of

Excellence in Fashion & Apparel Sector including

Online Searchable Exporter details on AEPC Website for

launch of 4-year B.Tech and GenNext MBA in Fashion

overseas buyers and it's promotion :- IT department has

Business programs.

introduced a section called "Apparel E-Marketplace" on

the newly redesigned council's website, this will provide

ii)

IAM has been awarded prestigious National

the facility for the overseas importer/buyers to

Education Leadership Award by the Media Group ABP

search(filtered) the contact and business details of the

News & Dainik Bhaskar for two consecutive years

Indian apparel exporters based on various search criteria's

(2013 & 2014); has been listed amongst the top Public

like name, location, product etc.

Design Institutes by 'Career 360 Magazine' and ranked

amongst top fashion Institutes by Education World

This facility will help all the member exporters for getting

Magazine.

the global exposure and to promote the business and

products worldwide.

KNITWEAR TECHNOLOGY MISSION

iii) On 14th July 2014 IAM organized its 3rd Convocation

with Ms. Zohra Chatterji, IAS, the then Secretary
(Textiles), GOI as Chief Guest and Convocation

Knitwear Technology Mission is set up by the council for

speaker with of 187 students' convocation this year

providing knowledge services (market information about

from various UG/PG/Degree/Diploma programs.

knitwear), testing & certification, research, training &

iv) IAM has also launched Stylista 2014: IAM Annual

education, design services and investor facilitation

Graduate Show with Innovation and Brand Section on

services like technology selection etc in the field of man-

16th July 2014 at IIGF showcasing 10 unique

made fibre garments.

collections by graduating students for buyers and

Essential lab equipments and machines were procured

exhibitors.

and installed in KTM Centre during the financial year 201314. The centre is already offering sampling, testing and
training services for the trade and industry.

13

v) Under Multi-Varsity umbrella 9-students of IAM have

completed a '2-week Summer School program' during

APPAREL

INDIA

June/July at University of Wolverhampton, UK;

engineering and e-fit, Designers Graphic Toolkit, and

another batch of 10 students had earlier gone to

Social Media Marketing, Fashion Design Technology,

Modspe, Paris for a 2 months attachment.

Apparel Export Merchandising along with offering denovo programs in Fashion, Lifestyle, VM and Retail.

vi) Students who have started their own label/brand

includes Kanisk Bhardwaj's clothing Brand Har-Yarn-

xi) IAM LEC (Learner-Evaluation Centre) approved by

V, Jayeta Rohilla launched 'Mae' now selling at

the DGET/NCVT (Directorate General of Employment

leading fashion stores like OGAAN etc. Aashna Behl

& Training / National Council of Vocational Training)

started SSUKRAATU a retail clothing brand

under the aegis of Ministry of Labour & Employment

specialising in women's Ethnic wear, Sandeep

has assessed so far more than 10,000 candidates in

Kaidyan has set-up a domestic brand in Menswear,

apparel related skill programs across the country.

Rianta is running a luxury customised packaging

business and Akanksha Singh, introducing digital

xii) The contribution of IAM's Media Design Cell towards

rendering designs and other services (branding,

graphic 'Tee' Shirt marketing company.

promotions, design for fairs and exhibitions) has now

become a one stop solution to Design and Media

vii) Aditi Bhalhotra as First-Runner-Up at Femina Style

needs for various domestic and international fairs.

Diva (North), Saniya Babu styled a well-known

Celebrity & Fashion Icon Bina Ramani for Libaas
International Magazine, Rahul Chhibar & Dishank
Chhibar is working at Giorgio Armani and Gucci.
IAM alumni and graduates have been placed with
leading brands like GUCCI, ARMANI, ITC, Tommy
Hilfiger, Reliance Brands, Arvind Brands, JJ Valaya,
Tarun Tahillani, Adidas, Benetton, Li & Fund, Paul
Smith and several of others.
viii) IAM Students have undertaken initiatives on social
cause for Safety and Dignity for Women, Trend
Forecasting for Indian Apparel Industry at National
Garment Fair, Mumbai and presented Innovative
Denim Garment and Accessories Designed at Indigo
2014, and also participated at In Store Asia 2014 in
Mumbai.

APPAREL TRAINING & DESIGN CENTER

ATDC has emerged as the largest vocational training
provider for the Apparel Sector in the country. ATDC is also
the single largest training provider for any vocational trade
in India. ATDC since 2009 underwent a major
transformation after being selected as a Nodal Agency
under Component I by the Ministry of Textiles (MOT), Govt.
of India and since then, ATDC has systematically worked
towards developing training infrastructure, having set-up
over 205 Centres Pan-India with State-of-the-Art factory
simulated production environment. Cumulatively over
1,20,000 candidates have been trained in a short span
from 2009 till March 2014 in both fast-track training
programmes under the 'SMART' project and in long-term
programmes at ATDC Vocational Institutes. In addition

ix) IAM inked MOU with FDI(Fashion and Design

ATDC have set-up 3 Training of Trainers' Academies and 3

Institute), Mauritius and new partnerships in progress

Academies have trained about 1110 trained through

include progression arrangements with Birmingham

specially developed training modules.

Institute of Art & Design (BIAD), London College of

Fashion (LCF), IFM Paris etc. besides strengthening
existing collaborations with Edexcel, UK and SMR
University, Italy. IAM plans to kick off a 'guided study
tour' with St. Cathrine's University for their students
from January 2016.

In addition it is important to note that ATDC is the only training

organization which offers shop-floor, supervisory &
managerial level training / courses within the education and
trainingeco-systemi.e.
I.

SMART Training Programmes for Short Term

Programmes (Skilllevel01-03)

x) Pro-Up Center at IAM has trained working executives

and professionals in Digital Merchandising, Pattern

14

APPAREL
ii.

ATDC Vocational Institute for Long Term

Programmes (Skill level 04-07) Both are being aligned
with NCVT/AICTE at various skill levels going forward for
offering training till B. Voc in line with the upcoming
'National Vocational Qualification Framework' (NSQF) in
India.

iii. ATDCTrainingofTrainers'Academies- ATDChassetup 3Training ofTrainers' thus leading to a comprehensive

trainingEco-system.

ATDC-SMART TRAINING PROGRAMME :

TheimplementationofIntegratedSkillDevelopmentScheme
(ISDS) byATDC in the last 3 years brought over 1,30,000 men
and women under the intensive rapid training programme at
205 ATDC Centres Pan-India. In the Executive Committee
meeting, MOT has advised
ATDC to continue
implementation of the Pilot Project by fast-tracking the
balance candidates before 31st March, 2015 thus completing
1,72,000 candidates envisaged under 11th FYP period
before shifting over to 12th FYP target implementation under
new norms. The candidate profiles of ATDC - SMART
training programmes indicate 85% women and about 79%
candidates from rural and semi-urban areas and over 70%
have been placed in the apparel industry with 45% in large &
SME and also around 30% in domestic industry units/ selfhelpgroupsandrestforself-employment.

ATDC VOCATIONAL INSTITUTES

The ATDC Vocational Institutes form a higher quality level of
training in the eco-system in order to mainstream vocational
education and to provide modularity and certification to the
student senrolled in ATDC Centres.
Since Jan 2010, the ATDC long-term programmes
(6months to 2 yr duration) have enrolled over 14,559
candidates and ATDC has established 65 Vocational
Institutes as "VTPs" aligned to the SDI Scheme of NCVT/
DGE&T, Ministry of Labour & Employment. ATDCs longterm training courses address critical knowledge and skillsets required for the apparel sector, leading to Certificate,
Diploma and Advance Diploma with dual certification of
ATDC and award of certificate by NCVT ensuring
'employability' and 'flexibility'. In addition, 30 of ATDC's
Hubs & major Institutes have been approved as Skill
Training Providers (SKPs) by AICTE to offer vocational
content under the National Skill Qualification Framework
(NSQF).

15

INDIA

Since Jan 2010, the ATDC long-term programmes

(6months to 2 yr duration) have enrolled over 14,559
candidates and ATDC has established 65 Vocational
Institutes as "VTPs" aligned to the SDI Scheme of NCVT/
DGE&T, Ministry of Labour & Employment. ATDCs longterm training courses address critical knowledge and skillsets required for the apparel sector, leading to Certificate,
Diploma and Advance Diploma with dual certification of
ATDC and award of certificate by NCVT ensuring
'employability' and 'flexibility'. In addition, 30 of ATDC's
Hubs & major Institutes have been approved as Skill
Training Providers (SKPs) by AICTE to offer vocational
content under the National Skill Qualification Framework
(NSQF).

ATDC TRAINING OF TRAINERS' ACADEMIES

ATDC in a pioneering initiative set-up 3 Training of
Trainers' Academies in Gurgaon(NCR),
Thiruvananthapuram (Kerala) and Chhindwara (MP) and
the Academies have been actively formulating strategies
and establishing methodologies for development of
Course Contents, Digital Contents, Soft Skill Modules,
Conducting Training Programmes and establishing
collaborations to introduce need concepts like lean
management, productivity improvement etc.
Over 1,110 faculty members and industry personnel have
already benefitted till July, 2014 in multiple programmes.

NEW INITIATIVES & AWARDS:

The 'Education Excellence Award 2014' was received
under 'Best Vocational Training Institute' category by the
country's apex trade agency the Associated Chambers of
Commerce and Industry of India (ASSOCHAM) in the
National Capital on February 19.
This year a key contribution by ATDC to the Skillscape
came in form of developing Contemporary Curricula for
over 29 trade courses (Garment & Fashion sectors) along
with Directorate General of Employment & Training
(DGE&T) & National Council for Vocational Training
(NCVT) for certification requirements and with AICTE for
the Apparel & Textile sector as part of the National
Vocational Education Framework(NVQF) wherein both
DGE&T & AICTE formed curricula development
committees under the DG&CEO- ATDC & IAM.

APPAREL
During the year ATDC also took up numerous initiatives
and activities such as setting-up of Mini-Textile Testing
Labs at national apparel clusters, India's first-ever Product
Specialty (Knitwear) Centre at ATDC Faridabad which is
playing a pivotal role in catalyzing the apparel industry to
diversify the product basket to include knitwear, denim,
outerwear, lingerie, etc. and signing an agreement with
Juki in Tokyo to set-up the 2nd Innovation Centre in
Bangalore.
ATDC also continued overseas partnerships with leading
training institutes / industry bodies in Japan, Sri Lanka, UK
and Australia and efforts are on to have more such linkages
especially for upgradation of pedagogy and learnerevaluation, etc. ATDC has also started a pilot project for
'Skill Matrix evaluation' and also very actively involved with
the National Productivity Council (NPC) to help in new
apparel cluster formation to work in areas of Lean
manufacturing, 'Industrial Engineering' and IT techniques,
as part of a programme management approach.
ATDC partnered with FICCI as Knowledge Partner for
conducting preliminaries of the 'World Skills 2015' in the
Fashion Technology category.
Upgrading Quality in ATDCs through Weekly Quality
Assurance Clinics for raising the bar of training delivery

HUMAN RESOURCE ACTIVITIES

Eyes check camp, Gurgaon
To facilitate the employees of the Council from their
Health point of view, an eyes check camp was organized
with the support of Council's Group Health insurance
agency i.e. Religare Health Insurance Company Limited
and Vasan Eye Care at Head Office, Apparel House,
Gurgaon on 29th May, 2013.

A team of ophthalmologist,

attendants had put their complete infrastructure at 3rd

floor of the Apparel House in which Basic Eye
examination was done for the employees comprising
follows: Refraction
Glass prescription
Anterior Chamber Examination
Visual Acuity Testing
An overwhelming response has been received from the
employees, the team of Vasan Eye Care not only giventips
to keep healthy their eyes and also a 'privileged card' has
been given to each employee for eyes check for their

INDIA

any members of the family at their nearest Vasan Eye Care

centre.
Around 100 officials took benefit of this camp.

World women day celebration

To celebrate world women day on 8th March, 2014 all,
female employees of the Head office gathered and shared
views on subjects related to women empowerment, issues
faced by women employees at work place etc. By
participating in the fun games, they created a zeal
atmosphere. A good time was spent by all the female
employees. At last, a token gift was given to each
participant by the Council and pledged to celebrate next
world women day on large level.

SKILL ASSESSMENT CELL

AEPC is the authorized by Ministry of Textiles as well as
DGE & T to conduct assessments of Apparel & Textile in
MES and Non MES category.
i) AEPC has assessed 23,282 candidates during
F.Y.2013-14 under Skill Development Initiative (SDI)
scheme of Modular Employable Scheme (MES) of Director
General of Employment & Training (DGE&T) and from 1st
st

April 2014 -31 August 2014 - 13117 have been assessed.

The total number of candidates assessed under the MES
Scheme as on 31.08.2014 is: 36,399.
ii) Further AEPC has also been appointed as an
Independent Assessing & Certification Body for Apparel
and Textiles Sector by Ministry of Textiles for its Integrated
Skill Development Scheme (ISDS).
Under ISD Scheme AEPC has signed MOU with 5 lead
implementing Agencies (LIA's) to assess their trained
candidates for Apparel and Textiles sector. Under ISDS
scheme AEPC has assessed total 21182 candidates in the
F.Y.2013-14 and from 1st April 2014 -31st August 2014 and
total 13,838 has been assessed?under Non-MES.
The total number of candidates assessed under the NONMES Scheme is: 35020.
The Skill Assessment Cell has also centralized the
question paper system and has initiated translation in
various vernacular languages like Tamil, Oriya, Bengali
etc.

16

APPAREL
APPAREL HOUSE

policy related issues from time to time.

