India has overtaken China in textile exports
Source: CCPIT TEX Date: 2006-06-07
India has overtaken China as exporter of textile to the US and European markets due to a cap on Chinese textiles in those countries. China's export in the last quarter of 2005-06 stood at nine per cent, while that of India was 13 per cent after the quota regime was abolished in January 2005 under the WTO agreement, Union Textile Minister Shankarsinh Vaghela said here on Monday.
"The 10 per cent cap on Chinese textile exports will continue till 2008. This has provided ample opportunity for India to establish herself in the export market and compete with China when the cap on its textile exports would be lifted," he added. Giving an account of the UPA government's two years in power, Vaghela said after January 2005, exports to US increased by 26 per cent and those to European countries increased by 18 per cent.
The ministry plans to create 25 textile parks in the country, out of which approval has already been given for nine. "Each textile park would require investment of Rs 1 billion (US$21.7 million), out of which Rs 400 million would be given as subsidy by the textile ministry. One textile park would employ around 15,000 people," he added. "Out of 25 textile parks, one would be located at Surat and one in Kutch. Proposals of three other textile parks from Gujarat are pending with the ministry. A textile plaza would also come up at the Jahangir mill compound in the city," he added.
