The Government of India has made it clear that the export of PPE can’t be allowed currently, as it will first assess the demand of personal protective equipment (PPE). As ease is being given already in lockdown, there are enough chances in coming days that PPE demand will grow within India.
This was indicated by senior Government officials.
Currently, more than 500 factories across India (from top apparel exporters to giant textile mills) are making around 4.5 lakh PPE suits a day. That makes India world’s second largest manufacturer of PPE body coveralls – next only to China.
Just a week ago, Directorate General of Foreign Trade (DGFT) had allowed export of non-surgical masks of all types (cotton, silk and knitted). Notably, many companies are geared up for the export of PPE also, but currently it is banned by the Government.
Amit Yadav, DG, DGFT, said that Government will evaluate the situation and calibrated approach is required in this regard. No doubt, production of PPE has increased in India, but export will be allowed after proper assessment. He was answering a question in a PHDCCI-organised webinar.
To ensure smoothing functioning of Indian export, PHDCCI organised a webinar on India’s Foreign Trade: Challenges, Reliefs & Opportunities.
DK Aggarwal, President, PHDCCI, highlighted that export and import sector is severely affected; in April, merchandise export showed negative growth of 60 per cent, while it was same with the import (59 per cent).
He insisted to take steps, which can ensure more manpower and smooth functioning for export-oriented units on priority, in addition to providing tax holiday for export income for MSMEs.
“Cost of capital, labour, compliance and power need to reduce on urgent basis, so that India can attract companies that wish to shift from China to India,” said DK Aggarwal. Various speakers were of the opinion that this is the time for the Government to take bold steps.
Amit Yadav was of the view that with the Government package and other initiatives, many issues have been addressed. They assured that all other issues raised in the meeting will be taken on priority.
He also shared information about the development at DGFT level.