The Apparel house at Gurgaon is having 250 showrooms

I am also thankful to the officers of Ministry of Commerce &

Industry, Ministry of Textiles, Ministry of Finance, Office of
Textile Commissioner, Textiles Committee, Ministry of
Labour, Central Board of Excise and Customs and other
officers of Government of India for their coordination for
various export promotion activities of the Council.

nd

th

scattered at 2 to 6 floor. On the requests of Garment

Exporters, booking for vacant showrooms in the Apparel
House was opened in the first week of January, 2014 for all
the exporters registered with Council, as well as
entrepreneur in Textiles value chain like fabrics, trimming
and embellishment, processing house, buying agents,
buying house.
During the international and domestic fairs, standees of
Apparel International Mart highlighting the showrooms
were displayed at the AEPC's booth.
An Export promotion activity to promote the business
opportunities, India Market Days were organized
successfully on 13.11.2013 - 14.11.2013, 23.01.2014 24.01.2014 and 24.04.2014 25.04.2014 at Apparel
House, Gurgaon with the support of MAI Funds
(Government of India).
Fire mock drill was organized through trained fire officer in
the presence of the fire department official, Gurgaon from
time to time in order to make the occupants aware about
the precautionary measures to be taken in the course of
fire breaks out in the Apparel House building. The
occupants were also educated about the use of fire
equipments and about procedure to provide first aid to fire
victim etc.
ACKNOWLEDGEMENT
I convey my heart-felt gratitude and sincere thanks to Shri
Santosh Kumar Gangwar Hon'ble Minister of State
(Independent Charge) (Textiles), who has wholeheartedly
supported various recommendations of the Council and
encouraged the garment export industry to perform better.
I place on record my sincere thanks to Secretary (Textiles)
Shri Sanjay Kumar Panda, IAS for continuous support in
the furtherance of garment exports from India.
I also placed on record my sincere thanks to the then
Hon'ble Minister of Textiles Dr. K S Rao and the then
Secretary (Textiles) Ms. Zohra Chatterji, IAS for their help
and contribution in all projects, to address the concern of
Apparel Industry.
I wish to place on record my sincere thanks to Mrs. Sunaina
Tomar, Joint Secretary (Exports), Ministry of Textiles and
Mrs. Monika Garg, IAS, the then Joint Secretary (Textiles),
for guidance in the matter of export promotion and other

17

INDIA

My heartfelt thanks to Shri Ashok G Rajani, Sr.Vice

Chairman, AEPC, Shri Ranjit Shah, Vice Chairman (SR),
AEPC and Shri Ashok Logani, Vice Chairman(ER) AEPC
and special thanks to Shri Harish Ahuja, Shri Premal H
Udani and Shri Kishor K Shah who helps me to resolve the
issue whenever I am in need.
My heartfelt thanks to Shri H K L Magu, Chairman F&B
Sub-committee, Shri Sudhir Sekhri, Chairman EP Subcommittee, Dr. A Sakthivel, Chairman, Knitwear
Technology Mission, Shri Rakesh Vaid, Innovative
Garment Technology Mission Sub-Committee, Shri
Gautam Nair & Shri Anil Bhuchasia, State Partnership
Sub-committee and my other fellow Executive Committee
Members, Govt. Nominees, Co-opted Members,
Permanent Invitees & Special Invitees for their unstinted
support and guidance.
I wish to place on record my sincere appreciation for the
press and media who reported the issues of the garment
export industry and supported by publishing AEPC's
recommendations from time to time.
I also wish to place on record my special thanks to Mr.
Puneet Kumar, IAS, Secretary General, AEPC who is
helping me in all my endeavors.
My heartfelt gratitude is also due to Additional Secretary
General, Senior Director, Directors, General Managers
and all other officers & staff of AEPC for their dedicated and
sincere service, whose efforts have contributed to council's
achievements.
With gratitude, I acknowledge the dedicated efforts put in
by all members of the Council. I take this opportunity to
express my sincere thanks to the members for their utmost
faith and trust reposed in me and Council. I am sure, with
sustained efforts, we will be able to scale even greater
heights of success in the years to come.
(Virender Uppal)
Chairman, AEPC

APPAREL

INDIA

22nd EDITION OF INDIA MARKET DAYS OPENS

AT APPAREL HOUSE GURGAON
22nd edition of India Market
Days was inaugurated on 27th
October 2014, at Apparel
House, Gurgaon by Mr. Shri
Sudhir Sekhri, Chairman EP,
along with, EC member and
Shri Puneet Kumar, Secretary
General, AEPC, in the
presence of international
buyers, participants and AEPC
officials.
Speaking on this
occasion EP Chairman AEPC
Shri Sekhri said, This time 52
exhibitors are displaying their
Spring Summer 2015
collection. I am sure buyers will
be able to find the upmarket
fashion driven products to
source from India. There will
BUYERS INTERESTING WITH BE EXHIBITOR AT INDIA MARKET DAYS
be buyers from across the
Exports are on the sustained path of growth and we have
globe for the two days of India Market Days which kickbeen incurring 17.6% growth in this fiscal. Exports in dollar
started today.
terms for the month of September 2014 stood 1.3 billion
registering 16% growth. The cumulative April- September of
Highlighting the export performance, Mr. Virender Uppal,
the FY 2014-15 has increased by 17.6 per cent over the
Chairman AEPC in his message stated that, Garment
same period of previous FY
and reached to USD 8.3
billion, which is good
performance. Increasing
labour cost in China, noncompliance of large number
of factories in Bangladesh,
high rate of inflation, currency
appreciation, etc with the
competing countries have
provided India a big
opportunity in view of its
relative advantage. A small
push from the Government
with its policy support may
help India to get more
business as overseas buyers
are looking at India as safe
and reliable option for the
sourcing. But to capture the

18

22nd EDITION OF INDIA

MARKET DAYS

APPAREL

INDIA

significantly at the highest level in US market. I

would like to credit this growth to all the
hardworking exporters who put in their best in the
business.

space in market left by China and Bangladesh, we have to be

competitive in pricing, apart from meeting strict timelines,
better quality delivery by Indian exporters, Mr. Uppal added.
AEPC also underlined, Garment Industry has highest
potential to shift the additional unutilized labor out of
agriculture and lift the large population above the
empowerment line. To jumpstart job creation, India will need
to improve its business and investment climate especially
the labor incentive sector like the garment Industry. This
sector with the adequate support of the Government can be
the big supplier of the skilled labour and help Make in India''
initiative of PM a reality.
AEPC has been pushing for the industry enabling policy to
be announced in the new Foreign Trade Policy. We are
working for it and the issues like All Industry Rates of
Drawback, Interest subvention, procedural simplifications to
cut the transaction cost and time, simplifications of labor
laws, etc have been raised with the Government.
During his inaugural address, Chairman EP, Mr
Sekhri remarked, India Market days provide an
opportunity to analyze and choose, from the wide
spectrum of existing and emerging products at
one place, finalize bulk requirements and
negotiate best rates for bulk orders. This event will
help the garment exporters find the right partners
for their business. We have good design and raw
material strengths and our business is based on
exceptional customer service, respect and
integrity in the pursuit of mutually profitable
outcome, he added.
Shri Puneet Kumar, SG AEPC, in his remark
welcomed the buyers and said, The garment
export Industry is sustainably growing and we are

19

Displaying the latest collection of high quality

merchandise, the product profile of the event
covers the entire value chain of the textile and
clothing industry. Ranging from menswear,
leisure wear, formal and cocktail wear to women's
fashions and children wear of several prominent
apparel and accessory manufacturers and
exporters are exhibiting their products. The other
prominent exhibits includes Blouses, Casual
Wear, Co-ordinates, Denim Wear, Infants' Wear,
Knitwear, Ladies Wear, Shirts, Shorts, Silk
Garments, Skirts, Suits, Sweat Shirt, T-Shirt,
Trousers, Vests, Evening Dresses, Bodysuit, Brief, Home
Wear, Fashion Jewellery, Men's Underwear, Nightwear &
Pajamas, Outerwear, Pareos, Scarf, Stoles, Handbags,
Cushion covers, bed covers, fabrics, etc.
Exhibitors/ showroom holders are from cities like Jaipur,
Gurgaon, Noida, New Delhi, Ludhiana etc. Buyers hailing
from, USA, South Africa, Spain, Canada, Turkey, Brazil,
UAE, Denmark, etc are visiting the India Market Days fair on
this inaugural day.
nd

22 edition of India Market Days India Market Days is a

project approved by Ministry of Textiles and is funded under
the Market Access Initiative (MAI) Scheme of Ministry of
Commerce & Industry, Government of India for inviting
overseas buyers and buying agents under reverse BSM, he
added.

APPAREL

INDIA

STATEMENT BY NIRMALA SITHARAMAN IN LOK SABHA

REGARDING "INDIA'S STAND IN THE WTO"
New Delhi, August 5, 2014

I am making this intervention in the House today

in order to place before the Hon'ble Members the
facts relating to the stand taken by India in the
World Trade Organization (WTO) recently.
The Bali Ministerial Declaration was adopted on
7 December 2013 on conclusion of the Ninth
Ministerial Conference of the WTO in Bali.
Ministerial Decisions were adopted on ten
issues relating to the Doha Development
Agenda which is the agenda for the unfinished
Doha Round of trade negotiations, underway in
the WTO since 2001.
Amongst these Ministerial Decisions, two are of
particular significance the Ministerial Decision
for an Agreement on Trade Facilitation and the
Ministerial Decision on Public Stockholding for
Food Security Purposes.
The Trade Facilitation Agreement is basically
aimed at greater transparency and simplification of customs
procedures, use of electronic payments and risk
management techniques and faster clearances at ports. We
have autonomously taken several similar measures such as
the 'Indian Customs Single Window Project' announced in the
Budget 2014-15 to facilitate trade, under which importers and
exporters will be able to lodge documents at a single point,
reducing interface with Governmental agencies, dwell time
and the cost of doing business.
The Protocol of the Trade Facilitation Agreement (TFA) was to
be adopted by 31 July 2014 by the WTO. After this the
Agreement would automatically come into force from 31 July
2015 if ratified by two-thirds of the members of the WTO.
In contrast to their efforts on Trade Facilitation in the WTO,
some developed countries have been reluctant to engage on
other issues.
Seeing the resistance to taking forward the other Decisions,
the apprehension of developing countries was that once the
process of bringing the Trade Facilitation Agreement into
force was completed, other issues would be ignored,
including the important issue of a permanent solution on
subsidies on account of public stockholding for food security

20

purposes.
India, therefore, took the stand that till there is an assurance
of commitment to find a permanent solution on public
stockholding and on all other Bali deliverables, including
those for the Least Developed Countries (LDCs), it would be
difficult to join the consensus on the Protocol of Amendment
for the Trade Facilitation Agreement.
Without a permanent solution, public stockholding
programmes in India and other developing countries will be
hampered by the present ceiling on domestic support which is
pegged at 10 per cent of the value of production and is
wrongly considered as trade-distorting subsidy to farmers
under existing WTO rules. The existence of such a subsidy
element is determined by comparing present day
administered prices with fixed reference prices of the 1986-88
period which is unrealistic.
The problem is a very real one. Developing countries are
finding themselves hamstrung by the existing rules in running
their food stockholding and domestic food aid programmes.
The developed world too had market price support
programmes and was able to move away from such support though not fully even now - because of their deep pockets.
This is not possible for developing countries. It is important for

STATEMENT BY NIRMALA
SITHARAMAN IN LOK SABHA
developing countries to be able to guarantee some minimum
returns to their poor farmers so that they are able to produce
enough for themselves and for domestic food security.
Developed countries continue to have large entitlements to
provide support to farmers. These would have been cut in the
Doha Development Round which unfortunately remains
unfinished. Had this Round, which has development at its
core, concluded as per the agreed timelines and its
development agenda, the world would have had an outcome
in a single undertaking in which competing interests could
have been balanced. Today, developing countries are fighting
to keep the negotiations focused on development against the
single-minded mercantilist focus of most of the rich
developed world on market access issues.
Overall balance is important even in a limited package of
outcomes. The Bali outcomes were negotiated as a package
and must be concluded as such.
It is regrettable indeed that today the WTO is unable to agree
even to fast track negotiations on an issue of such importance
to millions of subsistence farmers across the developing
world, while the rich world can continue to subsidise their
farmers unabatedly.
The matter came up for discussion in the margins of the
BRICS Trade Ministers meeting in Brazil on 14 July and the
G20 Trade Ministers meeting in Sydney on 19 July. It was also
raised by the representatives of some countries in their
interactions with the Indian government. On each occasion I
explained that India is a signatory to the Bali Decisions,
including Trade Facilitation and is not standing in the way of
its implementation but is seeking an equal level of
commitment and progress in working on the issue of public
stockholding which affects the country's livelihood and food
security. A permanent solution on food security is a must for
us and we cannot wait endlessly in a state of uncertainty while
the WTO engages in an academic debate on the subject of
food security which is what some developed countries seem
to be suggesting before they are ready to engage on this
important issue.
Food security is a humanitarian concern especially in these
times of uncertainty and volatility. Issues of development and
food security are critical to a vast swathe of humanity and
cannot be sacrificed to mercantilist considerations.
Developing countries such as India must have the freedom to
use food reserves to feed their poor without the threat of
violating any international obligations. This is our sovereign
right. It is our duty to protect our citizens' fundamental rights to

APPAREL

INDIA

life and livelihood.

Agriculture is the mainstay of the Indian population. In a
country of the size of India with 60% of the population
dependent on a relatively unremunerative agriculture sector,
we cannot give up administered prices. This is the only way
we can procure food for the Public Distribution System (PDS),
the central pillar on which our efforts to ensure food security,
rest. Public stockholding is a widely used means to ensure
food security in many developing countries where agriculture
is largely rainfed.
We have to look after both consumer and producer interests.
We have to enable our people to live a life of dignity by
ensuring access to an adequate quantity of quality food at
affordable prices.
On 25 July 2014, India made a statement in the WTO General
Council conveying, inter alia, that the adoption of the TF
Protocol must be postponed till a permanent solution on
public stockholding for food security is found.
India offered suggestions on the procedure to be followed in
order to ensure time-bound delivery of an outcome on public
stockholding for food security. We also urged that a similar
approach be adopted on all other elements of the Bali
Package notably the LDC issues.
The integrity of India's stand is reflected in our unwavering
efforts to offer a way forward in the face of criticism. Even on
31 July 2014, India offered a way to achieve not only a
permanent solution on the issue of public stockholding for
food security but also to implement the Trade Facilitation
Agreement in the agreed timeframe as well as deliver
favourable outcomes for LDCs.
We have offered practical suggestions for the way forward.
The issue of a permanent solution on public stockholding is a
simple one that can be addressed very easily as there are
already several proposals on the table. A solution to this
simple problem will be a tremendous relief for millions of
farmers and poor consumers.
23. However, despite India's efforts, our concerns were not
satisfactorily addressed.
The Director General of the WTO reported to an informal
meeting of the Trade Negotiations Committee on 31 July
2014 that a solution could not be found to bridge the gap.
The General Council meeting was, thereafter, formally
declared closed without adopting the TF Protocol.

21

STATEMENT BY NIRMALA
SITHARAMAN IN LOK SABHA
India stood firm on its demands despite immense pressure.
The Government of India is committed to protecting the
interests of our farmers against all odds. Our farmers work in
extremely adverse conditions, most of them at the mercy of
the vagaries of the monsoon, aggravated today by climate
change. For farmers in many developing countries farming is
a subsistence activity, not a commercial one. We are
committed to their welfare and I am grateful for the support
and understanding extended by farmers' organizations in this
cause.
I must also thank Hon'ble Members of Parliament, many civil
society groups and academicians who have lent their voice in
support of the Government's efforts to ensure a fair deal.
It is evident from the expressions of support that India's stand
has resonated across the world and I take this opportunity to
also thank the countries that have stood by India in the VVTO.

22

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India is an unwavering votary of the multilateral trading

system and we reiterate our commitment to the WTO. We
continue to believe that it is in the best interest of developing
countries, especially the poorest, most marginalized ones
among them and we are determined to work to strengthen this
institution. The timely correction of any imbalances or
anomalies in the working of the system or its rules is critical to
ensure that the WTO works impartially and fairly in the
interest of all its Members and not just a select few.
I am confident that India will be able to persuade the WTO
Membership to appreciate the sensitivities of India and other
developing countries and see their way to taking this issue
forward in a positive spirit. This would be a major contribution
by this institution towards 'meeting the global challenge of
food insecurity and would convey -a strong message that .the
WTO is genuinely committed to the cause of development.

APPAREL

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ANNUAL CONFERENCE OF STATE TEXTILES MINISTERS

DELIBERATES NEW TEXTILES POLICY, SITP, AND
PROMOTION OF HANDLOOM HANDICRAFTS

fter

the

new

Government took
over in May, 2014,

Conference of State Textiles

Ministers was held for the first
time on 24.9.2014. The
Conference was chaired by
Shri Santosh Kumar Gangwar,
Honble Minister of State for
Textiles (I/C). In response to
the invitation, Hon'ble
Ministers looking after Textiles
matters of 16 States, namely
Smt Yashodha Raje Schindia
(Madhya Pradesh), Shri K.T.
Rama Rao (Telengana), Shri
Shiv Kumar Bedia (Uttar
Pradesh), Shri Bhim Singh
(Bihar), Smt Snehangini
Churia (Odisha), Smt Pranati
Phukal (Assam), Shri Babu
Rao Chinchasur (Karnataka),

The Minister of State for Textiles (I/C),

Shri Santosh Kumar Gangwar lighting the lamp
at the Annual Conference of State Ministers of Textiles, in New Delhi on September 24, 2014.

