March 2008

 
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Survey to focus problems faced by textile exporters

 The Federation of Indian Chambers of Commerce and Industry (FICCI) is conducting a survey on the problems being faced by domestic exporters due to non-tariff barriers (NTBs) imposed by the Western World. 

Paramananda Nayak, Director (Market Research), Textiles Committee said that the Textile Ministry will soon submit the report to the Ministry of Commerce and Industries.

The domestic textile exporters face multiple NTBs in different markets, which include labeling of shipment, security parameters, complicated requirements of rules of origin and documentary clearance requirements.

Industry experts said it was perceived that trade in the post-quota era will remove barriers it, but now, it had, in fact, become more complicated. The quota still continues to be used as a convenient protectionist instrument as seen in the case of the European Union (EU) and the US imposing quantitative restrictions.

The European Union is the seen as the main culprit in terms of NTBs followed by the US. More than 75% of the domestic textiles exports head towards the US and the EU.


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