SIMA appeals to PM to have a relook on FTP

Southern India Mills' Association today appealed to Prime Minister Narendra Modi and Commerce Minister Nirmala Sitharaman to have a re-look on the Foreign Trade Policy and consider the pleas made by the industry to regain its global competitiveness.
The FTP 2015-2020 announced yesterday, which had constructive policies on a macro level, failed to address sector specific issues, SIMA Chairman T Rajkumar said in a press release here.
Rajkumar said the cotton textile industry, particularly spinning sector, has been reeling under a severe recession during 2014-2015 due to the drop in exports by 30-40 million kg of yarn per month.
He felt that with present banking norms, several thousands of small and medium textile units across the country, particularly South India would soon become NPAs in the absence of improvement in exports.

It was essential to make zero access entry for yarn, fabrics and garments in China to grab the emerging market opportunities which otherwise would be grabbed by countries like Pakistan, Vietnam, Cambodia and Indonesia, he said.
He appealed the Government to recognise the textile industry's potential to foster export growth and job creations for millions of rural population and announce suitable incentives under MES for yarns, fabrics, garments and made-ups as stated in the objective of FTP.
In a separate statement, A Sakthivel, President, Tirupur Exporters Association thanked the minister for unveiling the FTP with new strategies not only for just export promotion but also for the enhancement of entire trade eco-system.

Meanwhile, the local chapter of Indian Chamber of Commerce and Industry, welcomed the policy saying, it has bold initiatives and aims to achieve a compound annual growth rate of 11.5 per cent so as to increase the Merchandise and Services Exports.