Government of India Ministry of Textiles (International Trade Section) ***

Transcription

1 Government of India Ministry of Textiles (International Trade Section) *** Sub: Note on Textiles & Clothing Exports of India. 1. Introduction India s textiles and clothing industry is one of the mainstays of the national economy. It is also one of the largest contributing sectors of India s exports worldwide. The report of the Working Group constituted by the Planning Commission on boosting India s manufacturing exports during 12 th Five Year Plan ( ), envisages India s exports of Textiles and Clothing at USD billion by the end of March, The textiles industry accounts for 14% of industrial production, which is 4% of GDP; employs 45 million people and accounts for nearly 11% share of the country s total exports basket. 2. Milestones i) Exports of textiles and clothing products from India have increased steadily over the last few years, particularly after 2004 when textiles exports quota stood discontinued. ii) iii) iv) India s Textiles & Clothing (T&C) exports registered a robust growth of 25% in , recording a growth of US$ 3.5 billion over in value terms thereby reaching a level of US$ billion and the growth continued in with T&C exports of US$19.15 billion recording a increase of 9.28% over the previous year and reached USD billion in denoting an increase of 15.7% but declined by over 5% in Exports of Textiles & Clothing grew from USD billion in to USD billion in and has touched USD billion in In the financial year (P), exports of textiles and clothing, has grown by 20.05% over the financial year to touch USD billion. Textiles exports in the period are witnessing a (-) 4.82 percent growth in dollar terms although there is 8.10 percent growth in rupee terms. The details of India s textiles exports, principal commodity item-wise during the last three years and current financial year for the period is at Annex-I. During the year , Readymade Garments account for almost 39% of the total textiles exports. Apparel and cotton textiles products together contribute nearly 74% of the total textiles exports. v) India s textiles products, including handlooms and handicrafts, are exported to more than a hundred countries. However, the USA and the EU, account for about two-thirds of India s textiles exports. The other major export destinations are China, U.A.E., Sri Lanka, Saudi Arabia, Republic of Korea, Bangladesh, Turkey, Pakistan, Brazil, Hong-Kong, Canada and Egypt etc.

2 3. Current Textiles & Clothing exports trend: (a) Trend during the period (P). In rupee terms, during (P) there has been a surge in exports of Handloom product (68.51%), Coir & Coir Manufactures (40.49%), Cotton Textiles (37.23%), Man-made textiles (25.99%), RMG (24.80%), Wool & Woolen textile (20.97%) and Jute (4.72%). In US$ terms the surge during (P) registered in Handloom product (60.09%), Coir & Coir Manufactures (33.46%), Wool & Woolen textile (14.93%), Man-made textiles (19.69%), RMG (18.56%), Cotton Textiles (30.37%) and Jute (-0.52). (b) Latest Trend during the period (P) The total textile exports during (P) were valued at Rs crore as against Rs crore during the financial year , registering an increase of 8.10 percent in rupee terms. In US dollar terms, the same was valued at US$ million ( , P) as against US$ million during the corresponding period of financial year registering a decline of 4.82 percent. 4. Liberalised trading regime and emerging opportunities In the liberalized post-quota period, India has emerged as a major sourcing destination for buyers from all over the globe. As a measure of growing interest in the Indian textiles and clothing sector, a number of reputed houses opened their sourcing / liaison office in India. These include Marks and Spencer, Haggar Clothing, Kellwood, Little Label, Boules Trading Company, Castle, Alster International, Quest Apparel Inc., etc. Commercially the buoyant retailers across the world are looking for options of increasing their sourcing from the Indian markets. Indian manufacturers are also pro-actively working towards enhancing their capacities to fulfil this increased demand. 5. Country-wise analysis India s country-wise exports for top 20 destinations during the last three years is at Annex-II. In the global exports of Textiles, India ranked as the third largest exporter, trailing EU-27 and China, as per WTO data 2011 (latest). In the global market exports of clothing, India ranked as the fifth largest exporter as per WTO data 2011 (latest), trailing Bangladesh, Hong Kong, EU-27 and China.

