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Exports from Labour Intensive Sectors

Exports from Labour Intensive Sectors

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Delhi
Last Updated : Dec 12 2014 | 4:03 PM IST
The value-wise details of the merchandise exports from labour intensive sectors like leather, textiles, etc. during each of the last three years and the current year are as follows:

  Value - (US $ Billion)
Commodity 2011-12 2012-13 2013-14 2014-15 (April-Oct.)*
Leather & Manufacturers 4.8 4.9 5.7 3.7
Textiles 27.2 26.4 30.5 16.7
Handloom Products 0.6 0.5 0.4 0.2
Carpet 0.8 1 1 0.9
Handicrafts 0.3 0.2 0.3 0.8
Sports Goods 0.2 0.2 0.2 0.2
Source:DGCI&S, * Provisional Figures      
 
Exports of handloom, handicrafts and other labour intensive sectors are supported through various schemes under Foreign Trade Policy like, Focus Market Scheme, Market Linked Focus Product Scheme, Focus Product Scheme and Duty Drawback Scheme. Exporters of these products can also avail duty free import of capital Goods under EPCG scheme and raw materials under Advance Authorisation Scheme or Duty Free Import Authorization (DFIA) Scheme. Exports of these sectors are also supported through different schemes implemented by various Ministries/ Departments like, Ministry of Textiles, Department of Industry Policy and Promotion, Ministry of MSME, Ministry of Food Processing Industries etc. These schemes are reviewed from time to time by the concerned Ministries.

Some of the promotional measures taken by the Government for Labour intensive sectors are:

(i)    Two percent Interest Subvention Scheme, which was available for certain export sectors viz. Handicrafts, Carpet, Handlooms, SMEs, Readymade Garments, Processed Agriculture Products and Toys was enhanced from 2% to 3 % with effect from 1.8.2013 to 31.3.2014.
(ii) The exemption of excise duty on handmade carpets and textile floor coverings of coir and jute.
(iii) The zero excise duty at fibre stage for cotton and a duty of 12 per cent at the fibre stage for spun yarn made of manmade fibre.
(iv) In Union Budget 2014-15 also, following steps have been announced to encourage exports of labour intensive sectors, including handicrafts and handlooms:
         Duty free entitlements for import of trimmings, embellishments and other specified items have enhanced from 3% to 5% of the value of exports for readymade garments.
         Mega textile clusters with a sum of Rs. 200 crore at various places of India like Varanasi, Bareily etc.
         Trade Facilitation Centre and a Crafts Museum with an outlay of Rs. 50 crore.
         A Hastkala Academy with an outlay of Rs. 30 crore.

This information was given by the Minister of State (Independent Charge) in the Ministry of Commerce & Industry Smt. Nirmala Sitharaman in a written reply in Rajya Sabha today.

 

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First Published: Dec 10 2014 | 6:20 PM IST

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