Apparel exporters seek relief

The Apparel Export Promotion Council (AEPC) has proposed a package for doubling garment exports from current level of $5 billion to $10 billion in the next three years.

AEPC chairman, A Sakthivel, met the newly appointed central ministers for textiles and commerce, and industry, Shankar Sinh Vaghela and Kamal Nath, and appealed for the government to adopt some recommendations immediately.

AEPC wants full exemption under Section 80 HHC (for export profits) under the Income Tax Act of 1962 to be restored.

Similarly all industry duty drawback rates and the DEPB rates should be restored. One time levy of excise duty at the spindle stage is the other tax related demand.

AEPC urged the European Union's (EU) offer for increasing the garment quota against India pegging the import tariff at 20 per cent, be accepted. It expects exports to EU to rise to Rs 4000 crore in the current year.

AEPC would like itself to be designated as the nodal agency for issuance of certificate of origin for the entire garment export sector.

It also sought a new performance based export promotion capital goods scheme to the extent of 50 per cent based on actual export performed in the preceding year.

Flexible labour laws and productivity linked wages and lowering of interest rates are its other demands.