3 India s textiles & clothing exports vis-à-vis total world exports are given below: (In billion US$) Year Textiles Clothing World Export India s Exports India s %age share in world exports World Export India s Exports India s %age share in world exports Source: International trade statistics 2012, WTO Secretariat The latest available data released by WTO Secretariat, the values of top ten exporters of textiles & clothing in the world in calendar year 2012 are given below:- (US$ billion) Textiles (2011) Clothing (2011) Rank Name of the Country Value % of world share Rank Name of the Country Value % of world share 1. China China EU EU India Hong Kong, 25 - China 4. United States Bangladesh RP Korea India Hong Kong, Turkey China 7. Taipei, Chinese Viet Nam Turkey Indonesia Pakistan United States Japan Mexico World total 294 World total 412 Source: International trade statistics 2012, WTO Secretariat 6. Textiles Exports The targets for textiles exports for initially set at USD 38 billion have been revised upwards to USD billion, following the Foreign Trade Policy Annual Supplement in June, The details of exports targets fixed and achieved during the last

4 three years and current year sector and item-wise including apparel, man-made and cotton textiles are as under: Council Targets Achievement* Targets Achievement* Targets Achievement* RMG Cotton Textile (excl Raw Cotton) Man-made Textiles Handloom Woolen Textiles Silk Textiles Handicrafts # Jute Carpet Total *Based on DGCI&S data (Principal Commodities) # As reported by the Export Promotion Council for Handicrafts (EPCH) 7. Imports The total imports of T&C products by India reached US$ 5.22 billion during the calendar year Cotton was the biggest import amongst T&C items, with a share of USD 0.77 billion followed by impregnated textile fabric (USD 0.74 billion) and Man-made Filaments with a share of USD 0.73 billion. The imports have increased by 5.26% during the calendar year 2012 in dollar terms over the corresponding period in calendar year Import data is at Annex-III. 8. Export Promotion Measures The Government has been continually supporting the textiles exports sector through various provisions of the Foreign Trade Policy and the other policy initiatives to enable the sector to increase market share in the global textiles markets. 9. Slowdown in exports of the textile sector and policy measures taken As per latest exports figures (Principal Commodities) released by the DGC&IS, textiles & clothing worth USD billion was exported during and USD 33.31billion during During , exports of textiles & clothing were of the order

5 of USD billion as against USD billon in , recording a negative growth 4.82%. The volatility in the EU market during the calendar year 2012 affected severely India s T&C exports to EU. The EU textiles market witnessed a negative growth of 13% during the calendar year 2012, resulting in a 1.3 billion shortfall of India s T&C exports to EU during the Calendar year 2012 over EU T&C import data is at Annex-IV. Policy realignment for apparel sector urgently required duty drawback/ incentives under FTP/ duty reduction in fabric/ yarn imports. MSP sales plan needs to be put in place, CITM has held 2 rounds of discussions. TUFS committed liabilities crowding out new sanctions. At the Processing Stage there is a need to provide the technical and financial assistance to processing units that will enable industry to meet environment sustainability objectives without making themselves uncompetitive in the international market. At the Apparel Stage aamendment to Labour Laws is urgent, to permit longer hours of overtime with due compensation, and to allow flexi-hiring of labour, ie according to variations in orders. Presidential Assent to the Karnataka Bill should be persued. There is a need to adopt the IT model of development of infrastructure of workers housing and workers dormitories along with work spaces, to enable expansion of scale. Encourage and also support innovative start-up models like hiring of built up work space for a-move-in-and-begin strategy that does not require investment up front. The textiles sector in India is keenly looking forward to the finalisation of the India- EU BTIA, which would considerably open up trade in textiles sector with EU countries. A very favourable stance has been taken by the Ministry of Textiles with regard to textiles trade with Europe in terms of the broad based agreement with EU. 10. Export Promotion Measures The Government has been continually supporting the textiles exports sector through various policy initiatives to enable the sector to increase market share in the global textiles markets. Government has introduced several export promotion measures in the Union Budget as well as through schemes of Foreign Trade Policy , including incentives under Focus Market Scheme and Focus Product Scheme; enhancing the coverage of Market Linked Focus Product Scheme for textile products and extension of Market Linked Focus Product Scheme etc to increase India s share in various countries. To ease the resultant financial distress, recognizing the Handloom sector as the most vulnerable segment of the Textile industry, Government has announced a Handloom Revival, Reform & Restructuring Package under which Rs.3884 crore was allocated for waiver of loans of handloom cooperatives, individual weavers, etc. and for interest subsidy, margin money and credit guarantee for fresh loans. Government also approved a debt restructuring package to help loss making textile mills, to be administered on a case by case basis by the banks within the prudential norms of the Reserve Bank of India. The recent measures taken by the Government to support the textiles exports sector are as under:

6 i) 2% Interest Subvention Scheme on rupee export credit is available to certain specific export sectors. These are (i) Handicrafts, (ii) Carpets, (iii) Handloom, (iv) Readymade Garments, (v) Processed Agriculture Products, (vi) Sports Goods and (vii) Toys. In addition Small and Medium Enterprises (SME) in all sectors enjoy this benefit. Currently the scheme ends on 31 st March, Now this scheme of 2% interest subvention to these specific sectors will be extended by one more year, i.e., up to 31 st March, ii) iii) Introduction of a new scheme to incentivize incremental exports in certain sectors and to certain markets (incremental export performance for the last quarter of the year, i.e. for Jan-March 2013 as compared to exports made by the same IEC holder in Jan-March 2012 would be eligible for such incentives); and Five new countries have been added under the Focus Market Scheme while Eritrea has been added under the Special Focus Market Scheme. The five countries being added under FMS are New Zealand, Cayman Islands, Latvia, Lithuania and Bulgaria. Under FMS Duty Credit of 3 per cent is given on the FoB value of exports while under the Duty Credit is 4 per cent. Sixty new products which include Engineering, Rubber, Textiles, Drugs & Pharmaceuticals products among others, and three countries (Taiwan, Thailand and Czech Republic) have been incorporated under the Market Linked Focus Product Scheme. Under the Focus Product Scheme, more than 100 new products have been added from sectors including Engineering, Textiles, Chemicals, Drugs, Pharmaceuticals, Paper, Books, Publication and Printed Material. The products will be benefitted by 2 per cent Duty Credit. Further, the scrips issued under different schemes namely FPS, FMS, VKGUY, SHIS, MLFPS, SFIS, AIIS, for import of goods, will now be permitted to be utilised for payment of Excise Duty for domestic procurement, to encourage manufacturing, value addition and employment. 11. Support to T&C industry under Union Budget The Highlights of Union Budget in respect of Textiles Sector are as under: Technology Up gradation Fund Scheme (TUFS) to continue in 12 th Plan with an investment target of Rs. 1,51,000 crore. The major focus would be on modernisation of the powrloom sector. It is proposed to provide Rs. 2,400 crore in for the purpose. Allocation of Rs. 50 crore to Ministry of Textile to incentivise setting up Apparel Parks within the SITPs to house apparel manufacturing units with an additional grant of upto Rs.10 crore to each Park. A new scheme with an outlay of Rs. 500 crore called the Integrated Processing Development Scheme has been proposed to be implemented in the 12 th Plan to address the environmental concerns of the textile industry, including improving the effluent treatment infrastructure. It is proposed to provide Rs. 50 crore in for the scheme. It has been accepted that the handloom sector which subsumes a large proportion of women and belongs mainly to the backward classes is in distress. It is proposed to accept their demand for working capital and term loans at a concessional interest of 6 percent. 150,000 individual weavers and 1,800 primary cooperative societies will benefit in