Shri Madan Mohan Mittal

Zero defect - Zero Effect (on environment) which will make

(Punjab), Shri K. Ravindra (Andhra Pradesh), Smt Gokula

Indra (Tamil Nadu), Shri G. Kaito Aye (Nagaland), Shri
Mahadev Naik (Goa), Shri Punnu Lall (Chhattisgarh), Shri
Harish Chandra Durgapal (Uttrakhand), Shri Govindas
Konthoujam (Manipur) and Shri Joseph Lalhinpuia (Mizoram)
attended the Conference and

participated in the

the development participative and inclusive Sabke-Saath,

Sab Ka Vikas for increasing production, export and
generating employment. He appealed to the Ministers of
Textiles in States and Union Territories for working together
and developing the Indian Textile industry on a sustainable
basis

proceedings.
Shri S.K.Panda, Secretary(Textiles) made a brief
Shri Santosh Kumar Gangwar, Honble Minister of State for
Textiles (I/C) welcomed the State Ministers and mentioned

presentation on various Schemes/programmes undertaken

by the Ministry for promotion of Indian Textile Industry.

that the Conference provides an important forum for

interaction, getting considered views and suggestions for

The State Ministers gave their considered views/suggestions

deciding the future course of action for the Indian textile

on various issues relating to promotion of handlooms and

sector in the coming days. He gave a brief account of the

handicrafts, sericulture as well as development of

initiatives taken by the new Government under the dynamic

powerloom, setting up Textiles Parks, Incubation Centres,

leadership of Hon'ble Prime Minister Shri Narendra Modi Ji

Research Institutions, Mega Clusters as well as on State

with stress on Skill, Scale and Speed, 'Make in India and

specific issues. Ministers of the North Eastern States

23

ANNUAL CONFERENCE OF
STATE TEXTILES MINISTERS

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Zero defect - Zero Effect (on environment) which will make

end niche products by linking it with contemporary fashion.

the development participative and inclusive Sabke-Saath,

Further, e-marketing initiatives will be pursued which will cut

Sab Ka Vikas for increasing production, export and

down intermediaries and increase wage earning of the

generating employment. He appealed to the Ministers of

weavers. This would make the handloom attractive to

Textiles in States and Union Territories for working together

younger generations as well.

and developing the Indian Textile industry on a sustainable

basis
Shri S.K.Panda, Secretary(Textiles) made a brief
presentation on various Schemes/programmes undertaken
by the Ministry for promotion of Indian Textile Industry.
The State Ministers gave their considered views/suggestions
on various issues relating to promotion of handlooms and
handicrafts, sericulture as well as development of
powerloom, setting up Textiles Parks, Incubation Centres,
Research Institutions, Mega Clusters as well as on State

Promotion of handicrafts and handloom villages will be linked

up with tourism and traditional handloom weaver/handicraft
artisan villages will be promoted as tourist destinations.
(ii) Setting up on Integrated Textile Parks & Incubation
Centers
Guidelines of the Scheme for Integrated Textile Parks and
Scheme for Incubation Centres will be examined and
amended suitably for meeting the field level needs as
indicated by the State Governments.

specific issues. Ministers of the North Eastern States

requested for provision of adequate assistance and relaxed

(iii) New Textile Policy

norms for meeting the needs of the region. Hon'ble Ministers

National Textile Policy (NTP) was last framed in year 2000.

also gave their views on the draft vision, strategy and action

Given the need for re-drafting the policy in tune with latest

plan prepared by the Ministry.

trends, the Expert Committee (EC) under Shri Ajay Shankar

After detailed discussions, the following points of action were

studied all aspects and submitted a draft Vision, Strategy and

decided:

an Action Plan to scale up investments, production and

employment in this Sector.

(i)

Promotion of Handloom and Handicrafts

Handloom may be promoted with focus on developing high-

24

Suggestions of the State

Governments will be taken into account for preparing the new

textile policy.

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INDIA

PRIME MINISTER LAUNCHES 'MAKE IN INDIA' INITIATIVE

The Government has identified 25 key sectors in which our
country has the potential of becoming a world leader. The
Prime Minister will be releasing separate brochures for these
sectors along with a general brochure. The brochures
covering sectors like automobiles, chemicals, IT,
pharmaceuticals, textiles, ports, aviation, leather, tourism and
hospitality, wellness, railways among others will provide
details of growth drivers, investment opportunities, sector
specific FDI and other policies and related agencies.
Since the new Government took over, a series of initiatives
have been taken to revitalise the industrial sector in general
and manufacturing sector in particular. To mention a few:
PRIME MINISTER LAUNCHING 'MAKE IN INDIA' INITIATIVE

Prime Minister Shri Narendra Modi launched Make in India

initiative on 25th September 2014 from Vigyan Bhawan in
New Delhi. The launch was at national level, state level and in
Missions abroad. The 'Make in India' initiative has its origin in
the Prime Minister's Independence Day speech where he
gave a clarion call to 'Make in India' and 'Zero Defect; Zero
Effect' policy. State Governments, Business Chambers,
Indian Missions aboard are playing an active role in the
launch of the initiative.
The Government is committed to chart out a new path
wherein business entities are extended red carpet welcome
in a spirit of active cooperation. Invest India will act as the first
reference point for guiding foreign investors on all aspects of
regulatory and policy issues and to assist them in obtaining
regulatory clearances. The Government is closely looking
into all regulatory processes with a view to making them
simple and reducing the burden of compliance on investors.
A dedicated cell has been created to answer queries from
business entities through a newly created web portal
(www.makeinindia.com). While an exhaustive set of FAQs on
this portal will help the investor find instant answers to their
general queries, the back-end support team of the cell would
be answering specific queries within 72 hours. A pro-active
approach will be deployed to track visitors for their
geographical location, interest and real time user behaviour.
Subsequent visits will be customised for the visitor based on
the information collected. Visitors registered on the website or
raising queries will be followed up with relevant information
and newsletter. Investor facilitation cell will provide
assistance to the foreign investors from the time of their
arrival in the country to the time of their departure. The
initiative will also target top companies across sectors in
identified countries
The 'Make in India' initiative also aims at identifying select
domestic companies having leadership in innovation and new
technology for turning them into global champions. The focus
will be on promoting green and advanced manufacturing and
helping these companies to become an important part of the
global value chain.

?
The process of applying for Industrial License and
Industrial Entrepreneur Memorandum has been made
online on the e-Biz website 24*7;
?
A vast number of Defence items have been de-licensed;
?
The validity of Industrial license has been extended to
three years;
?
With a view to providing flexibility in working hours
and increased intake of apprentices for onthe job
training, the Government has decided to amend a
number of labour laws;
?
An advisory has been sent to all Departments / State
Governments to simplify and rationalize regulatory
environment which includes:
?
on-line filing of all returns in a unified form;
?
no inspection without the approval of the Head of the
Department, etc.
Recently the Foreign Direct Investment policy has been
liberalized. 100% FDI under automatic route has been
permitted in construction, operation and maintenance in
specified Rail Infrastructure projects; FDI in Defence
liberalized from 26% to 49%. In cases of modernization of
state-of-art proposals, FDI can go up to 100%; the norms for
FDI in the Construction Development sector are being eased.
The government is committed to improving the physical
infrastructure. Development of dedicated freight corridors
and investment in improving our ports and airports are
underway. These corridors would house Industrial
agglomerations along with smart cities. The private sector
would be playing a significant role in these developmental
works.
For the manufacturing sector to take advantage of the
improved physical infrastructure, the need for having a strong
human capital is recognized. Government's effort would be to
equip the working age population with the right kinds of skill so
that the manufacturing sector finds them employable. One of
the first decisions that the new Government has taken is to set
up a separate Department of Skill Development and
Entrepreneurship.

25

PRIME MINISTER LAUNCHES

'MAKE IN INDIA' INITIATIVE

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INDIA

businessmen say that they

would leave India and set up
business elsewhere. The
Prime Minister said this hurt
him, and added that no
Indian business should feel a
compulsion to leave the
country under any
circumstances. He said on
the basis of the experience
of the last few months, he
could say that the gloom has
lifted.
The Prime Minister gave the

THE PRIME MINISTER, SHRI NARENDRA MODI RELEASING THE BROCHURE,

example of the new
AT THE INAUGURATION OF THE MAKE IN INDIA, IN NEW DELHI ON SEPTEMBER 25, 2014. Government's initiative on
The Prime Minister, Shri Narendra Modi, launched the Make
in India initiative with an aim to boost India's manufacturing
sector.
Addressing a gathering consisting of top global CEOs at the
event in Vigyan Bhawan in the capital, the Prime Minister said
"FDI" should be understood as "First Develop India" along
with "Foreign Direct Investment." He urged investors not to
look at India merely as a market, but instead see it as an
opportunity.
The Prime Minister said it is important for the purchasing
power of the common man to increase, as this would further
boost demand, and hence spur development, in addition to
benefiting investors. The faster people are pulled out of
poverty and brought into the middle class, the more
opportunity will there be for global business, the Prime
Minister said. Therefore, he said, investors from abroad need
to create jobs. Cost effective manufacturing and a handsome
buyer - one who has purchasing power - are both required,
the Prime Minister said. More employment means more
purchasing power, he added.
The Prime Minister said that India is the only country in the
world which offers the unique combination of democracy,
demography, and demand. He said the new Government was
taking initiatives for skill development to ensure that skilled
manpower was available for manufacturing. He also referred
to the Digital India mission, saying this would ensure that
Government processes remained in tune with corporate
processes.
The Prime Minister said he had felt a mood of gloom among
India's business community in the last few years, due to lack
of clarity on policy issues. He said he had heard even Indian

26

self-certification of
documents, and said this was illustrative of how the new
Government trusted the citizens. The Prime Minister said
trust is essential for investors to feel secure. Let us begin with
trust; if there is an issue, Government can intervene, he said.
The Prime Minister said trust too can be a transformative
force.
Shri Narendra Modi said development and growth-oriented
employment is the government's responsibility.
The Prime Minister noted that India ranks low on the "ease of
doing business" and added that he has sensitized
Government officials in this regard. He also emphasized the
need for "effective" governance.
To the expression "Look East," the Prime Minister added "Link
West", and said a global vision was essential. He said Mission
Swachh Bharat and "waste to wealth" could lead to good
revenue models for business as well. He referred to his vision
of waste water management and solid waste management in
500 towns across India through public private partnership.
The Prime Minister also spoke of infrastructure of the future
including i-ways besides highways and mentioned port led
development, optical fibre networks, gas grids and water
grids.
The Prime Minister also unveiled the Make in India logo, and
launched the website
The Textiles and Apparel has been identified as the one of the
trust sector. With the following reasons that can attract
investment.
REASONS TO INVEST
India has the second largest manufacturing capacity globally.

PRIME MINISTER LAUNCHES

'MAKE IN INDIA' INITIATIVE
The Indian textile industry accounts for about 24% of the
world's spindle capacity and 8% of global rotor capacity.
India has the highest loom capacity (including hand looms)
with 63% of the world's market share.

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INDIA

Allocation of INR 2000 Million towards the proposed setting

up of mega textile clusters at Bareilly, Lucknow, Surat, Kuttch,
Bhagalpur and Mysore and one in Tamil Nadu.

India accounts for about 14% of the world's production of

textile fibre and yarn and is the largest producer of jute and the
second largest producer of silk and cotton.

Allocation of INR 300 Million towards the setting up of

Hastkala Academy for the preservation, revival and
documentation of the handloom/handicraft sector in PPP
mode in Delhi.

A strong production base of a wide range of fibre/yarn from

natural fibres like cotton/jute, silk and wool to synthetic/manmade fibres like polyester, viscose, nylon and acrylic.

Allocation of INR 500 Million towards the setting up of

Pashmina Promotion Programme (P-3) and a programme for
the development of other crafts of Jammu & Kashmir.

Increased penetration of organised retail, favourable

demographics and rising income levels to drive textile
demand.

The duty-free entitlement for import of trimmings and

embellishments used by the readymade textile garment
sector for manufacture of garments for exports is being
increased from 3% to 5%.

India enjoys a comparative advantage in terms of skilled

manpower and cost of production over major textile
producers.
Abundant raw material and increasing demand for exports to
boost fibre production.
Abundant availability of raw materials such as cotton, wool,
silk and jute.
SECTOR POLICY
Technology Upgradation Fund Scheme has infused
investment of more than INR 2500 Billion in the industry.
Support has been provided for modernisation and
upgradation by providing credit at reduced rates and capital
subsidies.
Scheme for Integrated Textile Parks provides world class
infrastructure to new textile units. To date, 57 Textile Parks
have been sanctioned with an investment of INR 60 Billion. By
2017, 25 more Textile Parks are to be sanctioned.
Integrated Processing Development Scheme for sanctioning
processing parks has been initiated. INR 5 Billion has been
earmarked for this scheme.
Integrated Skill Development Scheme has provided training
to 1.5 Million people to cover all sub-sectors of textiles such
as Textile and Apparel, Handicrafts, Handlooms, Jute and
Sericulture.

Non-fusible embroidery motifs or prints are being included in

the list of items eligible to be imported duty-free for
manufacture of garments for exports.
The list of specified goods required by handicraft
manufacturer-exporters is being expanded by including wire
rolls so as to provide customs duty exemption on import by
handicrafts manufacturer-exporters.
Fusible embroidery motifs or prints, anti-theft devices, pin
bullets for packing, plastic tag bullets, metal tabs, bows, ring
and slider hand rings are being included in the list of items
eligible to be imported duty-free for manufacture of handloom
made ups or cotton made ups or manmade made ups for
export.
Specified goods imported for use in the manufacture of textile
garments for export are fully exempt from Basic Customs
Duty (BCD) and Countervailing Duty (CVD) subject to
conditions that the manufacturer produces an entitlement
certificate from the Apparel Export Promotion Council or from
the Indian Silk Export Promotion Council.
Basic Customs Duty (BCD) on raw materials for manufacture
of spandex yarn viz. polytetramethylene ether glycol and
diphenylmethane 4,4 di-isocyanate is being reduced from 5%
to NIL.
Any of the following two deductions can be availed:

FINANCIAL SUPPORT
KEY PROVISIONS OF BUDGET 2O14-15:
Allocation of INR 500 Million towards the setting up of a trade
facilitation centre and a crafts museum to develop and
promote handloom products and carry forward the rich
tradition of the handlooms of Varanasi.

1. Investment allowance (additional depreciation) at the

rate of 15% to manufacturing companies that invest more
than INR 1 Billion in plant and machinery acquired and
installed between 01.04.2013 and 31.03.2015, provided the
aggregate amount of investment in new plant and machinery
during the said period exceeds INR 1 Billion.

27

PRIME MINISTER LAUNCHES

'MAKE IN INDIA' INITIATIVE
2.

In order to provide a fillip to companies engaged in

manufacturing, the said benefit of additional deduction of

15% of the cost of new plant and machinery, exceeding INR
250 Million, acquired and installed during any previous year,
until 31.03.2017.

TAX INCENTIVES:
R&D INCENTIVES: INDUSTRY / PRIVATE -SPONSORED
RESEARCH PROGRAMMES:
A weighted tax deduction is given under Section 35 (2AA) of
the Income Tax Act.
A weighted deduction of 200% is granted to assesses for any
sums paid to a national laboratory, university or institute of
technology, or specified persons with a specific direction that
the said sum would be used for scientific research within a
program approved by the prescribed authority.
COMPANIES ENGAGED IN MANUFACTURE HAVING AN
IN-HOUSE R&D CENTRE:
A weighted tax deduction of 200% under Section 35 (2AB) of
the Income Tax Act for both capital and revenue expenditure
incurred on scientific research and development.
Expenditure on land and buildings are not eligible for
deductions.

