CITI Chairman Sanjay Jain claims stressed advance ratio of textile sub-sector gets better
CITI also welcomes the new scheme launched by the Gujarat government
As per RBI Financial Stability Report – December 2018, the stressed advance ratio of the textile sub-sector has been improving continuously, according to Sanjay Jain, Chairman, CITI (Confederation of Indian Textile Industry). From 23.70% in September 2017, the stressed advance ratio of the textile sector has come down to 18.70% in September 2018.
According to CITI chairman Sanjay Jain, as per commerce ministry data, the exports of textiles and apparel stood at Rs 18,965 crore during November 2018 as compared to Rs.16,707 crore during November 2017, showing an impressive growth of 14%. It is significant that over the same period apparel exports have grown at a remarkable rate of 21%.
Chairman, CITI stated that he was delighted to see the positive IIP (Index of Industrial Production) data for textile and clothing which witnessed vigorous year-on-year growth during October 2018 as compared to October 2017. Textiles and apparel have recorded a growth of 6.2% and 28%, respectively during October 2018. However, Jain pointed out that one key area of worry for the T&C Industry today is continuously rising imports of textile products where industry need immediate attention and support of the government.
CITI has welcomed the new scheme launched by the Gujarat government for assistance to strengthen specific sectors in the textile value chain. CITI urged to other state governments to take cue from the Centre and Gujarat and ensure that they may not subsidise sectors where the country already has surplus capacity. Sanjay Jain thanked Gujarat government for being cautious and excluding ginning and spinning sectors as there is overcapacity and focusing on value added segments where the country is not that strong namely-weaving, knitting, processing and technical textiles.India News Region