Tamil Nadu textile exports fall by 5.6% in 2017-18

Posted by Daily Shipping Times on 14-06-2018        Tweet

CHENNAI: Export of knitwear and readymade garments from Tamil Nadu fell by 5.6 per cent in 2017-18 owing to various reasons, including demonetisation, GST and global competition. The  garment exports from Tirupur reduced by Rs.16,000 crore last year, O S Manian, State Handlooms and Textiles Minister, said recently. “About 6500 knitwear and readymade garment companies in Tirupur export to the tune of Rs. 50,000 crore a year. However, owing to GST, demonetisation and global competition, textile exports turnover fell to Rs. 34,000 crore last year,” he said. Because of the State’s efforts GST on garments was reduced to five per cent.

He pointed out that higher taxation and reduction in other monetary incentives had put the textile industry in deep crisis. The Centre had reduced the rebate on State Levies (incentive provided for exporters on the value of exported goods) from 3.5 per cent to 1.7 per cent.