STATE INCENTIVES:
Apart from the above, each state in India offers additional
incentives for industrial projects. Some of the states also have
separate policies for the textiles sector.
Incentives are in areas like subsidised land cost, relaxation in
stamp duty exemption on sale/lease of land, power tariff
incentives, concessional rates of interest on loans,
investment subsidies/tax incentives, backward areas
subsidies and special incentive packages for mega projects.

EXPORT INCENTIVES:
Export Promotion Capital Goods Scheme (PCGS).
Duty Remission Scheme.
Focus Product Scheme, Special Focus Product Scheme,
Focus Market Scheme.

AREA-BASED INCENTIVES:
Incentives for units in SEZ/NIMZ as specified in respective
acts or the setting up of projects in special areas such as the

28

APPAREL

INDIA

North-east, Jammu & Kashmir, Himachal Pradesh &

Uttarakhand.

National Workshop on 'Make

in India' gets underway
Government will undertake more steps to facilitate ease of
doing business as part of the 'Make in India' initiative.
Inaugurating the one-day National Workshop on Sectoral
Perspectives & initiatives: Creating an enabling framework
for stimulating investments for Make in India, Finance
Minister Shri Arun Jaitley said that number of steps have
been taken in the past seven months to facilitate an
investor friendly climate in the country. However,
manufacturing still remains a challenge. Stressing on the
need for manufacturing growth to ensure employment for
youth of the country, the Finance Minister underlined
several initiatives to facilitate ease of doing business in the
country. Entry point has to be eased, initial barriers
lowered and removed, and after entry, enabling
environment has to be created. The Finance Minister
stressed on the need for streamlining the dispute resolution
mechanism. Noting that availability of lands for
manufacturing has to undergo a complex procedure, Shri
Jaitley talked of the plan to remove such bottlenecks and
toensure that our regime is competitive.
The Minister of State (Independent Charge) for Commerce
& Industry Smt. Nirmala Sitharaman termed the National
Workshop as an unique initiative. Nothing of this scale has
been attempted in the recent memory. This National
Workshop is aimed at getting industry and government on
the same platform. Smt. Sitharaman said that discussions
would be held on the results of the recent initiatives and
also for the new initiatives that need to be undertaken to
strengthen the 'Make in India' initiatives. The Minister said
that both Department of Industrial Policy & Promotion and
Department of Commerce have taken concrete steps for
cutting red tape, simplifying rules and delicensing
thebusiness environment.
Eighteen sessions are being held as part of the one-day
workshop in which 25 Ministries under the Government of
India and all the States have come together to converge
and integrate in a professional manner to chart a roadmap
for short and medium term to make 'Make in India' initiative
a grand success.
AEPC also send its recommendation for the workshop.

APPAREL

INDIA

AEPC ORGANIZES A SEMINAR ON THE

AUTHORIZED ECONOMIC OPERATOR
(AEO) FOR THE GARMENT EXPORT TRADE
Chairman AEPC Mr. Virender Uppal welcoming
Shri P K Mohanty, DG, Inspection, Customs during
the seminar on AEO at Apparel House, Gurgaon

real time 24X7 clearances of duty drawback shipping

bills at customs. This facility was announced by the
Govt. on 31.5.2013. Further the Finance Minister, in his
budget speech in July, 2014, extended the facility in 14
more ports. However, the facility is not implemented
fully at ground level.
Chairman, AEPC in his address informed the house that
AEO is not known to a large number of garment
exporters and in view of this, this seminar has become
really informative and important. He said that many
more seminars would be organized in the major clusters
like Tirupur and Mumbai in consultation with DG,
Inspection.

He requested DG, Inspection to provide a

schedule for organizing the seminars at Tirupur and

Mumbai.
AEPC, in association with the office of the Director General of
Inspection, Customs, New Delhi and Central Excise, New

Shri P K Mohanty, DG, Inspection, in his opening remarks

Delhi organized a seminar on The Authorized Economic

thanked Chairman, AEPC for organizing this event.

In his

Operator (AEO) for the garment export trade on

opening address, he said that after 9/11 incidence in USA,

8thDecember, 2014 at Apparel House, Gurgaon.

there has been a greater emphasis on trading in a secured

environment under the trade facilitation.

He said that

Shri Virender Uppal, Chairman, AEPC gave the Welcome

importing countries need to work with those trading partners

Address. In his address Chairman informed that the Indian

in the supplying countries, who are reliable and can

Textile and Clothing industry plays an important role in the

demonstrate reliable and secured supply chain.

Indian economy in terms of its significant contribution to GDP

Mohanty informed that AEO programme is a flagship

(4%), industrial production (14%) and exports (12%). It

programme of the current Government.

Shri

employs nearly 109 million people directly and indirectly.

Apparel Sector alone contributes 11.22 million in the total
employment of T&C sector. Clothing exports of India
accounted 3.70% share in the global clothing exports in 2013.
Chairman AEPC further said that, with a view to bring the
garment exporters' concerns to the forefront, AEPC has
organized this Seminar with the senior Customs officials and
garment exporters. He said that it is a rare opportunity, where
the Government has come to the Industry. There should not
be any doubt in the mind of garment exporters that
Government is very much concerned about our industry.
Chairman, AEPC in his opening remarks also informed about
the major concerns of the garment export industry such as

Chairman AEPC Mr. Virender Uppal along with

other Exporters at the Seminar on AEO
29

APPAREL

AEPC ORGANIZES
A SEMINAR

INDIA

the suggestions are invited from the apparel export

industry as to what are the benefits,
which can be added in the AEO programme. He also
said that the industry can give recommendations about
the benefits, which can be given under TIER 1, TIER 2
and TIER 3 programmes.
Shri Virender Uppal, Chairman, AEPC thanked DG,
Inspection for giving his valuable insight about the AEO
Programme.
Thereafter, Sh. Rajeshwar Singal, Addl. Director (AEO),
Sh. K.J Chaudhary, ADG and Sh. S.K Mohapatra, Asst.
Director gave Power Point Presentation.
CHAIRMAN AEPC WITH DG INSPECTION AND HIS TEAM

Describing the progress of this progrramme in India, he said

that around 40+ applicants have applied for AEO certification,
out of which 16 entities have been given certifications. He
further said that Germany and Netherland are well ahead in
this programme with around 16000 entities coming forward
for such initiative. He further elaborated that in USA, there is
a programme viz. 'TIER 3 Operator', which is equivalent to
AEO progrramme and has 327 entities already certified. He

already placed Circular No. 28/2012-Customs dated

16.11.2012 on the website of CBEC. The circular provides for
the detailed programme contours. The website also has a
Model Application Form, which can be referred by the
garment exporters.

[Copy of the Circular No. 28/2012-

Customs dated 16.11.2012 was also distributed amongst

participating exporters.]

The presentation provided the

various timelines for making the application.

further elaborated that Malaysia has around 200+, Indonesia

Chairman, AEPC informed DG, Inspection that

300+, Uganda 10+ AEO certified entities. Shri Mohanty

Mathur, ASG shall be coordinating from the side of AEPC in

further elaborated on the benefits of the AEO programme,

such a manner that preliminary information, pertaining to

Shri Vijay

which are as under:

AEO programme, to our garment exporters can be provided.

(I)
(ii)
(iii)
(iv)
(v)
(vi)
(vii)

DG, Inspection agreed to provide all the necessary support

Low data requirement

Low physical inspection
Reduced requirement of Bank Guarantee
Reduced lead time for the clearance of shipment
Deferred payment of taxes
Clearance of goods (premium)
Use of data of an entity from the data reserved for
multiple works in customs

He said that, at present, atleast 3 benefits, out of 7 listed

above, are to be extended under this AEO programme.

30

In the

presentation, it was communicated that the Govt. has

and familiarization to the AEO Programme.

Thereafter, the House was opened for the Question and
Answer Session.

The major queries were around the

benefits of the scheme, application fee etc. It was clarified by

the DG, Inspection that the programme is entirely free. In
addition to this, services of the officials under the DG,
Inspection could also be taken by the exporters and all kinds
of help will be provided.
Thereafter, Shri Vijay Mathur, ASG proposed Vote of Thanks.

DG, Inspection said that the role of the Directorate is to re-

He thanked Shri P K Mohanty, DG, Inspection, Sh. Rajeshwar

energize the programme, which provides double benefit to an

Singal, Addl. Director(AEO), Sh. K.J Chaudhary, ADG and

entity, not only in the exports but also in imports by the

Sh. S.K Mohapatra, Asst. Director and the entire AEO team

partner countries. He further said that the AEO programme

for a very elaborative presentation on the new subject under

operates under Mutual Recognition Arrangements between

trade facilitation.

customs' organization of the partner country.

Chairman, AEPC, Shri H K L Magu, Chairman (F&B), Shri

India has

ASG thanked Shri Virender Uppal,

already made arrangements with Hong Kong and

Ashok Logani, Board Member, AEPC and all the participating

discussions are being held with other countries. He said that

garment exporters for their presence.

APPAREL

INDIA

VISIT BY TEAM UNIQLO TO

APPAREL EXPORT PROMOTION COUNCIL
Under the initiative of Ministry of Textiles, a delegation from
UNIQLO comprising Mr. Yoshihiro Kunii (Group Executive
Vice President (Production), Mr. Shinya Katoh, (Senior
Director, responsible for south Asia production), Mr.
Kandaswamy Jothi

(Director, country manager of

have all the capabilities to service any apparel brand.

He further said that the global exports in 2013 as per the WTO
as per the latest data was US$460 billion, which has
registered a growth of 8.9%, whereas India in the period (April
September, 2015) has registered a growth of 17.6%, which

Bangladesh office) had an interactive meeting with 17 leading

is much higher than the world. He further said that India's

garment exporters at AEPC's HO, Gurgaon. Smt. Sunaina

RMG exports to Japan have lot of potential to grow since their

Tomar, IAS, Joint Secretary (Exports), Ministry of Textiles was

imports are around US$31.6 billion and now UNIQLO is on

also present in the function.

board with India.

Shri Virender Uppal, Chairman AEPC gave the welcome

Smt. Sunaina Tomar,IAS, Joint Secretary (Exports), MOT in

address. He mentioned that India has a strong raw material

her address informed the Japanese delegation and

base of wide range of fibres/yarn. India has presence of

participants that under the 'Make in India Campaign'

complete value chain from fibre production to value added

launched by our Hon'ble Prime Minister, the industry is

garments and fashion and accessories industry. India has

moving towards zero defect manufacturing; further the

vast pool of inexpensive trained manpower from shop-floor to

garment industry is now ready for fostering new partnership

managerial level and has best design & product capabilities.

with UNIQLO. She requested representatives of UNIQLO to

India has flexibility in production and more importantly

set a definite time line for bringing this partnership early. She

Government's special support to the apparel sector, due to its

assured the help of Govt. in further facilitation and assistance

employment generation potential will give boost to the

towards capacity building & partnership with garment

garment industry.

exporters.

He said that Indian garment exporters

31

APPAREL

VISIT BY TEAM
UNIQLO TO AEPC

INDIA

CHAIRMAN AEPC WELCOMMING SMT. SUNAINA TOMAR JS EXPORTS, MOT

Thereafter, Mr. Yoshihiro Kunii, UNIQLO gave a presentation.

daily life garments, made for all segments of the society.

The summary of which is given below:-

UNIQLO would like to accomplish through high quality

I)

premium material with modern (timeless) basic items.

In his presentation, he explained the journey of Fast

Retailing Company, so far, their current business and

IV) Mr. Kunii further said that UNIQLO has a fundamental

how they are placed in the world. [UNIQLO is the 4th

policy for working with manufacturers. He explained that

largest brand after Inditex (Zara), Hennes & Mauritz and

partnership with select vendors, on long term basis with

Gap]. He said that currently UNIQLO's business is

robust factory policy, production plan, business process

around US$14 billion and it has achieved a growth of

and strong human resource are pre-requisite for work.

20% and the company is targeting for the year 2015 a

business of US$16 billion with 16% growth. He further

V) He further explained that currently UNIQLO handles 1

billion pieces and wish to take this to 5 times by 2020. He

said that by 2020, the company would target to achieve a

mentioned that currently, the manufacturing is in Asia

business of US$ 50 billion.

II)

and the marketing is also largely in Asia, however, the

As regards the number of stores are concerned,

company policy is to source and market garments

UNIQLO has 1485 stores as on 31st August, 2014,

globally.

spread over 16 countries. Major presence is in Japan

with 852 stores, China 306 stores, Korea 123 stores,

VI) He said that as far as countries are concerned, India is

considered to be the most potential country for sourcing.

Malaysia 21 stores, Taiwan 46 stores, USA 25 stores and

in EU, they have 46 stores. He further said that they wish

VII) Thereafter, during the interaction session, Mr. Yoshihiro

to expand 100 stores each year in China and the

Kunii, Mr. Shinya Katoh and Mr. Kandaswamy Jothi

company's target is to have 1000 stores in next 10 years.

provided further inputs, which are summarized below:-

Similarly, in USA, UNIQLO's plans are to add 100 stores

in a period of next 2-3 years. In EU, they have plans to

i)

open 200 stores in two years.

III) About the product, UNIQLO would like to emphasis on

32

UNIQLO wish to open office in India in 2-3 years time

frame.

ii)

UNIQLO would like to be a part of Indian garment

VISIT BY TEAM
UNIQLO TO AEPC

APPAREL

INDIA

CHAIRMAN AEPC INTERACTING WITH UNIGLO REPRESENTATIVE

industry. Mr. Kunii said that the
profiles of all the garment participants
are available with him, for which he
thanked Chairman - AEPC. He said
that they would go through the profiles
and would like to start contacting the
manufacturers in due course of time.
iii) UNIQLO functions on zero defect
sales to its customers.
iv) On a query from one of the
participants, he said that UNIQLO can
work initially with those manufacturers,
who have a production capacity of 1
million pieces. They would start
with smaller numbers but would like to
have up to 30% share of the production capacity of the
manufacturers.
v)

working.
Mr. Kunii thanked AEPC for the wonderful support in
organizing the interactive meeting with AEPC and also

factories, vertical as well as by nominating fabric

the good logistic arrangements for the delegation.

To conclude, Shri Sudhir Sekhri, Chairman Export

suppliers from outside India. Mr. Kunii informed the

Promotion, AEPC proposed vote of thanks, with an

He explained that they would work with both kinds of

House that they do not have their own manufacturing at

assurance to the visiting Japanese delegation that

the moment.

industry is willing to partner with UNIQLO as per the

UNIQLO's policy at the earliest.

vi) Answering a query from a participant about buyback

arrangement, he said that they are open for any model of

******

33

APPAREL

INDIA

AEPC WELCOMES THE LAUNCH OF

INDIAN TRADE PORTAL

SMT. NIRMALA SITHARAMAN LUNCHING INDIAN TRADE PORTAL

A web portal designed to facilitate India's exporters and
importers was inaugurated by The Minister of State
(Independent Charge) Commerce and Industry Smt. Nirmala
Sitharaman, in New Delhi on 8th December, 2014. It is a
User-Friendly Trade Portal", developed and maintained by
FIEO.
Shri Virender Uppal, Chairman AEPC, has welcomed the
move. In his statement Chairman remarked, "The Portal
offers Indian exporters and importers respectively a
comprehensive guidance for concluding international trade
transactions successfully with a specific focus on Indian
traders trading with SAARC, ASEAN and top 25 export/import
destinations (as per value terms)," It is a dynamic concept
and will be a useful interface for dissemination of trade related
information and help in boosting exports, he added.
The portal provides user-friendly access to relevant
information for import and export of different products in
digital form, provides an access to an online database of
current MFN Tariff, Preferential Tariff of top 25 destinations

Commerce.
Shri Virender Uppal, lauded the launch of the trade portal,
viewing that lack of availability of trade information at one
place was a key concern and development of the
comprehensive trade portal would help in expansion of trade
and will encourage new entrepreneur to enter in the field of
exports.
The Trade Portal would provide a framework which can be
improved with expansion of countries under it and inclusion of
information about the market size of a particular product of
exports to a particular destination and share of major
competitors in the particular destination.

