The Cotton Textiles Exports Promotion Council (Texprocil) is surprised that the Centre has excluded certain knitted fabrics for concession under the Merchandise Exports from India Scheme.

Knitted fabrics with HS (Harmonized System) Code 6006, which covers most of the knitted fabrics including those with lycra, were left out in the list of items covered for export benefit.

Value-added products

Knitted fabric with lycra are value-added products that are used widely in garments.

The Director General of Foreign Trade had announced a new list of textile items eligible for export sops, last week. While welcoming the decision to include exports of cotton fabrics – woven and knitted – to Bangladesh and Sri Lanka under the MEIS, RK Dalmia, Chairman of Texprocil, said the decision would play a major role in boosting fabric exports to both countries as they are strong in garmenting and India is known for fabrics.

However, he felt, if any benefit is granted to fabrics then it should cover the entire range to avoid unintended exclusions.

Exports to Africa

Dalmia urged the Centre to include knitted fabrics under HS code 6006 to Bangladesh and Sri Lanka, besides extending export sops to value-added products such as cotton dyed and printed fabrics and made-ups to African countries.

These products, including khangas and khatangas, are used in traditional African dresses, and are predominantly manufactured by SME units in India, he said.