Indian textile ministry is initiating efforts to help Indian fabric companies export more fabric to Bangladesh.
It is noteworthy that Bangladesh, which is world’s number 2 in garment export, majorly imports fabric from China.
Addressing Texcon’19 conference of CII, Ravi Capoor, Secretary, Ministry of Textiles said that soon an Indian delegation would visit Bangladesh in this regard and will explore how India’s fabric export can be increased as far as Bangladesh is concerned.
As per DGCI&S data, India’s apparel import from Bangladesh in 2016-17 was US $ 140 million, while in 2018-19 the same was US $ 365 million – That’s an incredible jump of 161 per cent.
Out of India’s total apparel import, Bangladesh contributed 33 per cent in 2018-19.
The industry has requested the Government that it is essential to impose necessary safeguard measures like Rule of Origin, Yarn & Fabric Forward Rule to prevent the cheaper imports that greatly affect the domestic manufacturing sector.
But India can’t unilaterally impose a fabric forward policy with the neighbouring nation since it is not covered under the South Asian Free Trade Area (SAFTA).
It is pertinent to mention here that cotton, man-made filaments and man-made staple fibres are the three major items being exported from India to Bangladesh in the textile segment.
As per World Bank, India exported US $ 2.25 billion-worth textile and clothing products to Bangladesh in 2018-19.
As per India’s official data, India has noticed 37.94 per cent and 33 per cent growth of man-made filaments and knitted fabrics, respectively, in 2018-19 compared to what it was in 2017-18.
Over the years, Indian textile companies have been participating in various sourcing exhibitions and having their booths to increase their presence. Besides, few of the top companies like Vardhman Textiles Limited also have their offices in Bangladesh.