INFORMATION BULLETIN
ON THE INDIAN TRADE
PORTAL

with which India has entered into regional or bilateral

agreements requirements of various products that an Indian
trader requires for ensuring successful trade transactions.

?
The Indian Trade Portal (www.indiantradeportal.in) is a
User-Friendly Trade Portal, developed and maintained
by FIEO.

The Portal also provides a search criteria based on HS Code

and/or product names.

?
It was inaugurated by The Minister of State (Independent
Charge) Commerce and Industry Smt. Nirmala

The endeavour is to expand it to other trading partners and

Sitharaman, in New Delhi, today.

the task of maintenance of Trade Portal will be carried out by

FIEO under the overall guidance of the Department of

34

?
The portal lists MFN and preferential tariff of Indian

AEPC WELCOMES THE LAUNCH

OF INDIAN TRADE PORTAL

APPAREL

INDIA

products in 25 countries covering major Indian markets,

information like: Export Promotion Bodies of India;

ASEAN+2, SAARCand the member states of the

Export Promotion Councils Of India; Commodity Boards

Eurasian Economic Commission.

of India; Public Sector Undertakings; Other

?
It also informs exporters about the Sanitary and
Phytosanitary Measures (SPS) and Technical Barriers to
Trade (TBT) measures of India's major 25 markets have
also been covered. Cross referencing of ITC-HS codes

Organisations; International Trade Bodies; Directorate

General of Foreign Trade; Central Board of Excise and
Customs; Acts; Trade Stats, etc.
?
The category listing the Foreign Buyers has details on

between countries has also been added to facilitate easy

the: Importing Countries' Tariff for India; Find Indian

tariff retrieval and comparison.

Suppliers; Indian Industry Capability; Visit India.

?
The web portal lists information top 25 Countries' Import

?
It also assists exporters by frequently asked questions

tariff for Indian Products the search can be made by both

and updates them on the upcoming events as well as

HS code and Tariff.

latest trade related news.

?
It also lists the Key Markets and Export Destinations
commodity wise to help the exporters.
?
For Exporters the Indian Trade Portal has details on the
areas like: How to Export; Importing Countries' Tariff for
India; Non Tariff Measures; Import Tariff of India; Export
Markets; Foreign Trade policy; Export Promotion
Schemes; Banking Regulation Governing Exports;
Drawback Schedule; Customs Manual; etc

?
Government of India has been taking various steps
towards boosting its trade with the rest of the world by
adopting policies and procedures which would help to
increase and facilitate both exports and imports with the
other countries of the world. To facilitate and thereby
increase external trade activities with the rest of the
world, the Department of Commerce, Government of
India has developed this web portal.

?
Under the heading of the Resources it has listed

****

pparel Training & Design Centre (ATDC) signs MOU

with Directorate General of Employment & Training
(DGE&T) to boost skills in Fashion, Garment Sectors

ATDC signs MOU Awith Directorate General of Employment & Training (DGE&T)

In an attempt to reduce the growing

gaps between skilled man power
requirements and availability,
Directorate General of Employment
and Training (DGE&T) and Apparel
Training and Design Centre, Gurgaon
(ATDC), signed a Flexi MoU
(Memorandum of Understanding) at
Shram Shakti Bhawan, New Delhi on
9th December 2014 for skill
development in garment and fashion
sector. The MoU was signed between
Mr. Alok Kumar (IAS), Director
General, DGE&T and Dr. Darlie
Koshy, DG&CEO, ATDC

35

APPAREL TRAINING &

DESIGN CENTRE

APPAREL

INDIA

Speaking on
the occasion,
Chairman of
AEPC

M r.

Virender
Uppal said
There is an
a c u t e
shortage of
s k i l l e d
workforce at
every level
and this MOU
will help to
address this
shortage in a
significant
manner.

CHAIRMAN AEPC MR. VIRENDER UPPAL, HARI KAPOOR, VICE CHAIRMAN ATDC AND DG ATDC AFTER SIGNING OF THE MOU.

Hari Kapoor

DGE&T comes under Ministry of Labour and Employment,

GoI. It implements the Skill Development Initiative Scheme
(SDIS), which is a Centrally Sponsored scheme to provide
vocational training, test and certify people to improve their
employability and gain employment.
ATDC would provide training and facilitating employment
after necessary assessment in coordination with DGE&T.
This Flexi MOU agreement aims at imparting employment
oriented training to the youth on National Level. The MOU
outlines the commitment of both the parties to enter into joint
initiatives to offer specific vocational training programs as per
the skills needed for the job and demands of the industry to
train particularly youth & women.

W h e r e M r.

suggested that under the MOU, customized courses can be

launched in partnership with large apparel export houses and
leading domestic manufacturers.
This MOU will compliment DGET and ATDC capabilities to
reach and achieve a common goal of skilling India.
Announcing support from the ATDC, DG-CEO Dr. Darlie
Koshy said, We are thankful to Government of India for
choosing us as the proud partner to implement the Skill
Development Initiative Scheme (SDIS). We will leave no
stones unturned to impart necessary skills to empower the
students which would help them in getting job and starting
their own business. Special emphasis would be given to
impart soft skill and communications skills to groom the

On the occasion, Mr. Alok Kumar (IAS) DG, DGE&T said, I

36

trainees. He said the MOU will help in 3 ways, firstly, it will cut

am very happy with the facilities and infrastructure at ATDC. I

short many impediments in nationwide implementation of the

am confident that ATDC will become a breeding ground for

skill based programs. Secondly, it will focus on changing

skilled man power in fashion and garment sector. I wish them

technology being incorporated in courses and lastly more

all the best wishes and assure our full support. He

focus on longer duration program with support of DGE&T by

emphasized the need to launch new programs which are

twinning with industry inputs Mr. Alok Kumar and Dr. Darlie

required by the industry.

Koshy expressed satisfaction on the ongoing schemes and

The signing of the MoU was witnessed by Mr. Virender Uppal

assured of their strong support to various new programs

Chairman, AEPC, Mr. Hari Kapoor, Vice-Chairman, ATDC,

being devised by the DGE&T and ATDC. Dr. Darlie Koshy

Mr. H K L Magu, Chairman (F&B) Senior Officials of DGET

added that ATDC with 200 centres has the capacity to train

including R L Singh, DDG, Mr. Nijhawan, DT and others from

50000 per annum in short term and 10000 in longer duration

ATDC &DGE&T.

courses.

APPAREL

INDIA

SECRETARY (TEXTILES) VISITS AEPC

Dr. S. K. Panda IAS, Secretary, Ministry of Textiles,

Government of India visited Apparel Training & Design Centre
(ATDC) on 6th December, 2014. Mr. Virender Uppal,
Chairman AEPC, Shri Sudhir Sekhri, Chairman EP, Shri Hari
Kapoor Vice Chairman ATDC, Shri H K L Magu, Chairman
(F&B), SG, AEPC, Dr. Darlie Koshy, DG & CEO ATDC & IAM,
along with other EC / BOG members were present during his
visit.
Chairman AEPC applauded the Government effort to reach to
the Industry. During the interaction Mr. Virender Uppal
thanked Secretary Textiles who came to visit the AEPC along
with ATDC and IAM. He also took the industry visit and also
had discussion with the Members of AEPC. It was a rare case
of Government reaching to the Industry. During the course of
his visit issue like: liberalisation of procedure for importing

other initiatives taken by ATDC.

During his visit Dr. Panda, embarked on a tour of the ATDC
Gurgaon centre, looking the state-of-art-infrastructure
including Garment Construction Lab, Pattern Engineering
Lab, CAD & IT Lab, National Placement Office, Resource
Centre and machinery used to create a skilled workforce for
the rapidly growing export and domestic sectors of the
garment industry.
While addressing Julferkar Ali Bhutto, winner selected for
national level competition prelims to World Skill 2015 at
Brazil Dr. Panda said We may also plan to open a centre in
Sant Nagar, U.P. from where Julferkar belongs so that many
more (Julferkar's) can come forward to enhance their skill and
earn a sustainable living.

garment which is not produced in the country, liberalisation of

He further stated that new ideas and strategies for promoting

labour laws for meeting requirements of seasonal nature of

skills for livelihood in North East India.

the Industry, continuing the 3% interest subvention and

setting industry for manufacturing fabrics which are not
produced in the country, etc came up for discussion.

Dr. S.K. Panda then spent valuable time at ATDC Juki

Innovation lab which is a path breaking effort, and a platform
from where industry and academia can focus on showcasing

During his visit to ATDC National Head Office he interacted

and demonstrating leading edge technologies in apparel

with NHO Officials and exchanged his views about the ISDS

manufacturing and carrying out 'Research' a key word in

SMART Project Implementation, Placements activities &

'SMART' with design and Innovation .

37

APPAREL

SECRETARY (TEXTILES)
VISITS AEPC

INDIA

RICHA GLOBAL EXPORTS PVT. LTD.

SECRETARY (TEXTILES) VISITS ATDC

38

APPAREL

INDIA

AEPC PARTICIPATES IN AUSTRALIA

INTERNATIONAL SOURCING FAIR

After commendable success of Australia International

Sourcing Fair (AISF), the Council is once again participated in
AISF with FIEO, where a 'Brand India' pavilion was made
having Apparel & Textiles exhibitors. This three day event will
attract Trade visitors from all over Australia and New Zealand.
The inauguration of AISF was done on 18th Nov, 2014 by Mr.

ABOUT AUSTRALIAN
I N T E R N AT I O N A L
S O U R C I N G FA I R :

Harvey Stockbridge, Managing Director, Informa Exhibitions,

Australia in the presence of DG, FIEO, SG, AEPC, Shri Vijay

The AISF is the only textile and clothing exhibition for the

Ahuja, EC Member, AEPC, Chairman, HEPC, Mr. Kazi Imtiaz

Australia and New Zealand region. It provides an ideal

Hossain, High Commissioner of Bangladesh. The

networking platform for the buyers and sellers besides giving

inauguration was attended by 50 persons including buyers,

exhibitors the opportunity to showcase a wide range of

exhibitors, organizers etc.

The inauguration of India Pavilion was done on 18th Nov,
2014 at 12.30 pm by Mr. Harvey Stockbridge, Managing
Director, Informa Exhibitions, Australia SG, AEPC and Shri
Vijay Ahuja, EC Member, AEPC and DG, FIEO
Ms. Manika Jain, CG, CGI, Melbourne had visited the fair on
20th Nov, 2014. She had interacted with all the participants of
India Pavilion

products from textile, fashion clothing and home interiors to

other related products. For more details about the Fair, you
may visit the event website: www.sourcingfair.com.au
Considering that India and Australia are at an advanced stage
of negotiations for a Free Trade Agreement and also with
Australian buyers wanting to reduce their over dependence
on China, this Fair provided the right opportunity for the Indian
exporters to tap into the Australian clothing market.

39

AEPC PARTICIPATES
IN AUSTRALIA

BENEFITS OF EXHIBITING AT THE

'BRAND INDIA' PAVILION IN AISF:

APPAREL

INDIA

PRODUCT PROFILE:
The Australian International Sourcing Fair is the premiere
sourcing event in Australia and New Zealand. It includes a

Exhibiting at the 'Brand India' pavilion in AISF gave an

opportunity to place your business in front of thousands of
qualified visitors including department stores, retail chains,
importers, wholesalers, brand-owners, designers and
agents.

diverse range of products including:

Knitwear, Ready Made Garments, Fashion Accessories,
Swimwear, Sportswear, Uniforms, Lingerie And Intimate
Apparel, Couture & Special Occasion, Work wear, Urban
Wear (Street wear), All types of Fabrics, Home Textiles,

Indian participants took advantage to tap this huge US$

Denims, Yarns, Industrial fabrics, Handloom products,

5.61 billion Australian apparel market. India's apparel

Handicrafts, Silk, Jute, Millinery And Headwear, Leather,

exports to Australia in 2012 were around US$ 103 million.

Embroidery, Handbags, etc.

Shri Puneet Kumar IAS along with DG FIEO Shri Ajay Sahai and other dignitaries during the AISF.

40

APPAREL

AEPC PARTICIPATES
IN AUSTRALIA

INDIA

PRODUCT PROFILE:
1

Name of the Project

Fair/BSM/Delegation
- Place and Date

Timings
Number of foreign
participating countries

Australia International Sourcing Fair

18-20 November, 2014
Entrance: Door 7
Melbourne Convention & Exhibition Centre
2 Clarendon Street, Southbank VIC 3006, Australia
18th Nov, 2014: 10 am to 5 pm
19th Nov, 2014: 10 am to 5 pm
20th Nov, 2014: 10 am to 4 pm
15 Countries exhibited their products.

Objective of our participation

(Trade Promotion / Exploratory)

To promote export of Readymade Garments and

fashion accessories from India to Australia

- AEPC PAVILION:

There was no AEPC pavilion. FIEO was the

main organizer.

- Space occupied

315 SQM comprising 35 booths of 9 SQM each

Blouses, Skirts, Childrenwear's, Shirts, Scarves,
Stoles, Shawls, Sportswear, Muffler, Menswears,
Bathrobes & Fashion Jewelry, T-shirts, polo shirts etc.

- Product categories of display

on which emphasis was laid.
Number of participants & Reps

35 booths space. Out of the 35 booths of AEPC,

M/s Vemb Lifestyle Pvt Ltd, Mumbai and M/s Boun Fashions,
New Delhi did not attend the show.

BUSINESS
(indicate product of interest)

The buyers showed interest in buying Women's wear,

knitted T-shirts, home furnishing, sports goods,
woven gents shirts, woven ladies wear, scarves & shawls etc.

a) Value of orders booked

b) Value of orders under negotiation
c) Total

US$ 123000
US$ 479000
US$ 602000

Footfall

The buyer's footfall was good and more than last edition,
as confirmed by fair authority.
There were more than 1000 visitors on each day of the fair.

41

APPAREL

INDIA

BUYER SELLER MEET HELD AT BARCELONA AND

MADRID FROM 4 - 9 SEPTEMBER, 2014
leading apparel importers at the time of
inauguration - by inviting them through
Embassy so that they will attach priority
and to attend the show. This will also send a
message on the scheduled BSM and may
reach to many.