7 with this inisiative. It is proposed to allocate an additional sum of Rs.96 crore in to the Ministry of Textiles for interest subvention. Khadi, village industries and coir were taken up for development during the 11 th Plan under the Scheme of Fund for Regeneration of Traditional Industries (SFURTI). The 12 th Plan has provided an outlay of Rs. 850 crore. It is proposed to leverage assistance from Multilateral Development Banks to extend SFURTI to 800 clusters during the 12 th Plan. 400,000 artisans are expected to be benefited. However the scheme is being implemented by MSME. Custom Duty (Chapter 50 to 63): 50.1 The BCD on raw silk is being increased from 5% to 15% a measure of protection to domestic sericulture. Chapter 53: 53.1 Presently, coir yarn (53.08) is mentioned at S.No. 43 of notification No. 27/2011- Customs. In column (4), which is presently blank, the entry Nil has been inserted as a technical rectification. Chapter 54-63: No change. Excise Duty: Chapter 57: 57.1 All handmade carpets and carpets & other textile floor coverings of coir and jute, whether or not handmade, falling under Chapter 57, are being fully exempted from excise duty. In this connection, notification No. 12/2012-CE, dated 1 st March, 2011 and S.No. 37 of notification No. 2/2011-CE, dated 1 st March, 2011 are being omitted. Chapter 58-60: No change. Chapter 61-63: 61.1 It has been accepted that the readymade garment industry is in the throes of a crisis and needs a lifeline. There was a demand to restore the zero excise duty route for cotton and manmade sector (spun yarn) at the yarn, fabric and garment stages. Zero excise duty route, as existed prior to Budget , has been restored on readymade garments and made ups. The zero excise duty route will now be available in addition to the CENVAT route under which manufactures can pay excise duty on the final product and avail of credit of duty paid on inputs. S.No. 16 of notification No. 30/2004-CE dated the 9 th July, 2004 as amended by notification No. 11/2013-CE dated the 1 st March, 2013 and S.No. 7 of notification No. 7/2012-CE dated 17 th March, 2012, as amended by notification No. 8/2013-CE dated the 1 st March, 2013 may be referred to for details. 12. Highlights concerning Textiles Sector with regard to the ANNUAL SUPPLEMENT to FTP announced on ) (a) Zero Duty Export Promotion Capital Goods (EPCG) Scheme

8 FTP has two variants under this scheme, namely, Zero Duty EPCG for few sectors and 3% Duty EPCG for all sectors. During the last announcement on 5th June, 2012, a new Post Export EPCG Scheme was announced and was notified on 18 February, 2013 by the CBEC. Now it has been decided to harmonize Zero Duty EPCG and 3% EPCG Scheme into one scheme which will be a Zero Duty EPCG Scheme covering all sectors. Authorization holders will have export obligation of 6 times the duty saved amount. The export obligation has to be completed in a period of 6 years. The period for import under the Scheme would be 18 months. Export obligation discharge by export of alternate products as well as accounting of exports of group companies will not be allowed. The exporters who have availed benefits under Technology Upgradation Fund Scheme (TUFS) administered by Ministry of Textiles, can also avail the benefit of Zero duty EPCG Scheme. (b) Interest Subvention Scheme At present, 2% interest subvention scheme is available to certain specific sectors like Handicrafts, Handlooms, Carpets, Readymade Garments, Processed Agricultural Products, Sports Goods and Toys. The benefit of this scheme of 2% interest subvention has been extended upto Items covered under Chapter 63 of ITC (HS) (other made up textile articles, sets, rags) have been included under the scheme to widen its coverage. The extended sectors would be able to avail benefit under this scheme during the period from to (c) Utilization of Duty Credit Scrip Holder of the Duty Credit Scrips issued under Focus Market Schemes, Focus Product Scheme and Vishesh Krishi Gramin Udyog Yojana (VKGUY) shall be entitled to avail drawback or CENVAT credit of the service tax debited in the scrips as per Department of Revenue rules. All duty credit scrips issued under Chapter 3 can be utilized for payment of application fee to DGFT for obtaining any authorization under Foreign Trade Policy. This benefit shall be available only to the original duty credit scrip holders. Duty credit scrip can also be paid for payment of composition fee and for payment of value shortfalls in EO under para 4.28 (b) of Hand Book of Procedure Vol. 1. (d) Market and Product Diversification Norway has been added under Focus Market Scheme and Venezuela has been added under Special Focus Market Scheme. Approximately, 126 new products have been added under Focus Product Scheme including some products for textiles sector. Brunei and Yemen have been added as new markets under MLFPS. Approximately, 126 new products have been added under Focus Product Scheme including some products for textiles sector. MLFPS is being extended from to for exports to USA and EU in respect of items falling in Chapter 61 and Chapter 62 of ITC(HS). The town of Gurgaon (Haryana) has been added to the existing list of towns of export excellence for apparel exports. (e) Incremental Exports Incentivisation Scheme

