Business Standard

DGFT defers registration of organic textile exports

Industry welcomes the move, says organic products' exports would be possible now

BS Reporter New Delhi
The Directorate General of Foreign Trade (DGFT) has deferred mandatory certification for export of organic products.

R K Dalmia, the chairman of the Cotton Textiles Export Promotion Council (Texprocil), said, "Deferring will give exporters and buyers sufficient time to adopt and adapt to the changes. The step will help toss the fears of buyers, as many weren't willing to embrace the new procedure."

On November 18, the DGFT had extended the mandatory certification for export of organic products to finished textile products, including yarn, fabrics, made-ups and garments.

Before this notification, certification was mandatory for organic cotton alone. Texprocil had urged the commerce ministry to extend the December 18 deadline for mandatory certification to enable the sector to conform to the new procedure.

"The export of organic products would not have been possible with a short notice in the absence of mandatory registration certificates. Since the certificates didn't exist, there would have been no export of organic textile products from India. But now, exports will be possible, as shipments will start immediately," said D K Nair of the Confederation of Indian Textile Industry.

Earlier, Dalmia had said implementation of mandatory certification for finished products would present a hurdle to the organic textile sector and lead to a fall in exports. Texprocil had sought an extension of at least a year in its implementation.

Organic products account for 5-10 per cent of textile exports from India.
 

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First Published: Dec 20 2014 | 12:12 AM IST

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