BSM MADRID INAUGURATED

The show in Madrid was formally inaugurated by HE Shri

Vikram Misri, Ambassador in the presence of all participants
and Dy.Chief of Mission Shri Biraja Prasad and delegation
members. Shri H K L Magu leader of the delegation and Shri
Lalit Thukral Member of the delegation have welcomed the
Ambassador and Dy.Chief of the Mission.
After the inauguration, as desired by the Delegation members
- Ambassador apprised the participants about market
potential in Madrid and advised the delegation members to
un-lock the areas and find ways to sort out the issues if any to
increase our share in this market. Delegation members also
had a varied discussion with the Ambassador and the Dy.
Chief on how to mobilize more visitors to the BSM and to
increase trade share.
Shri Prasad, Dy. Chief had
suggested to write to all
associated importers
association through Embassy
and work out a publicity plan
duly interacting with the
Embassy. Also he suggested
to obtain opinion on selecting
the PR agency based on their
technical strength in
mobilizing the visitors apart
from working out with
Embassy on how to mobilize
the more apparel buyers to
visit the show - if possible by
organizing a get-together of

42

During discussion Shri Lalit Thukral briefed

the Ambassador on ensuing Textrend show
in India and requested to look into the
possibilities of inviting CEO of any lead
Brand to inaugurate this Textrend Show in
India. He also apprised the Ambassador
on providing hospitality including Air travel
to lead buyers to attend this Tex trend
show. Ambassador appreciated AEPC for all its promotional
efforts being undertaken to promote our apparel exports. He
also assured all efforts from Embassy side to make the
ensuing BSM in Spain a successful and business oriented
event.
Shri H K L Magu also briefed the Ambassador
on efforts
that AEPC is undertaking to promote our Apparel Exports to
non-traditional market - mostly to LAC, Japanese and South
African markets apart from Europe and USA which are our
traditional markets.
As per report from PR agency around 230 buyers have
confirmed their attending the event. Today 38 companies
represented by 58 persons have visited the show.

SHRI VIKRAM MISRI, AMBASSADOR IN THE PRESENCE OF ALL PARTICIPANTS AND

DELEGATION MEMBERS. SHRI H K L MAGU LEADER OF THE DELEGATION AND
SHRI LALIT THUKRAL DURING THE INAUGURATION OF BSM
BARCELONA.

APPAREL

BUYER SELLER
MEET - SPAIN

INDIA

Name of the Project

Fair / BSM / Delegation
Place and Date

Buyer Seller Meet Spain

4th - 5th Sept., 2014 in Barcelona
8th - 9th Sept. 2014 in Madrid

Number of Indian Participating Companies

29 Companies

Objective of our participation

(Trade Promotion / Exploratory)

To promote export of Indian Clothing & Fashion Accessories to

Spain

Product categories of display on which

emphasis was laid

Women's Wear, Men's Wear, Knitwear & Children Wear,

Scarves, Stoles and bags.

Business Interest Shown By Buyers

(Indicate Product of Interest)

Representatives from Stores & from leading brands of Indetex,

Confecciones Group, Desigual, Mango, El Corte Ingles & other brands
have visited the show and shown interest for sourcing Children wear,
Stoles, Scarves, value added Women's wear and Men's shirts

Number of visitors to the BSM

In Barcelona - 87 companies represented by 119 persons

In Madrid
- 81 companies represented by 147 people
(As registered at reception desk)

Number of VIP's visited the BSM

F
The Delegation Members had varied discussion with
Shri. Vikram Misri, Hon'ble Indian Ambassador to Spain
and Shri. Biraja Prasad, Dy. Chief of Mission, EOI on
market trends and opportunities to increase our exports
to Spain.
F
The Ambassador has appraised the delegation
members as well as the participants that Spain is very
potential market for Indian apparels and recovering from
its economic slowdown. Hence definitely there will be
ample opportunity for our business in this market.
F
He also suggested to workout the wayout to mobilize

more apparel buyers to visit the show. In this path

Embassy will cooperate to make the BSM more
successful in generating more business.
F
If possible a get - together of leading apparel
importers be organised at the time of inauguration.
F
Meeting the related local Apparel Associations by
the delegation members will also help.
F
Prior advertisement in the leading local news
papers. So that message on the scheduled BSM
reaches to many.

43

APPAREL
Chairman AEPC Mr. Virender Uppal, Chairman EP Shri Sudhir Sekhri,
Dr A Sakthivel, EC Member along with Shri Rakesh Vaid EC Member
at MAGIC Fair, Las Vegas USA.

INDIA

AEPC
PARTICIPATES
IN
SOURCING
AT
MAGIC,
LAS VEGAS USA

OURCING at MAGIC is North America's largest,

tens of thousands of men's, women's and children's apparel,

most comprehensive sourcing event, reflecting the

accessories and footwear retailers.

fashion supply chain at its most complete. Offering

unmatched access to over 40 countries representing the

world's most important markets, SOURCING at MAGIC
showcases more than 1100 apparel, accessories and
footwear resources, conveniently merchandised by country
and category: contract and original design manufacturers;
fabric, trim and component suppliers; and service and
technology providers. The India Pavilion was inaugurated by

The Sourcing Zone is a convenient space for retail

buyers,global importers, licensees and brands to meet and
conduct business with offshore manufacturers like India and
contract suppliers from the international manufacturing
countries.

USA APPAREL INDUSTRY

Mr. Virender Uppal, Chairman-AEPC in the presence of Sh.

Sudhir Sekhri, Chairman (EP); Dr. A. Sakthivel, EC MemberAEPC; Sh. Rakesh Vaid, EC Member and the exhibitors.
Exhibitors from worldwide leaders to local U.S. suppliers
build business through exposure to thousands of sourcing
executives, designers, merchandising managers and private
label buyers.
MAGIC connects exhibitors to the global purchasing power of

44

USA is the largest importer of garments with

imports of over USD 83 billion. India's garment
export to USA is USD 3410 million during 2013,
which amounts to around 4.1 % of USA's total
garment imports from World.

AEPC PARTICIPATES IN SOURCING

AT MAGIC, LAS VEGAS - USA

APPAREL

INDIA

THE SNAPSHOT OF AEPC PARTICIPATION IS GIVEN BELOW;

1

Name of the Project

Fair/BSM/Delegation
Place and Date

Sourcing at MAGIC
Las Vegas Convention Center
South Hall, Level II / First Floor
Las Vegas
17-20 August, 2014

Number of foreign
participating countries

31 Countries exhibited their products

[Bangladesh, Brazil, China, Colombia, Ecuador, Egypt,
EL-Salvador, England, Ethiopia, Guatemala, Haiti, Honduras,
Hong-Kong, India, Japan, Kenya, Lithuania, Mexico, Magnolia,
Nigeria, Pakistan, Peru, Portugal, South-Korea, Spain, Taiwan,
Thailand, Turkey, UAE, USA, Vietnam}

Objective of our participation

(Trade Promotion/Exploratory)

To promote export of Readymade Garments and fashion

accessories from India to USA and Canada

AEPC PAVILION:
Space occupied
Product categories of display on which
emphasis was laid.

At two separate locations. Garment & Accessory

7100 Sq. ft
Blouses, Skirts, Childrenwear's, Shirts, Scarves, Stoles,
Shawls, Sportswear, Muffler, Leather Belts Menswears,
Bathrobes & Fashion Jewelry, T-shirts, polo shirts etc.
70 Booths + one booth for AEPC

Number of participants & Reps

BUSINESS
(indicate product of interest)

The buyers showed interest in buying Womens wear, T-shirts,

fashion jewelry, woven gents shirts, woven ladies wear,
scarves & shawls etc.

a) Value of orders booked

b) Value of orders under negotiation
c) Total

US$ 12.67 Million

US$ 17.78 Million
US$ 30.45 Million

Value of exhibits sold

Nil

10

Footfall

The buyer's footfall was less than expected and was quite
less as compared to previous edition of Magic fair.
Similar was the situation in other country pavilions.
The buyers' footfall, particularly in last row was reported by
the participants as Poor.

11

Number of VIP visitors

The India Pavilion was inaugurated by Mr. Virender Uppal,

Chairman-AEPC in the presence of Sh. Sudhir Sekhri,
Chairman (EP); Dr. A. Sakthivel, EC Member- AEPC;
Sh. Rakesh Vaid, EC Member and the exhibitors.

14

Special comments on any issue which is to be brought to notice urgently.

1. Magic authorities has been requested to give discount of US$ 200 in the next fair. In Aug, 2014 fair, discount of US$ 100
was available.
2. Accessory division should be in next row to main India Pavilion.
3. All Indian exhibitors should be accommodated by Magic authorities via AEPC only.
4. Exhibitors, who had applied directly, were given the corner booths, whereas the corner booths should be added in AEPC
India Pavilion.
5. Chairman, AEPC desired that stall contractors of China, Korea may be contacted and to obtain information about their
engagement. In this connection, ASG met Ms. Zurong Jhang, stall contractor for China. She will send a proposal by the
end of Aug/early Sept, 2014. ASG also met Mr. Tony, stall contractor for Korea & Pakistan. Mr. Tony informed that the
Pakistan has engaged him for a period of 2 years. He informed that Pakistan has not given any guarantee about booths to
be constructed. He further informed that by this way, he will be able to book services well in advance, which become
cheaper. Mr. Tony informed that he will send his proposal by Aug end/early Sept, 2014.
6. Chairman, AEPC also desired that AEPC booth should be as per Taiwan Textile Federation. Booth numbers may be
displayed in such a manner that it may become easier to buyers to locate the particular booth easily. All the booths may be
managed through big wide isle.
7. It was also decided to request fair authority that there should be air conditioning on the set up day during Magic Fair.

45

APPAREL

INDIA

INDIA KNIT FAIR INAUGURATED AT IKF

COMPLEX, TIRUPUR
the huge mob of people coming from the local and foreign
market.
An Exporters Meet was also held at IKFA Exhibition Hall with
Guest of Honor was Shri Sanjay Kumar Panda, Secretary
(Textile), MOT, Govt. of India. The meet commenced with the
Welcome Address given by Dr. A. Sakthivel, Chairman, IKFA
followed by Special Address given by Sh. Virender Uppal,
Chairman AEPC.

Shri S K Panda Secretary Textiles, Mr. Virender Uppal,

Chairman AEPC and Dr A Sakthivel along with the other
dignitaries at the inauguration of IKF at Tirupur.
INDIA KNIT FAIR, TIRUPUR, INDIA, is the India's Biggets
exposition on knitted garments. In the 40th Edition of the IKF
hosted some interesting theme based displays to showcase
the fine creations something new for every ON LOOKER.
World renowned Designers, World-class Manufacturers,
International Buyers, Buying Houses / Agents and Celebrities
from Fashion World graced the occasion. This fair featured
leading knitwear exporting organizations from all over India.
This event is a unique coming together of product and
production facilities at one place. This makes INDIA KNIT
FAIR an ideal platform to build contact, develop business
prospects, work on major tie-ups and partnerships. Shri
Sanjay Kumar Panda, Secretary (Textile), MOT, Govt. of India
Chief Guest of Honor has appreciated the efforts and role of
Exporters of Tirupur for exports across the globe. After the
meeting a Press Meet was also organized at the venue.
India Knit Fair has given a new edge to the Indian as well as to
the international knitting and yarn industries by offering the
related professionals with the best manufactured equipments
and raw materials which will be beneficial and innovative for
the qualified people working in this sector. The exhibitors who
have participated here are highly overwhelmed by observing

The India Knit Fair started with full of energy and enthusiasm
from the exhibitors and all of the exhibitors displayed their
products well before starting the Fair.
The formal inaugural ceremony of India Knit Fair started at
9.00am at IKF Complex and Sh. Sanjay Kumar Panda,

SECRETARY TEXTLE LIGHTING THE LAMP

Secretary, Textile, Govt. of India along with Sh. Virender
Uppal, Chairman, AEPC and Dr. A. Sakthivel, Chairman IKFA
cut the ribbon and lightened the lamp.
44 leading Export Houses from Tirupur, Bangalore,
Coimbatore, Indore, Mumbai, Chennai, Bhopal, Gurgaon,
Madurai, Rajkot, Hoogly and New Delhi participated in the
39th India Knit Fair and showcased their collections.
A wide range of Knitted Garments were displayed in the fair
focusing on Autumn/Winter/Mid-Summer Collection 2015 for
Men's wear, Women's wear and Kid's wear.
During the day total 48 nos. of Buyers/Buying Agents has
visited the Fair.
The participants were informed about the coming events and
promotional brochures of TEX-TRENDS INDIA-2015 were
distributed to generate the maximum participation.

46

APPAREL

INDIA

AEPC'S SUBMITTED ITS PRE BUDGET PROPOSAL

presentation was given by AEPC to Shri Kaushal

Shrivastav, Chairman, and CBEC on 17.12.2014 on
Garment Exports scenario- areas of immediate
concern and proposals for relief under Union Budget 201516. The proposal included direct and indirect taxes as our prebudget recommendations for the year 2015-16. Our major
demand is to include sample fabric up to 2% of FOB value of
exports, within the 5% Export Performance Certificate
Scheme, under Notification No. 12/2014-Customs dated
11.07.2014. Besides this, we have taken a number of
recommendations on service tax, continuation of optional
CENVAT in garment sector and real time implementation of
24x7 customs clearance at our ports. The complete details of
AEPC presentation are available at the AEPC website also.
In this regard, I appeal to all fellow exporters that on
simplification matters, you may please continue giving your
valuable suggestions / inputs, so that AEPC can compile and
send the same to the Government for appropriate
intervention.
Core Issues of Apparel Sector
1.

10% Import Duty Disadvantage in EU Market; 18% in

Canada, which constitute 44% share in India's garment
exports. Our competing countries like Pakistan and
Bangladesh enjoying GSP+ advantages in EU.

2.

Limited fabric availability, particularly in non-cotton

segments and specialty segments-Need to step up
easier supply systems

3.

Limited availability of trimming and embellishments

domestically - Need to step up easier supply systems

4.

No mechanism for refund of state levies, octroi,

electricity duties
etc. on garment exports. Incompetitiveness of our garment export industry due to
high cost of manufacturing on account of loading of such
state levies, octroi and electricity duty etc. not refunded
at all.

5.

All taxes except customs duty get exported in the

absence of All Industry Duty Drawback, in case when
fabric inputs are procured through imports duty free

6.

Nil/partial refund of service tax on account of issue of

nexus of services with exports like services rendered by
Container Freight Station (CFS), Clearing House Agents

(CHA), Terminal Handling Charges (THC) etc.

7.

Service tax on Govt. grants to EPCs, hits even the Govt.

support leading to unnecessary paper work and
transaction. AEPC is an export promotion body and is
liable to pay service tax for providing services to its
members for export promotion activities costly services
to exporters

8.

High cost of pre and post shipment export credit rate,

since the introduction of Base Rate of credit in place of
Benchmark Prime Lending Rate in 2010.

9.

High transaction costs due to time and cost issues

associated with transportation, documentation,
clearance of import and export cargo, ports and terminal
handling. Competitiveness gets adversely affected as
the buyers do factor these points, while offering their
prices

10. Cumbersome Raw Material Imports Procedures (under

advance license), No Mechanism For Refund Of
Drawback, when Only Fabric Is Imported Duty Free.
11. No Incentive For R&D and Engagement Of New
Workmen. Higher delivery period in India, as compared
to other countries due to poor infrastructure. High cost
due to low operative scale.
12. World trade in MMF garment is around 60%, whereas
India predominantly exports only Cotton garments.
Currently, around 80% export from India
is in
Cotton/cotton blend; not able to enhance share in MMF
garments due to high customs duty.
13. High cost of manufacturing due to high interest rates on
export credit; erosion of capital base The proposal
submitted by AEPC is depicted here under:
PROPOSAL - 1
1.

Separate chapter for pre and post shipment export credit

at fixed rate of 7.0% interest and apparel sector to be
included in the priority sector lending. Till such time, in
RMG, sector 3% Interest Subvention Scheme, which
was available up to 31st March 2014, should be
continued .

2.

It should be continued w.e.f. 1.4.2014 onwards.

47

APPAREL

AEPC'S SUBMITTED ITS PRE

BUDGET PROPOSAL

INDIA

PROPOSAL - 2
OUR REQUEST SUBMITTED DURING MAY, 2014
1.