9 Incremental Export Incentivisation Scheme was announced on for the exports made during January 2013 to March This scheme is available for exports made to USA, EU and Asia. This scheme has now been extended for the year Fifty three countries of Latin America and Africa have been added with the objective to increase India s share in these markets. (f) Second Task Force on Transaction Cost in International Trade The report on Transaction Cost was released in Feb Implementation of its recommendation has resulted into estimated reduction of transaction cost of approximately Rs 2495 Crores. Second Task Force on Transaction Costs has been constituted. The Committee would submit its report in six months. (g) Widening of items eligible for import for Handloom/Made ups Five additional items (embroidery/sewing threads/poly/quilted bedding materials and printed bags) have been included in the list of items which are allowed duty free within the existing limits upto 5% FOB value of exports of handloom made ups in preceding year or within the existing limit of upto 1% of FOB value of exports of cotton/man-made ups in preceding year. (h) Ease of Documentation and procedural simplification Submission of physical copies of IEC and Registration-cum-Membership Certificate (RCMC) with individual application has been dispensed with. It has been decided to dispense with submission of hard copy of EP copy of shipping bills in case of (a) advance authorization, (b) duty free import authorization for grant of Export Obligation Discharge Certificate (EODC) if exports are made through EDI ports. (i) Electronic Data Interchange Initiatives e-brc system allows Transmission of realization of export proceeds details from banks to DGFT in electronically secured format. The system will lead to substantial reduction of transaction cost and time. 10. New developments / initiatives in the T&C Sector Ministry of Textiles has signed various Memorandum of Understandings with Foreign Governments for Textiles and Clothing sector collaboration. The progress of the MoU in place is as under: Mauritius: A memorandum of understanding (MOU) for strengthening collaboration in textiles sector was signed between the two Governments on February 7, 2012 during the state visit of the Prime Minister of Mauritius to India. Under the MOU, a Joint committee on T&C sector was constituted between both the countries. The Joint Committee has held 2 rounds of meetings on July 23, 2012 in New Delhi and January 28, 2013 in Port Louis, Mauritius. The 2 nd Joint Committee discussions on 28 th January, 2013 were cordial and constructive and both Parties reiterated that India-Mauritius relations were based on brotherhood and mutual trust.

10 A framework of implementation of the announcements made by the Commerce, Industry and Textiles Minister of India during his visit to Mauritius on January has been formulated and reflected in a letter of intent signed between the 2 countries. India would offer training to 1000 textiles workers, 35 scholarship programs and develop 10 fully compliant apparel factories. The Joint Committee successfully developed five MOUs between Institutions of both countries for deepening textiles sector collaboration. Uzbekistan: An MoU was signed on 18 th May, 2011 by the Minister of Commerce, Industry and Textiles during the visit of President Islam Karimov to New Delhi for cooperation in the field of Textiles, Clothing and Fashion industries. As per article 7 of the MoU, an Indian delegation led by JS (Exp) visited Tashkent from May 23-25, 2012 for the 1 st meeting of the Joint Working Group constituted under the bilateral MOU. The 1 st meeting of the Joint Working Group on May 25, 2012 reached consensus on the following issues: (a) 3 collaborative to be developed in silk sector (b) in Cotton sector, sharing of information and to develop contract enforcement mechanisms; (c) collaboration between Research institutions SITRA and Uzbekistan Research Institute of Natural Fibres. Subsequently, a textiles team from Uzbekistan visited India during Tex-Trends - July, 2012 where they exhibited their organisations products in a stall in the main exhibition area. A copy of the Protocol of the 1 st JWG meeting is at Annex-VIII. A follow up visit was undertaken by Director (Cotton), Ministry of Textiles to participate in 8 th International Uzbek Cotton and Textile Fair (17-18 th October, 2012) and to discuss Cotton / Silk related issues. The 2 nd Meeting of the JWG was held in New Delhi on 21 st February, It was decided that Central Silk Board (CSB) and the Uzbek Research Institute would jointly formulate research projects in the areas of silkworm & mulberry breeding, pest and nutrient management, silkworm seed technology, and cocoon & yarn processing technology. Collaborative project on plantation development, disease management and seed production would be taken up. Both sides agreed on collaboration in the sharing of market information, price forecasts and trends in Cotton trade. For exchange of information, it was agreed that the Chairman Cotton Corporation of India and the Representative of the State Joint Stock Foreign Trade Company would be communicating with each other on a regular basis. Kazakhstan: A JWG in textiles sector cooperation was formed between both the countries in The 3 rd meeting of the JWG was held in India on 7 th June, The two sides agreed to press forward on areas of mutual interest and concern as well as mutual assistance and cooperation in the field of textiles and clothing and particularly in Wool, Cotton and MMF sectors. The issue of training to Kazakhstan nationals in various levels of textiles and clothing manufacturing was also discussed during the JWG meeting. The next round of JWG will be held in Shymkent in Tajikistan: The MoU between MoT and the Ministry of Energy and Industry of the Republic of Tajikistan was among the MoUs signed with Tajikistan during the VVIP visit during September, To take forward the initiative, we had addressed the Ambassador, Embassy of Tajikistan, New Delhi in November, 2012 for seeking consideration of holding the first meeting of the JWG in New Delhi in January 2013, on mutually convenient dates. The reply of Tajik side is awaited. Israel: A Letter of Intent was signed by Secretary (Textiles) and DG of the Israeli Ministry of Trade, Industry and Labor (MOITAL) on 5 th September, 2012 in Tel Aviv to collaborate in India s manufacturing sector industry to address the challenging situation of pollution in the

