After registering positive growth for three months in a row, India's apparel exports again slipped about three per cent to $716 million in November year-on-year, due to less demand from the West and rising input cost. In November 2009, garments exports stood at $737 million, according to Apparel Export Promotion Council (AEPC) data.
“The demand is yet to pick up in western markets like the US and Europe,” Apparel Export Promotion Council (AEPC) Secretary General, Mr Vimal Kirti Singh, said, adding that the rising prices of cotton yarn have also impacted productivity levels.
The US and Europe together account for about 70 per cent of the country's total garments exports. Higher prices of cotton yarn, which rose up to 40 per cent in the past three months, have led to an increase in the fabric cost, Mr Singh said.
To cool down increasing prices of yarn in the domestic market, the government has capped the cotton yarn exports to 720 million kg for the current fiscal.
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.