Noida, which is recognised as a ready-made garment hub, is under the Government’s ‘one district, one product’ scheme.
However, the two-day apparel exhibition being held in the city has relayed that export sales have gone down by 20%-25% in the past 6 months in Gautam Budh Nagar. Manufacturers say that the scheme only gave recognition, but without incentives or subsidies.
“The apparel industry in Noida is struggling to survive mainly because of two reasons. The ongoing recession that has hit sales in the international market and the changing Government policies and schemes. By the time we get acquainted with one scheme, it is replaced by another,” said Anil Bountra, an apparel exporter in Noida.
According to Rajiv Mehta, another apparel exporter, “The Government needs to provide more subsidies and improve its laws related to labour, industry infrastructure and financing. Also, the schemes and policies need to stay consistent, incentive plans have to be fixed and should not keep fluctuating.”
Others said that the Government schemes are not very beneficial and hardly any subsidies are offered. Other countries have a much better industry environment, said exporters.
“There seems to be recession in the international market and exports have been hit. However, the domestic market is doing well and is capable of offsetting the losses. We are helping industries work through this with the help of ‘one district, one product’ scheme and other policies,” said Kulmani Gupta, Chairman, Indian Industries Association, Noida.
The apparel exhibition started in Noida on Thursday (10 October) under the ‘one district, one product’ scheme. Several apparel manufacturers displayed their products, saying they are hoping to shift from export to the domestic market in the face of drop in sales.