Growing concerns over a slump in textile exports have prompted the Indian government to set up two special committees to examine the short-term and medium-term problems facing the $15 billion a year industry.The decision follows a presentation by Textiles Minister Kashiram Rana before Prime Minister Atal Bihari Vajpayee, which was also attended by Finance Minister Yashwant Sinha and Commerce Minister Murasoli Maran.One committee of secretaries comprising textile, commerce and revenue secretaries will go into the immediate problem of the industry which has been hit hard by the economic slowdown and terrorist attacks in the US.The committee will finalise its recommendations before the end of the month, Rana said, adding that the immediate demands of the textiles industry were restoration of old duty drawback rates, removal of value caps and irritants in the Duty Entitlement Passbook Scheme.The second committee, will look at the medium term strategy of the Textiles Industry to face global competition following the dismantling of the quota system under Multifibre Agreement from January 1, 2005.
Source:www.just-style.com.
Date:10/24/2001
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