11 textiles sector. The President of Shenkar Design Academy made a follow up visit to the Embassy of Israel, New Delhi with various proposals for collaboration in the field of fashion designing and academic exchanges and training programmes. DG, NIFT has been requested to plan out a specific programme for collaboration between NIFT and Shenkar Academy to finalise the programme during the Shenker Academy delegations upcoming visit to New Delhi. The Integrated Processing Development Scheme has been proposed to be implemented in the 12 th Plan to address the environmental concerns of the textile industry, including improving the effluent treatment infrastructure. It is proposed to provide Rs. 50 crore in for the scheme. The Scheme is expected to be operational by July, 2013 Australia: An MoU was signed between India represented by Ministry of Textiles and the Australian Government represented by the Department of Agriculture, Fisheries and Forestery on 17 th October, The MoU seeks establishing of a Joint Working Group which would interact periodically, as incorporated in the MoU. The MoU proposed that the Co-Chairs of the JWG would be at the level of Joint Secretary (India) and Assistant Secretary (Australia) or their delegates and include members representing the various bodies/organizations which would interact with their appropriate counterparts and become vehicles of implementation so as to leverage maximum benefits out of the enhance cooperation with Australia in this Sector. The inaugural meeting of the Australia India Joint Working Group (JWG) on Cooperation in the Field of Wool and Woollen Products was held on 22 February 2013 in Melbourne, Australia. The meeting dialogue focused on identifying areas of mutual benefit and cooperation in wool trade and production. The Indian delegation stated that they were looking for collaboration and knowledge sharing in sheep development and genetics as a means to improve their livestock health and wool production. At the conclusion of the discussions both sides worked to create a list of four elements for collaboration/cooperation which are to be used in developing an action plan to be agreed on through within six weeks. The four elements were wool promotion, supply chain sourcing, technical and knowledge transfer and improving sheep production in India. MOUs are under discussions with: Bangladesh Draft approved by the Cabinet. Sri Lanka - Draft finalized Romania signed on 23 rd April, 2013 Belarus under consideration The factory level training programme under the Driving Industry towards Sustainable Human Capital Advancement (DISHA) Project has been drawn up through Apparel Export Promotion Council. Technical experts with proven expertise to work with each participating unit has already been engaged and the programme cost for each manufacturing unit would be Rs.25,000/. All remaining costs upto Rs.1.80 lakh per unit would be borne by the Central Government. The scheme requires support of Department of Labour in the States for implementation and enhancing collaboration with the manufacturing units in the State.

