World Knitwear Industry

artificial. spreading. crocheting. Fabric refers to any material made through weaving. and cellulosic fibres that go into the making of textiles. planning. export promotion and regulation of the textile sector in India. Textile refers to any material made of interlacing fibres. development. knitting. . clothing and handicrafts.Introduction The Ministry of Textiles is responsible for the formulation of policy. This includes all natural. or bonding.

Policies There are three major policies of Ministry of Textiles. National textile Policy-2000 National Jute policy-2005 Textile export Quota policy. government of India.2002-2004 .

it shall be the policy of the Government to develop a strong and vibrant industry that can † Produce cloth of good quality at acceptable prices to meet the growing needs of the people. and † Compete with confidence for an increasing share of the global market.National Textile Policy-2000 VISION -Endowed as the Indian Textile Industry is with multifaceted advantages. . † Increasingly contribute to the provision of sustainable employment and the economic growth of the nation.

Sustain and strengthen the traditional knowledge. Develop a strong multi-fibre base with thrust of product upgradation and diversification. and for this purpose to encourage both Foreign Direct Investment as well as research and development in the sector. Enable the industry to build world class state-of-the-art manufacturing capabilities in conformity with environmental standards. .Objectives Facilitate the Textile Industry to attain and sustain a pre-eminent global standing in the manufacture and export of clothing. Liberalise controls and regulations so that the different segments of the textile industry are enabled to perform in a greater competitive environment. skills and capabilities of our weavers and craftspeople. Equip the Industry to withstand pressures of import penetration and maintain a dominant presence in the domestic market.

Entrepreneurs.‡ Enrich human resource skills and capabilities. design and marketing and. with particular effort directed to enhancing the benefits to the north east region. an integral part of the entire value chain of textile production and thereby facilitate the industry to achieve international standards in terms of quality. . Farmers and Non-Governmental Organisations in the fulfillment of these objectives. ‡ Make Information Technology (IT). ‡ Involve and ensure the active co-operation and partnership of the State Governments. Financial Institutions. with special emphasis on those working in the decentralised sectors of the Industry. ‡ Expand productive employment by enabling the growth of the industry. and for this purpose to revitalise the Institutional structure.

Encouragement to Technology Upgradation and expansion of capacity. design and fashion inputs. and Introduction of support systems for commercial intelligence.Knitting Hosiery knitting. In this segment. primarily because of expansion of hosiery into global fashion knitwear is expected to expand into the apparel and home furnishing sectors. . growth of which accelerated during the last decade. the following measures will be taken: Review of the Policy of SSI Reservation for this sector.

Textile export Quota policies. SYSTEMS OF ALLOTMENT i. Quantities for export in each allotment year shall be allocated under the following systems at rates indicated against each of them: System of Allotment Percentage of Annual Level Past Performance Entitlement (PPE) System 70% (Out of which HVE) (5%) New Investors Entitlement (NIE) System 15% Non Quota Entitlement (NQE) System 5% First Come First Served (FCFS) Entitlement System 10% .

in case it is considered so desirable. in view of changes in the demand pattern and / or other relevant considerations. The Ministry may also reserve quantities for knitwear. children·s wear or any other Country/Category. iii. . woollen products.ii. Quantities that become available from time to time on account of surrenders. Such reserved quantities will operate in the FCFS system for the products for which they have been reserved. without any reservations for such Countries/Categories. upto 30 September and unallocated balance from the reserved quantities as on 1 October will be made available for applications in the FCFS system. flexibilities or otherwise shall also be allocated under the First Come First Served (FCFS) System. The Ministry of Textiles reserves the right to allocate entitlements in variation with the above.

VALIDITY OF CERTIFICATION i. whichever is earlier. . Validity of PPE/NIE/PPT/NQT will be 75 days from the date of endorsement of the shipping bill or till the expiry of the entitlement certificate. ii. the Textile Commissioner may grant extension of validity period upto three working days in individual cases if he is satisfied that the exporter concerned could not export within the period due to circumstances beyond his control. Validity of certification on shipping bills in respect of FCFS allotments would be 75 days from the date of allotment unless otherwise specified. iii. Notwithstanding anything contained in para 8(v) above.

Slow-moving items An item shall be notified as slow-moving. latest by 1st December of the previous year. The quantitative ceiling stipulated for the FCFS system vide para 8(vii) above shall not be enforced. be withdrawn at any time without any notice. EMD/BG would be charged @ 1% of FOB value for shipment under the FCFS system. Notwithstanding anything else contained in any of the provisions of this Notification. however. This relaxation may. if. The Quota Administering Authority shall notify the items that are slow moving. . for slow-moving items. during the base year the utilisation has been less than 75% of the annual level for that year.

the USA and Canada on the basis of an appropriate certificate issued by the office of the Development Commissioner (Handicrafts). PRODUCTION UNDER RESTRAINT INCLUDING ITEMS NOT SUBJECT TO SPECIFIC LIMITS IN THE USA Shipments will be allowed by the Customs Authorities at the port of shipments after verifying the certification of export entitlement in the original and duplicate of shipping bills for individual consignments. issued by the DG. shipments will be permitted by the Customs for exports to the EU. AEPC. corresponding to restrained items in Canada and special quantities reserved for handloom garments in some of the restrained categories relating to the USA. GARMENTS FALLING UNDER "INDIA ITEMS" : In respect of ¶India item· which are traditional folklore handicraft textile products of India. B. C.CLEARANCE BY CUSTOMS: A. Shipments will be permitted by the Customs on the basis of an Inspection Endorsement by the Textiles Committee in part 2 of the combination form. HANDLOOM GARMENTS For export of all handloom garments. .

.Export certificates etc. (ii) Canada Export Certificates for garments that are subject to restraint except for properly marked samples valued at Canadian $ 500 or less. † (iii) U. Certificates of Origin for all non-restrained garments/knitwear items.S.A. AEPC:† † (i) EU (a) Export Certificates and Certificates of Origin for all garment/knitwear items under restraint. a. Visa for all garment/knitwear consignments except properly marked samples valued at US $ 800 or less. Certificate of Origin and Visa The following certificates required under the relevant Bilateral Textile Agreements will be issued by the DG. Export Certificate.

HEPC. TEXPROCIL SRTEPC and WWEPC) including the Quota Administering Authorities. ED. Secretary/Director (Exports) will meet under the chairmanship of the Joint Secretary (Exports) once in three months to review the operation of the policy.Coordination Committee A Coordination Committee consisting of Textile Commissioner. DC(HC) and Dy. . The Committee will send a report to the Ministry for taking appropriate actions on any changes desired in the Policy. the representatives of EPCs (AEPC.

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