The government has revoked 14 quality control orders on chemicals and polymers used in various industries including textile sector, a move that will help India in increasing its exports of goods.
On Wednesday, the Department of Chemicals & Petrochemicals, under the Ministry of Chemicals and Fertilizers, issued a notification rescinding 14 Quality Control Orders (QCOs). Out of these, seven QCOs are on fibre intermediates affecting the textile value chain.
The seven QCOs related to products used in man-made fibre (MMF) textile are –Terephthalic Acid; Ethylene Glycol; Polyester Spun, Grey and White Yarn; Polyester Industrial Yarn (IDY); Polyester Staple Fibres (PSF); Polyester Continuous Filament Fully Drawn Yarn; and Polyester Partially Oriented Yarn.
The remaining 7 QCOs are related to other industries, including automobile. These are Acrylonitrile Butadiene Styrene; Polyethylene Material for Moulding and Extrusion; Polypropylene (PP) Materials for Moulding and Extrusion; Polyvinyl Chloride (PVC) Homopolymers; Ethylene Vinyl Acetate (EVA) Copolymers; Polyurethanes; and Polycarbonate.
Apart from textile and apparel sector, the revocation of these 14 QCOs would benefit India’s MSME sector.
Sanjay K Jain, former Chairman of CITI and Managing Director of TT Ltd, told PTI the move to rescind QCOs related to polyester and polyester fibre will provide a level-playing field to the Indian textile industry which was rendered uncompetitive due to very high raw material price as against China, Bangladesh and Vietnam, as globally MMF has 70 per cent market share.
Chandrima Chatterjee, Secretary General of the Confederation of Indian Textile Industry (CITI), said, “The user industry is very happy with this move as they expect improvement in access to important raw material at competitive prices, specially of speciality fibres and yarns which are important for emerging product categories in MMF segment.”
India aims to create a USD 350-billion textile and apparel industry by 2030, with exports contributing USD 100 billion.
Earlier this week, the Union Cabinet had approved two schemes with a combined outlay of over Rs 45,000 crore for exporters that are expected to help boost the country’s outbound shipments and enhance competitiveness of domestic goods in the global markets.
The government on Wednesday approved the Export Promotion Mission (Rs 25,060 crore) and the Credit Guarantee Scheme (Rs 20,000 crore).
