The Confederation of Indian Apparel Exporters (CIAE) has said the country would find it difficult to meet the export target of $34.02 billion in the current Five Year Plan (2007-12). | |
| Apparel exports may not even reach last year's level due to the rupee appreciation, according to them. |
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| "Exporters are reeling under severe order crunch and will be unable to even reach last year's export levels," said Amit Goyal, the president of CIAE. |
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| Orders were on the decline as the country was unable to offer competitive prices, with orders shifting to neighbouring countries such as China, Bangladesh, Sri Lanka and Indonesia, he said. |
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| In the last Five Year Plan, exports of readymade garments had increased at an annualised rate of 13.72 per cent, and in 2005-06, exports had witnessed a major jump of over 28 per cent. |
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| However, the rupee appreciation has hit the exporters hard. "There is no support from the government. The situation is alarming as export orders have dipped by 10-15 per cent," he added. He cautioned that in the current financial year, the apparel export from the country would enter the negative region "� a first in the history of apparel exports. |
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| Reports suggest many garment units will have to shut down their operations. "Others will be forced to cease operations if the government does not lend its support," said Goyal. |
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| Currently, the apparel exporters employ 25 lakh people and the government estimates a need for another 25 lakh work force to achieve the export target of $34 billion by 2011-12. |
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| DRESSING DOWN |
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| Country may fail to meet the export target of $34.02 billion in the current Five Year Plan (2007-12) Export orders could dip by 10-15 per cent as orders move to neighbouring countries such as China, Bangladesh, Sri Lanka and Indonesia Many apparel units will be forced to close down if the government fails to intervene |
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