In the last budget, AEPC had requested for amendment

in Export Performance Certificate for duty free import of
trimmings and embellishments. (vide circular no.
12/2012 dated 17/03/2012)
a) To increase the entitlement from 3% to 5%.
b) To increase the limit of sample fabric upto 2% of FOB
value of exports within the 5% rate of entitlement.

1.

Recommendation partially accepted by the

Government
a) Hon'ble Finance Minister has kindly enhanced the
Entitlement
of Export Performance Certificate
(EPC) from 3% to 5% (Notification No. 05/2014Customs dated 11/07/2014):
b) However, instead of amendment in sample fabric
upto 2% of FOB value of exports within the 5% rate
of entitlement, the Government provided sample
fabric upto 1000 metres/exporter/year during Sept,
2014 (Earlier 500 meters/exporter/year)
c) AEPC never recommended for 1000 meters ceiling
fabric/exporter/year

to 30% of additional wages paid to new regular workmen (in

excess of 100 workmen)for workers employed for 300 days ,
subject to condition about nature of employment
Suggested Amendment: employed for 300 days may be
amended to 150 days and workmen should also include
contract/casual workers
PROPOSAL - 7
Ready Made Garment sector currently is in optional CENVAT
chain. This sector should be continued to function Option
Excise Duty Route, and announcement be made for long term
basis, since most of the units are under SSI sector.
PROPOSAL - 8
1.

Full neutralization of state levies, electricity duty, Octroi,

currently charged to exporters but not disbursed under
All Industry Duty Drawback.

2.

Fixation of excise portion of All Industry Duty Drawback

Rate to refund duty suffered on domestic contents in
garment manufacturing, when only the fabric is imported
duty free, under Advance License.

3.

The imported fabric content duty free is around 50%

component of garment and the balance raw
material/consumables are procured duty paid
domestically.

PROPOSAL 5:
AMENDMENT IN SECTION 35 OF IT ACT 1961
Current Position: deductions in respect of expenditure on
scientific research under Sub Section 35 (1) (ii), an amount
equal to one and three-fourth times of any sum paid to a
research association provided,
that such association,
university, college or other institution for the purpose of this
clause

Is for the time being approved, in accordance with the

guidelines, in the manner and subject to such
conditions as may be prescribed; and

such association, university, college or other

institution is specified as such, by notification in the
Official Gazette, by the Central Government

PROPOSAL 6. AEPC PROPOSES

AMENDMENT IN SECTION 80JJAA OF IT ACT, 1961
Current Position: deduction is allowed for the amount equal

48

PROPOSAL - 9
Anomaly due to amendment made to rule 2(f): definition
of intermediary in service rules notification no 14/2014
dated 11.07.2014 w.E.F. 01.10.2014.
Issue
(i)

The buyers, when make direct payments in foreign

currency to an intermediary in India, are subject to
service tax w.e.f 1.10.2014

(ii) The existing definition of term 'intermediary' include only

'intermediary of services.' The definition of term
'intermediary' was substituted with effect from 01-102014. The substituted definition included 'intermediary
of goods' also to its ambit. Resultantly, with effect from
01-10-2014, an intermediary of goods (for instance, a
commission agent of goods) shall fall within the purview
of Rule 9(c) Place of Provision of Service Rules.
***

APPAREL

INDIA

35TH ANNUAL GENERAL MEETING OF THE COUNCIL

At the 35th Annual General Meeting of the Council held on 26th September, 2014 at New Delhi, the following members have
been elected to the Executive Committee of the Council:

Name of Member

Region

Remarks

Mr. Pravin Kumar Agarwal

West

Re-elected

Mr. Narandra Goenka

West

Re-elected

Mr. Amit Goyal

West

Re-elected

Mr. Hari Kapoor

North

Re-elected

Mr. Sudhir Sekhri

North

Re-elected

Mr. Lalit Thukral

North

Re-elected

Mr. A Sakthivel

South

Re-elected

Mr. A S Subramanian

South

Re-elected

Mr. Ranjit P Shah

South

Re-elected

Mr. Lalit Gulati

East

Re-elected

The following have been elected at 232nd Executive Committee Meeting held on 29.11.2014 at New Delhi.
A) Vice Chairmen:
1.

Shri Ashok G Rajani - Elected as Vice Chairman,

(western Region) for the year 2015.

2.

Mr. N Chandran - Elected as Vice Chairman (Southern

Region) for the year 2015.

3.

Mr. Lalit Gulati - Elected as Vice Chairman (Eastern

Region) for the year 2014 and 2015.

The house also elected MR. Ashok G Rajani as Sr. Vice

Chairman for the year 2015.
B) Mr. Rishi K Rajani - Elected as Executive Committee
member from Western Region, against the casual vacancy of
Mr. Kishor K Shah for the remaining tenure up to 2015.

ALL INDUSTRY DUTY DRAWBACK RATES

ANNOUNCED FOR THE YEAR 2014-15 VIDE
NOTIFICATION NO. 110/2014-CUSTOMS (NT)
Shri Virender Uppal, Chairman, AEPC along with Shri Sudhir Sekhri, Chairman (EP), AEPC, Dr. A. Sakthivel, Mr. Premal Udani
& Sh. N. Chandran, EC Members of AEPC and Shri Vijay Mathur, ASG had taken-up the matter before the Drawback
Committee on 16.9.2014 at Tirupur. The problems faced at customs regarding getting drawback in right schedule (example
Blouse to Top), Men's Shirt with or without hood, Jacket with opening with zipper, issues with the correct drawback of Cami have
been addressed. The drawback caps in the case it items like Blouse and tops have gone from Rs. 49.2 per piece to Rs. 60 per
piece, Rs. 35.30 per piece to Rs. 53/- per piece respectively. The drawback under Other category has been made equal or
very close to drawback fixed for others is most cases. This would help in faster custom clearances.

49

APPAREL

35TH ANNUAL GENERAL MEETING

OF THE COUNCIL

INDIA

IN THIS REGARD, WE ARE PROVIDING THE SUMMARY:

DRAWBACK RATE
EFFECTIVE FROM
21.9.2013 TO 21.112014
Tariff Item

Product

61 & 62

Of cotton
Of blend containing cotton and MMF fibre
Of MMF fibre
Of Others
Women's or Girl's Blouses, Shirt and shirt
blouses
T-shirts, Singles and other vests
Women's or Girl's Tops/Cami

6106/6206
6109/6209
611402/621102

DRAWBACK RATE
EFFECTIVE FROM
22.11.2014 ONWARDS

Rate (%)

Rate (%)

7.6
8.9
10.2
7.6
7.6

7.5
9.5
9.8
7.5
7.5

7.6
7.6

7.5
7.5

4. FOLLOWING ARE HIGHLIGHTS OF THE NEW DRAWBACK SCHEDULE:(I) The new rates would come into force on the day of 22nd
day of November, 2014.
(ii) The terms Shirts in relation in chapters 61 & 62 of the
schedule shall include Shirts with Hood.
(iii) Cami has been included with Women's/Girls Tops
under Sub-serial No. 611402 and 620402
(iv) Three Fourth Pants along with Capris included under
sub-serial No. 610302, 610402, 620302 and 620402.
(v) Leggings included under Sub-serial no. 610402
(vi) A entry for Other jackets has been made under subserial no. 6114 and 6211.
(vii) Under sub-serial no. 611404 and 621104 Others, the
rates has been given in per piece basis, whereas earlier it
was on KG basis.

DISHA PROMOTION IN INTERNATIONAL FAIRS DURING, 2014

For India to remain competitive in present scenario, focus is
required intensively on two competitive levers; technological
innovation and social compliance. To address the latter with
respect to social and environment issues, Ministry of Textiles
had initiated DISHA - (Driving Industry towards Sustainable
Human Capital Advancement) program in 2011.
A flagship program of the Ministry of Textiles, The Apparel
Export Promotion Council has been engaged by the Ministry
as the Principle Implementation Partner to train and improve
awareness on compliance in Apparel Sector.
To demonstrate our responsibility towards responsible
business practices, the program has been widely promoted in
Magic, USA & Australian Sourcing Fair during 2014. Disha
members who participated in Magic, USA had requested for
DISHA adoption posters for likely visiting buyers in their stall.
Out of 62 participants of Magic fair, 40 DISHA members

50

displayed DISHA adoption certificates.

Similar promotional initiative was also undertaken at India
Market Days, Gurgaon and the Australian Sourcing Fair
wherein 11 out of 35 participants were DISHA members, to
whom DISHA Adoption Posters were provided. DISHA psters
were displayed on the stalls of the members to attract buyer's
attention India.
DEFERMENT OF IMPLEMENTATION OF THE
PROCEDURE FOR EXPORT OF CERTIFIED ORGANIC

PRODUCTS.
In exercise of the powers conferred under Paragraph 2.4 of
the Foreign Trade Policy, 2009-14, as amended from time to
time, Director General of Foreign Trade hereby makes the
following amendment in Public Notice No. 73 (RE2013)/2009-2014 dated 18.11.2014 read with Public Notice
No. 77 (RE-2013)/2009-2014 dated 01.12.2014:
2. The implementation of procedure notified vide Public
Notice No. 73 (RE-2013)/2009- 2014 dated 18.11.2014 in
respect of export of certified organic products is deferred till
further notification.
3.

Effect of this Public Notice:

Procedure for export of Certified Organic Products has been

deferred till further orders.
Shri Virender Uppal, Chairman, AEPC has taken up the
matter with DGFT regarding relief in organic garment export.
DGFT vide Notification No 78 (RE - 2013) / 2009-2014 dated
18.12.2014 has extended relief by referring the Procedure for
export of Certified Organic Products till further notification.

APPAREL

INDIA

Government establishes NITI Aayog (National Institution for Transforming India) to replace Planning Commission
NITI Aayog will seek to provide a critical directional and strategic input into the development process
In accordance with a key announcement made by Prime Minister Narendra Modi on Independence Day, the Union
Government today established NITI Aayog (National Institution for Transforming India), as replacement for the Planning
Commission. This comes after extensive consultation across the spectrum of stakeholders, including state
governments, domain experts and relevant institutions.
NITI Aayog will seek to provide a critical directional and strategic input into the development process.
The centre-to-state one-way flow of policy, that was the hallmark of the Planning Commission era, is now sought
to be replaced by a genuine and continuing partnership of states.
NITI Aayog will emerge as a "think-tank" that will provide Governments at the central and state levels with relevant
strategic and technical advice across the spectrum of key elements of policy.
The NITI Aayog will also seek to put an end to slow and tardy implementation of policy, by fostering better Inter-Ministry
coordination and better Centre-State coordination. It will help evolve a shared vision of national development priorities, and
foster cooperative federalism, recognizing that strong states make a strong nation.
The NITI Aayog will develop mechanisms to formulate credible plans to the village level and aggregate these
progressively at higher levels of government. It will ensure special attention to the sections of society that may be at risk of not
benefitting adequately from economic progress.
The NITI Aayog will create a knowledge, innovation and entrepreneurial support system through a collaborative
community of national and international experts, practitioners and partners. It will offer a platform for resolution of inter-sectoral
and inter-departmental issues in order to accelerate the implementation of the development agenda.
In addition, the NITI Aayog will monitor and evaluate the implementation of programmes, and focus on technology
upgradation and capacity building.
Through the above, the NITI Aayog will aim to accomplish the following objectives and opportunities:

An administration paradigm in which the Government is an "enabler" rather than a "provider of first and last resort."

Progress from "food security" to focus on a mix of agricultural production, as well as actual returns that farmers get from
their produce.

Ensure that India is an active player in the debates and deliberations on the global commons.

Ensure that the economically vibrant middle-class remains engaged, and its potential is fully realized.

Leverage India`s pool of entrepreneurial, scientific and intellectual human capital.

Incorporate the significant geo-economic and geo-political strength of the Non-Resident Indian Community.

Use urbanization as an opportunity to create a wholesome and secure habitat through the use of modern technology.

Use technology to reduce opacity and potential for misadventures in governance.

The NITI Aayog aims to enable India to better face complex challenges, through the following:

Leveraging of India`s demographic dividend, and realization of the potential of youth, men and women, through
education, skill development, elimination of gender bias, and employment

Elimination of poverty, and the chance for every Indian to live a life of dignity and self-respect

Reddressal of inequalities based on gender bias, caste and economic disparities

Integrate villages institutionally into the development process

Policy support to more than 50 million small businesses, which are a major source of employment creation

Safeguarding of our environmental and ecological assets

51

APPAREL

INDIA

APPAREL EXPORT UPDATE APRIL-NOVEMBER 2014-15

Apparel exports for the month of November 2-14, were to the
tune of USD 1202 million registering an increase of 17.19 per
cent against the corresponding month of last financial year.
India's RMG export to World for cumulative months i.e. AprilNovember 2014-15 was to the tune of USD 10766 million up
by 15.29 per cent from the same period of previous financial
year. During April-November 2013-14 India's apparel exports

were to the tune of USD 9338 million.

In rupee term export for the cumulative period of AprilNovember 2014-15 was Rs. 65113 Cr. as against Rs. 55839
Cr. of the same period of previous financial year. During AprilNovember 2014-15 exports have grown by 16.61 per cent in
rupee terms compared to same period of previous year.

EXPORT IN DOLLAR TERMS FOR APRIL - MARCH OF THE FY

2013-14 HAD INCREASED BY 15.7 PER CENT OVER THE SAME
PERIOD OF PREVIOUS FY AND REACHED TO USD 15001 MILLION.
INDIA'S RMG EXPORT TO WORLD
FY 2013-14

FY 2014-15

MoM Growth (%)

Month
In INR Crore

In US$ Million

In INR Crore

In US$ Million

INR

US$

April

6395

1156

7973

1322

24.68

14.33

may

6388

1194

8870

1492

38.86

24.96

June

7301

1246

8496

1425

16.37

14.39

July

7750

1282

8701

1453

12.27

13.34

August

7106

1124

8452

1384

18.95

23.1

September

7118

1117

7874

1294

10.62

15.87

October

7356

1194

7328

1195

-0.38

0.07

November

6426

1026

7419

1203

15.45

17.19

April - November

55839

9338

65113

10766

16.61

15.29

Source: DGCI&S, Kolkata, 2014-15

APPAREL IMPORTS OF US
Apparel imports of the United States witnessed increase of
4.7 per cent in the October month of 2014 from the same
month of previous year and amounted to US$ 8074 million
against US$ 7714 million in October 2013. In the Oct. 2014;
US imports of apparel from Vietnam has increased by 15.4

3% as compared to same period of previous year. USA

imported worth of US$ 70043 mn. Apparel imports during
Jan-Oct. 2014 as against US$ 67972 million in Jan-Oct. 2013.
In Jan-Oct. 2014 out of the total USA garment import only US$
2974 mn. was imported from India with an increase of 6.2% as
compared to same period of previous year.

per cent and reached to USD 935 million against USD 811

USA RMG imports saw increase from all major suppliers

million in Oct. 2013. In the month of Oct. 2014; USA registered

during Jan-Oct. 2014 over the corresponding period of last

highest import growth from Vietnam amongst top 6 RMG

year except for Bangladesh and Indonesia which shows a

suppliers to USA.

decline of 2.5% and 2.3% respectively.

Cumulative period of Jan-Oct. 2014 saw only modest

52

improvement in the USA apparel import with an increase of

APPAREL

APPAREL EXPORT UPDATE

APRIL-NOVEMBER 2014-15

INDIA

IN OCT. 2014 INDIA WAS 6TH LARGEST APPAREL SUPPLIER TO USA.

