In a written communication to Union Finance Minister Pranab Mukherjee, AEPC Chairman Dr A Sakthivel, has urged for 2% interest subvention on Export Credit to both the Garment & Knitwear Sectors. He emphasized the fact that the sector had been losing its competitiveness in the global market owing to rising interest costs. He appealed to the minister to take a corrective action to save the apparel sector and restore the competitiveness of the industry, and urged him to extend these measures to the entire textile value chain from job worker to upstream large scale sector.
According to AEPC, these initiatives if taken in right earnest, would help the sector and save those dyeing units, which are badly affected by cancellation of export orders. To note, the apparel hub of Tirupur has seen the closure of many dyeing units owing to turbulent export market conditions and eroding export orders.