12 Annex-I India's textiles exports at a glance (Principal Commodities) Prepared by IT Section on Item (P) Variation (P) Variation ` Crore US$ Mn ` Crore US$ Mn ` Crore US$ Mn ` US$ ` Crore US$ Mn ` US$ Readymade Garment % 18.56% % -5.22% RMG of cotton incl. accessories % 12.25% % % RMG of Man-made fibre % 47.24% % 15.15% RMG of other textile material % 30.67% % 15.18% Cotton Textiles % 30.37% % -1.44% Cotton raw including waste % 56.09% % % Cotton yarn, fabrics & madeups % 17.53% % 10.42% Man-made textiles % 19.69% % % Manmade staple fibres % 34.14% % % Manmade yarn, fab. & madeups % 18.26% % % Wool & Woolen textiles % 14.93% % % RMG of Wool % 7.39% % % Woollen yarn, fabrics &madeups % 37.66% % % Silk % % % % RMG of Silk % 2.95% % -9.81% Natural silk yarn, fab. & madeups % % % % Silk waste % 7.29% % 11.30% Handloom Products* % 60.09% % -6.44% Textiles (excl HC, jute & coir) % 22.16% % -5.15% Handicrafts % % % 9.84% Handicrafts (excluding handmade carpets) % -9.18% % % Carpets (excluding silk) handmade % % % 16.61% Silk carpets % 56.12% % -4.20% Coir & Coir Manufacturers % 33.46% % -7.54% Coir & Coir Manufacturers % 33.46% % -7.54% Jute % -0.52% % % Floor covering of jute % % % -0.60% Other jute manufactures % 40.05% % % Jute yarn % % % % Jute hessian % 20.98% % % Textiles (incl. HC, coir & jute) % 20.05% % -4.82% % Textile Exports 12.54% 12.54% 11.05% 11.05% 10.93% 10.93% 10.55% 10.55% India's overall exports % 21.30% % -1.37% Source : Foreign Trade Statistics of India( Principal Commodities & Countries), DGCI&S for export figures in Rupee and Department of Commerce(Intranet) -Exchange rate *Handloom Products have been included as commodities first time in

13 Annex-II India Export Statistics Commodity: Textile & Clothing, Ch50 to 63 Annual Series: , Year To Date: 12/2011 & 12/2012 Millions United States Dollars Partner Country Calendar Year %Change World United States China United Arab Emirates United Kingdom Germany Bangladesh Italy France Spain Turkey Netherlands Belgium Brazil Saudi Arabia Sri Lanka Egypt Canada Japan Denmark Pakistan

14 India Import Statistics From World Commodity: Textile & Clothing, Ch50 to 63 Annual Series: , Year To Date: 12/2011 & 12/2012 Annex-III Millions United States Dollars Calendar Year Commodity Description % Change Textile & Clothing Ch50 to Manmade Filaments, Including Yarns & Woven Fabrics Impregnated Etc Text Fabrics; Tex Art For Industry Manmade Staple Fibers, Incl Yarns & Woven Fabrics Cotton, Including Yarn And Woven Fabric Thereof Wool & Animal Hair, Including Yarn & Woven Fabric Silk, Including Yarns And Woven Fabric Thereof Knitted Or Crocheted Fabrics Textile Art Nesoi; Needlecraft Sets; Worn Text Art Veg Text Fib Nesoi; Veg Fib & Paper Yns & Wov Fab Apparel Articles And Accessories, Not Knit Etc Wadding, Felt Etc; Sp Yarn; Twine, Ropes Etc Spec Wov Fabrics; Tufted Fab; Lace; Tapestries Etc Apparel Articles And Accessories, Knit Or Crochet Carpets And Other Textile Floor Coverings Source of Data: Ministry of Commerce

15 EU27 (External Trade) Import Statistics From World Commodity: Textile & Clothing, Ch50 to 63 Annual Series: , Year To Date: 12/2011 & 12/2012 Annex-IV Millions United States Dollars Calendar Year Commodity Description % Change Textile & Clothing Ch50 to Apparel Articles And Accessories, Not Knit Etc Apparel Articles And Accessories, Knit Or Crochet Textile Art Nesoi; Needlecraft Sets; Worn Text Art Cotton, Including Yarn And Woven Fabric Thereof Manmade Filaments, Including Yarns & Woven Fabrics Manmade Staple Fibers, Incl Yarns & Woven Fabrics Wool & Animal Hair, Including Yarn & Woven Fabric Carpets And Other Textile Floor Coverings Impregnated Etc Text Fabrics; Tex Art For Industry Wadding, Felt Etc; Sp Yarn; Twine, Ropes Etc Knitted Or Crocheted Fabrics Source of Data: Eurostat Spec Wov Fabrics; Tufted Fab; Lace; Tapestries Etc Silk, Including Yarns And Woven Fabric Thereof Veg Text Fib Nesoi; Veg Fib & Paper Yns & Wov Fab (Data Source: Intl. Trade Section, Website updated on )