TOP APPAREL SUPPLIER COUNTRIES TO US
IMPORTS IN USD MN.
2013

Jan
Oct.
2013

Jan
Oct.
2014

Oct.2013

Oct.2014

%age Change
Jan-Oct.
2014/Jan-Oct.
2013

%age Change
Oct. 2014/Oct.
2013

World

83809

67,972

70,043

7,714

8,074

3.0

4.7

China

31661

25,459

25,626

3,097

3,206

0.7

3.5

Viet Nam

8375

6,862

7,933

811

935

15.6

15.4

Indonesia

5185

4,305

4,207

454

471

-2.3

3.9

Bangladesh

5046

4,305

4,196

441

414

-2.5

-6.2

Mexico

3843

3,114

3,158

338

359

1.4

6.3

India

3410

2,776

2,947

268

298

6.2

11.1

RoW

26289

21151

21976

2,390

2,390

3.9

3.6

Source: OTEXA, 2014

APPAREL IMPORTS OF US
EU's apparel import accounted for USD 65646.6 million for the Jan.-Aug. 2014 with increase of 13.8% over the same period of
previous year. India's export to EU for the Jan-Aug. 2014 amounted to USD 4580.3 million with 17.7% increase compared to the
same period of previous year.
In August 2014 total external-EU RMG import was to the tune of US$ 9652.7 million with an increase of 3.7% compared to the
same month of previous year. In August 2014 EU registered positive in RMG import from all top 4 suppliers however, highest
growth was registered by India (11.8%) followed by China (2.3%), Bangladesh (1.2%) and Turkey (0.2%).
In the year 2013 external-EU RMG import was to the tune of US$ 89342 million which was 2.93 per cent higher than previous
year.

TOP APPAREL SUPPLIER COUNTRIES TO EU (VALUE OF IMPORTS IN USD MN.)

Exporters

2013

Jan-Aug Jan-Aug
2013
2014

Aug - 13

Aug - 14

% Growth
Jan-Aug.
2014/Jan-Aug.
2013

% Growth
Aug. 2014 / Aug.
2013

World

89342.0

57694.7

65646.6

9310.0

9652.7

13.8

3.7

China

35396.0

22267.4

24200.9

4528.1

4632.4

8.7

2.3

Bangladesh

12890.0

8266.4

10166.9

1297.0

1313.0

23.0

1.2

Turkey

11574.0

7613.4

8454.8

931.3

933.2

11.1

0.2

India

5475.0

3892.2

4580.3

460.5

514.6

17.7

11.8

RoW

24007.0

15655.3

18243.7

2093.1

2259.4

53

APPAREL

INDIA

quarter of 2013. Lower-than-expected growth and high

FRANCE MARKET FOCUS

spending have strained France's public finances. The budget

deficit rose sharply from 3.3% of GDP in 2008 to 7.5% of GDP
in 2009 before improving to 4.1% of GDP in 2013, while

The French economy is diversified across all sectors. The

France's public debt rose from 68% of GDP to nearly 94%

government has partially or fully privatized many large

over the same period. In accordance with its EU obligations,

companies, including Air France, France Telecom, Renault,

France is targeting a deficit of 3.6% of GDP in 2014 and 2.8%

and Thales. However, the government maintains a strong

in 2015. The administration of President Francois

presence in some sectors, particularly power, public

HOLLANDE has implemented greater state support for

transport, and defense industries. With at least 82 million

employment, the separation of banks' traditional deposit

foreign tourists per year, France is the most visited country in

taking and lending activities from more speculative

the world and maintains the third largest income in the world

businesses, increasing the top corporate and personal tax

from tourism. France's leaders remain committed to a

rates, including a temporary 75% tax on wages over one

capitalism in which they maintain social equity by means of

million euros, and hiring an additional 60,000 teachers during

laws, tax policies, and social spending that mitigate economic

his five-year term. In January 2014 HOLLANDE proposed a

inequality. France's real GDP stagnated in 2012 and 2013.

Responsibility Pact aimed primarily at lowering labor costs

The unemployment rate (including overseas territories)

in return for businesses' commitment to create jobs. Despite

increased from 7.8% in 2008 to 10.2% in 2013. Youth

stagnant growth and fiscal challenges, France's borrowing

unemployment in metropolitan France decreased from a high

costs have declined in recent years because investors remain

of 25.4% in the fourth quarter of 2012 to 22.8% in the fourth

attracted to the liquidity of France's bonds.

TABLE1: KEY ECONOMIC INDICATORS OF FRANCE

DETAILS

YEAR

FIGURES

Population

(2013 est.)

66,259,012

Population Growth Rate

(2013 est.)

0.45%

Literacy

(2013 est.)

99%

GDP (Purchasing Power Parity - PPP)

(2013 est.)

$2.276 trillion

GDP Growth

(2013 est.)

0.3%

Annual Rate of Inflation

(2013 est.)

0.9%

GDP Per Capita (PPP)

(2013 est.)

$35,700

Structure of the Economy

(2013 est.)

Agriculture

(2013 est.)

1.9

Industry

(2013 est.)

18.7

Service

(2013 est.)

79.4

Currency
Conversion Rate ( USD)
Major Industries
Major Ports

Source: World Fact Book

54

(2013 est.)
machinery, chemicals, automobiles, metallurgy, aircraft, electronics;
textiles, food processing; tourism
major seaport(s): Brest, Calais, Dunkerque, Le Havre, Marseille,
Nantes, river port(s): Paris, Rouen (Seine); Strasbourg (Rhine);
Bordeaux (Garronne) container port(s): Le Havre (2,215,262)(2011)
cruise/ferry port(s): Calais, Cherbourg, Le Havre

FRANCE
MARKET FOCUS
FRANCE'S FTA/PTA ENGAGEMENT

APPAREL

INDIA

predictability in regulatory issues will be increased, including

the protection of intellectual property rights, while sectoral

WITH COUNTRIES / REGIONS

annexes on electronics, motor vehicles and parts,

Europe 2020 is the European Union's ten-year growth

pharmaceuticals, medical devices and chemicals provide

strategy guiding the European Union and the Member States

additional tools to tackle any emerging issue. The agreement

in promoting the delivery of growth-enhancing structural

covers trade in services with a positive list approach. Market

reforms. On this basis, the European Union has adopted

access and national treatment are granted to the services and

powerful tools to enhance its economic governance and to

services providers/establishments and investors in the

ensure that the required measures are taken to pull Europe

sectors inscribed in the lists of commitments subject to any

out of the crisis.

conditions and qualifications set out therein. It is the first FTA

As integral part of Europe 2020, the European Commission

comprehensive chapter on trade and sustainable

concluded by the European Union to include a

adopted in 2010 the

communication 'Trade, Growth and

development, which puts a particular emphasis on the

World Affairs, Trade policy as a core component of the

commitments of both sides to adhere to internationally

European Union's 2020 strategy'. It represents the basis for

recognised standards in the area of labour and environment.

the European Union trade and investment policy for 2010-

The agreement also provides the first example of

2015 and proposes a strategy to reduce trade barriers, to

implementation of such provisions in practice and for the

open global markets and to get a fair deal for European

involvement of civil society. Finally, there will be better access

businesses. The overall aim of this Communication is to

to government procurement markets.

ensure the benefits of trade reach European citizens in the

form of stronger economic growth, more jobs and increased

The European Union is also strengthening its ties in its

consumer choice at lower prices. The conclusions of the

neighbourhood, where reciprocal economic gains can be

European Council held on 7 and 8 February 2013

expected from deep integration and regulatory convergence.

emphasised the need to better use trade as an engine for

Deep and comprehensive FTA negotiations are on-going with

growth and job creation and reiterates the European Union's

Georgia, Moldova and Armenia or soon to be launched with

determination to promote free, fair and open trade whilst

Egypt, Jordan, Morocco and Tunisia. The European Union's

asserting its interests, in a spirit of reciprocity and mutual

neighbourhood policy builds on the strong relation and

benefit.

synergy between trade policy and foreign policy, thereby

contributing to an area of peace and prosperity.

The focus on an ambitious bilateral trade agenda has already

produced results with the successful completion of a newgeneration of 'Deep and Comprehensive' FTA with Korea and
with Colombia, Peru and Central America. The conclusion of

FRANCE'S IMPORT FROM

WORLD AND INDIA

technical negotiations leading to agreements with a similar

level of ambition with Ukraine and Singapore were finalised in

France's all commodity imports from world in 2013 was 668.7

the course of 2012. Negotiations with Canada are also on-

billion dollars which increased by 4% per cent from previous

going and are now in their final phase. This shows that even

year. On the other hand France's imports of all commodities

in difficult times, the European Union is able to deliver

from India in 2013 stood for 5.8 billion dollars which was 5 per

ambitious trade deals that provide concrete benefits for the

cent higher than previous year. Share of apparel in all

European economy.

commodity imports of France from world was 3.3% per cent in

2013, while in case of all commodity import from India to

The European Union -Korea FTA is a prime example of the

European Union policy of achieving ambitious and reciprocal
agreements. It has led to an unprecedented level of tariff
dismantling (starting with almost 99% of duties within five
years) and some ground-breaking provisions on non-tariff
barriers. Cumbersome and expensive testing and
certification requirements will be reduced. Transparency and

France, RMG has around 17.9% share in 2013. France's

total RMG from world was to the tune of USD 21.8 bn. and
imports of RMG from India was to the tune of USD 1.04 bn.
Since 2009 RMG imports in France from world are growing
with .2% per annum while RMG imports from India are
growing negatively. Showing India's low pace of growth (For
detail see table 2 below) in France.

55

FRANCE
MARKET FOCUS

APPAREL

INDIA

FRANCE RMG (READY MADE GARMENTS) IMPORTS: CATEGORY WISE IN %

In the table 3 France's import of RMG from the world for knit and woven apparel category since 2009 is given. Table reveals
51:49 percent share in the total RMG import of France from world of knitted and woven category. Woven and Knit apparel share
in total RMG import of France from India is around 53 and 47 per cent in 2013.

56

FRANCE
MARKET FOCUS

APPAREL

INDIA

MAJOR SUPPLIERS TO FRANCE FOR RMG

In the table 4 given below major supplier countries (top 20) for apparel to France since 2009 are given. These top 20 suppliers
constitute more than 91.2 per cent share in France's total RMG import from world in 2013. China was the largest supplier
followed by Italy, Bangladesh, Turkey, Morocco and India (for others see table 4). Table reveals that other than Asia France also
source from EU member also; nevertheless India's position remained seventh largest amongst top 20 suppliers in France
market. There has been continuous decline in the India's share in France's apparel import since 2009, however compared to
2012 share in 2013 has remain stable and average share growth of India remained positive for last four years. China remained
the top most RMG supplier country to France with 33.2% share in 2013. India held 7th position in 2013 amongst major supplier
countries to France for RMG during 2013 with 4.8% share.

57

FRANCE
MARKET FOCUS

APPAREL

INDIA

FRANCE'S IMPORTS OF RMG AT THE 4 DIGIT HS CODE LEVEL DURING 2013

Below in the table 5 France's RMG Import at HS 4 digits are categorized.

58

FRANCE
MARKET FOCUS

APPAREL

INDIA

59

TEXTILE POLICY OF VARIOUS STATES IN INDIA

APPAREL

60

INDIA

CST:Total refund for 3

years from the date
of commencement of
commercial
production

VAT :Micro, Small &

Medium
Enterprises:- Zone
B & C 80% VAT
refund paid
for 8 years or 75%
of fixed Capital
Investment
whichever reached
earlier Zone
D 90% VAT refund
paid for 8 years or
75% of fixed
Capital Investment
whichever
reached earlier

TEXTILE POLICY OF VARIOUS

STATES IN INDIA

APPAREL
INDIA

61

ii) Integrated Units (Units having

more than one value chain activity of
textiles) - Zone 1 - Additional 20% on
eligible Plant and Machinery orRs.30
lakhs, whichever is less; Zone 2 Additional 10% on eligible Plant and
Machinery or Rs.20 lakhs, whichever
is less
iii) Eco-Friendly Units - Zone1 Additional 20% on the value of Plant &
Machinery installed to promote cleaner
and environment friendly technologies
or Rs. 20 lakhs whichever is less;
Zone - 2 - Additional 20% on the value
of Plant & Machinery installed to promote
cleaner and environment friendly
technologies or Rs. 20 lakhs whichever
is less.

TEXTILE POLICY OF VARIOUS

STATES IN INDIA

62

APPAREL
INDIA

TEXTILE POLICY OF VARIOUS

STATES IN INDIA

APPAREL

INDIA

63

TEXTILE POLICY OF VARIOUS

STATES IN INDIA

64

APPAREL

INDIA

TEXTILE POLICY OF VARIOUS

STATES IN INDIA

APPAREL

INDIA

65

TEXTILE POLICY OF VARIOUS

STATES IN INDIA

APPAREL

INDIA

SANJIV MALHOTRA IS
NOW DSG OF AEPC

his is for the information of all the member

exporters of AEPC that Shri Sanjiv Malhotra

has been promoted to the post of Deputy

Secretary General (DSG) of AEPC. Earlier to the

promotion he was Senior Director in the Council.

66

APPAREL

INDIA

24X7 CUSTOMS CLEARANCE EXTENDED TO MORE

SEA PORTS, AIRPORTS
JNPT, Mumbai, Kandla, Mundra, Pipavav,
Chennai among sea ports
The Central Board of Excise and Customs (CBEC) has
issued a circular announcing extension of 24x7 Customs
clearance facility, with effect from December 31, 2014, at
14 more sea ports in respect of specified import and export
goods and 13 more airports in respect of all export goods, it
is learnt.
"Board has decided that with effect from 31.12.2014 the
facility of 24x7 Customs clearance for specified imports viz.
goods covered by 'facilitated' Bills of Entry, and specified
exports viz. factory-stuffed containers and goods exported
under free Shipping Bills, will be made available at 18 sea
ports," CBEC said in its circular.
The sea ports are: Chennai, Cochin, Ennore, Gopalpur,
JNPT, Kakinada, Kandla, Kolkata, Mumbai, New
Mangalore, Mormugao, Mundra, Okha, Paradip, Pipavav,
Sikka, Tuticorin and Visakhapatnam.
"Board has also decided that with effect from 31.12.2014
the facility of 24x7 Customs clearance for specified imports
viz. goods covered by facilitated Bills of Entry, and all
exports viz. goods covered by all Shipping Bills, will be
made available at 17 air cargo complexes," the circular
said.
The 17 complexes are: Ahmedabad, Amritsar, Bangalore,

Chennai, Coimbatore, Cochin, Calicut, Delhi, Goa,

Hyderabad, Indore, Jaipur, Kolkata, Mumbai, Nashik,
Thiruvananthapuram and Visakhapatnam.
The Finance Minister, in his Budget speech for 2014-15,
had announced that 24x7 Customs clearance facility would
be deepened and extended.
The circular added: "Board has undertaken detailed interministerial consultations to ensure stakeholder
participation in making available the 24x7 Customs
clearance facility, as per the aforementioned Budget
announcement. The objective is to ensure that besides the
Customs, the officers of all agencies concerned with the
import/export process including custodians, Customs
brokers etc. proactively participate in making this facility a
success. As a result, all agencies are now committed to
work hand-in-hand with the Customs to make available this
facility.
Related issues such as availability of required personnel,
keeping open the delivery gates 24x7 at air cargo
complexes etc. have also been resolved. Board has also
advised the Chief Commissioners of Customs concerned
to closely monitor this facility and resolve outstanding
issues, if any, through interaction with stakeholders at the
field level. It is expected that an effective 24x7 Customs
clearance facility will greatly facilitate trade and reduce
transaction cost."

67