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Message from Chairman

Dear Member,

India’s exports grew at 19.4 percent in April, growth shown consecutively for eight month, as per the Commerce Ministry data. The increase in exports is on account of robust performance of some prominent sectors including Textiles.  The exports of Indian MMF Textiles during April- February 2016-17 touched US$ 5251 Million against US$ 5286 Million during the same period of the previous year indicating a marginal decline of 0.68 per cent. However, if one looks at the segment-wise trends in the MMF Textiles, Fabrics (- 9.08%) and Made-ups (- 0.04 %) segments had shown a declining trend whereas Yarn (6.55 %) and Fibre (9.49%) has shown an increase respectively, compared to the same period as above. It is expected that the value-added segments will reverse the trend in the coming months. The Textile sector is expecting a boost in exports and growth with the implementation of GST.  It is hoped that it will help the textile industry to get more competitive in both the global and domestic markets and create opportunities for sustainable, long-term growth and generate employment.

The Council recently had a Meeting with the Drawback Committee headed by Shri G.K. Pillai, Chairman Shri Gautam Ray, Member, Shri Y.G. Parande, Member along with Shri Dinesh Kumar Gupta, Director (DBK) in Mumbai. During the Meeting suggestions and views of Council were sought on the All Industry Rates of Duty Drawback under the GST regime.   Although implementation of GST is imminent there is still a need for enhancement of Drawback Rates for all synthetic items in the MMF textile sector as some of the State and Local level taxes are not subsumed in the GST.  The Department took note of all the issues raised by the member-exporters of the Council and requested the Council to submit a brief Note on all those issues which need to be looked at by the DBK Department at the earliest so that the same may be recommended to the GST Council for consideration and decision.  I am glad to inform that the Chairman of the Drawback Committee has apprised that once the GST is implemented, the duty drawback rule, under which an exporter is compensated for duties paid during production of goods, too would be required to be aligned with the new indirect tax regime. The drawback compensation under the GST regime would also be expedited.

I am happy to inform you that the Council’s preparations for the mega event Textiles India 2017 spearheaded by the Ministry of Textiles is shaping up well and all out efforts are being done to ensure that the Show is a success and benefit the textile fraternity in India and will be an annual event for overseas buyers.  Road Shows are being held in various countries to publicize and promote the event and garner buyers from these regions. The Council has completed Road Shows in Malaysia, Bangladesh, Vietnam, Turkey and LAC.  During the Road Shows, we interacted with the textile associations/trade bodies and the response we received at the Road Show were overwhelming.  I am sure that these Road Shows will help us in generating interest in the textile community of those countries and we are expecting delegations with large number of potential Buyers coming for the event.  On the domestic front too to mobilize participants Road Show was held in Surat, the textile city of India and more such shows are being planned in Bhilwara, and Ahmedabad.  I request you to send message regarding the mega Textiles event to all your Textile fraternity to visit the event so that they do not miss the opportunity to participate in Textiles India 2017 and take advantage of being part of the Show.

The Council is organizing participation of its member-companies to the Federal Trade Fair for Apparel & Textile “TEXTILLEGPROM”, Moscow, Russia, scheduled from August 29 to September 1, 2017 and in Cairo Fashion & Tex being held at Cairo in Egypt from 13 to 16 September 2017.  These mega programmes of textiles & clothing will be organized under MAI Scheme by the Council in co-ordination with other Textiles Export Promotion Councils, and with the guidance of the Ministry of Textiles, Govt. of India, under the active assistance & guidance of the Indian Embassy. I urge the Council members to take benefit of these markets to further enlarge export business by participating in the events in large numbers.

You may be aware that the Goods & Service Tax (GST) is to be rolled out from 01st July, 2017. The GST Acts, namely the Central Goods & Service Tax (CGST) Act, Integrated Goods & Service Tax (IGST) Act & Union Territory Goods & Service Tax (UTGST) Act have already been enacted and several State Assemblies have also passed SGST law.  In this connection, the Central Board of Excise and Customs (CBEC) has embarked upon the process of training and awareness for the smooth roll-out of GST. These programmes will be held in a town hall format for half day in regional languages. Details of the workshops are available on the CBEC website under the ‘GST Awareness’ button. Members are requested to kindly make best use of these workshops.

I am happy to note that members have been prompt in renewing their membership for the year 2017-18.  I request all of you to renew your membership of the Council without delay so that we will be able to serve you better in all issues concerning export promotion services.

With warm regards,

Yours sincerely,



20th May, 2017


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