The Government has declared Noida as a Town of Export Excellence (TEE) for apparel products. Director General of Foreign Trade (DGFT) has issued a public notice in this regard.
The recognition entitles the Common Service Providers in the area to avail the Export Promotion Capital Goods (EPCG) scheme, which in turn would enable them to provide advanced technologies and services to the 700 existing apparel industries in Noida.
Common Service Providers are critical to the apparel industry as they help in reducing the cost of technology by providing common services like specialised knitting, dyeing and embroidery, which require high-end machines.
However, due to their limited use, these machines are not procured by MSMEs.
“It’ll also provide support in strengthening infrastructure, simplifying rules and procedures, besides developing production infrastructure relating to design, R&D packaging, logistic support, etc. Since Noida is in the TEE category now, the ministry will also provide awareness and information about international marketing, which will pave the way for further export promotion in the district,” said Gautam Budh Nagar district magistrate Suhas LY.
Apparel export industry has welcomed this announcement and has also requested to give the same status to Delhi, Faridabad and Erode also.
It is pertinent to mention here that Faridabad and Delhi have turnovers of Rs. 5,880 crore and Rs. 5,894 crore, respectively, way more than the requirement of Rs. 750 crore turnover from a town to get the tag.
Lalit Thukral, President, Noida Apparel Export Cluster (NAEC) welcomed the decision of the Government and said that NAEC is very happy with this achievement of Noida. “It is due to the tireless efforts of Noida’s apparel manufacturers. With this support, our industry will get more opportunities to grow.”